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Companies established in 2009 could employ one million fewer people than the historic norm. That is the alarming bottom line from a recent Kauffman study that shows the U.S. jobs problem pre-dates the Great Recession of 2007-2009. The research suggests that the country faces a far more fundamental employment challenge—a long-term trend that the researchers call a slow jobs "leak."
As countries get richer, they become more heavily dependent on home-grown innovation -- as opposed to simply expanding existing activities or borrowing good ideas from abroad -- to maintain their growth. And since new firms play an absolutely vital role in the innovation process, removing barriers to entrepreneurship becomes increasingly important to maintaining economic dynamism and prosperity.
The Angel Capital Association (ACA) has alerted its members about the provision of the Small Business Jobs Act of 2010 that provides a 100 percent exemption for gains made in Qualified Small Business Stock. This benefit is for investments made between September 27 and December 31, 2010.
“This provision encourages angels and entrepreneurs to speed up investments that are already in the pipeline,” said Marianne Hudson, ACA’s executive director. “The significance is that entrepreneurs will receive the funds they need to grow their businesses sooner. That means they can hire people which adds new jobs to the economy.”
The U.S. Treasury Department today unveiled a new credit initiative aimed at increasing lending to small businesses. According to the Wall Street Journal, the initiative is expected to spur $20 billion in lending while being particularly beneficial to small minority-owned firms.The new policy is modeled...
According to a new paper by Ying Lowrey, an economist with the Small Business Administration, new businesses—not small businesses—are the most critical driver of new jobs. Using data from the Kauffman Firm Survey and other sources, Lowrey estimates that on average, each new startup is responsible for 5.6 jobs created and that:
The latest Kauffman Index of Entrepreneurial Activity shows that the rate of new business creation dipped during 2011 and startup founders remained more likely to go it alone than to employ others—quite possibly due to the continued recession and the typically higher rate of necessity entrepreneurs during periods of economic distress.
The House Small Business Rural Development, Entrepreneurship and Trade Subcommittee approved a series of bills last Thursday (04/30) to authorize and expand several Small Business Administration programs.Some of these new bills have an interesting focus on "green entrepreneurs." For example, a bill sponsored by Rep....
Two new national economic benchmarking reports were recently released.The annual Cyberstates study, produced now by TechAmerica, examines national and state trends in technology industry (primarily information technology-related sectors) employment and growth. Despite glum economic news, the technology industry had a pretty good year in 2008,...
Last year’s report from the Department of Commerce’s Advisory Committee on Measuring Innovation (chaired by the Kauffman Foundation's Carl Schramm) has stimulated a lot of additional research on the thorny issues of how best to track innovation at the business, community, region, and national levels....
With the ‘digital revolution’ in full swing and technological innovation advancing daily, the creative industries are expanding. However, the policies that guide the creative economy are too often outdated and based on business models that have been virtually swept away. Nesta, a UK-based foundation focused on innovation, has come up with a set of policy recommendations to guide the UK—and possibly serve as at least a discussion starter for other countries.
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