“The Collapse of Startups in Job Creation”


Tim Kane for the Hudson Institute. Discouraging. Three samples:

“Since 1977, newly born companies usually create a net 3 million jobs per year,
but the most recently released data report as falling to 2.34 million in the year 2010. The
Commerce Department will not release annual 2011 or 2012 data until after the election,
but we can see that quarterly figures for startup job creation have continued to weaken.”

“The average rate for entrepreneurial job creation under the previous three presidents was 11.3, 11.2, and 10.8 [in new U.S. companies per capita] respectively, but under President Obama it has been cut by one-third to 7.8.”

“While this report documents a disturbing weakness in startup job creation, it does not
explain the cause of decline. There is anecdotal evidence that the U.S. policy environment has become inadvertently hostile to entrepreneurial employment. At the federal level, high taxes and higher uncertainty about taxes are undoubtedly inhibiting entrepreneurship, but to what degree is unknown. The dominant factor may be new regulations on labor.”

Also see...

Craig Newmark

Craig Newmark

Associate Professor of Economics, North Carolina State Univ.

Related Articles

0

Foreigner Hiring Surges Under Obama

It’s probably raaaaacist to even mention this, but Dick Morris brings the story (The Hill) Amid the media focus on

5

Food Stamps Recipients Increased 11,133 Per Day In Obama’s First Term

One way to mark the legacy of a presidency is to tally statistics and at least one stat is not

10

VIDEO: Suspected Terror Supporter Attacks Jews at Occupy Chicago

Chicago’s RebelPundit came across some of those nice Occupy Chicago folks wishing good thoughts for all the kind participants at