Startups are Shots on Goal

Release Date: 6/01/2012

Kauffman Foundation research has shown that start-ups are vital to the economy. Last week’s unveiling of bipartisan job creation legislation called Startup Act 2.0 offers tangible support for paving the way for more new firms to start and grow.

But just how can new companies lead to the kind of growth the still-fragile economy needs to gain sustainable health? In a just-released Harvard Business Review column, Robert Litan, Kauffman Foundation vice president of Research and Policy, borrows a term from hockey to explain how increasing the number of startups is like shots on goal for the economy. The more new firms started, the greater the odds for generating innovative companies that will create high-volume jobs.

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