Abstract

http://ssrn.com/abstract=1139944
 
 

References (21)



 


 



Turmoil and Growth: Young Businesses, Economic Churning, and Productivity Gains


Steven J. Davis


University of Chicago; National Bureau of Economic Research (NBER)

John Haltiwanger


University of Maryland - Department of Economics; National Bureau of Economic Research (NBER); Institute for the Study of Labor (IZA)

Ron S. Jarmin


U.S. Census Bureau

June 5, 2008


Abstract:     
The current economic turmoil arouses much anxiety and concern among the public, the business sector, and the policy-making community. Eventually, however, the economy will recover and resume sustained growth, just as it has after previous slowdowns or recessions. But some turmoil - specifically the churning of firms and jobs - will continue even in good times. It is inherent in any dynamic capitalist economy that some firms thrive and grow while others decline and sometimes fail. This essay summarizes recent economic research on the key role this churning process plays in enhancing economy-wide productivity growth. Sorting successful business endeavors from unsuccessful ones is, in fact, a central and necessary part of our market economy, and it is essential that the public and policy makers understand this process.

Number of Pages in PDF File: 12

Keywords: young business, business, growth, new business, productivity, churning

working papers series


Download This Paper

Date posted: October 12, 2011  

Suggested Citation

Davis, Steven J. and Haltiwanger, John and Jarmin, Ron S., Turmoil and Growth: Young Businesses, Economic Churning, and Productivity Gains (June 5, 2008). Available at SSRN: http://ssrn.com/abstract=1139944 or http://dx.doi.org/10.2139/ssrn.1139944

Contact Information

Steven J. Davis (Contact Author)
University of Chicago ( email )
5807 S. Woodlawn Avenue
Chicago, IL 60637
United States
773-702-7312 (Phone)
773-702-0458 (Fax)
National Bureau of Economic Research (NBER)
1050 Massachusetts Avenue
Cambridge, MA 02138
United States
John C. Haltiwanger
University of Maryland - Department of Economics ( email )
College Park, MD 20742
United States
301-405-3504 (Phone)
301-405-3542 (Fax)
National Bureau of Economic Research (NBER) ( email )
1050 Massachusetts Avenue
Cambridge, MA 02138
United States
Institute for the Study of Labor (IZA) ( email )
P.O. Box 7240
Bonn, D-53072
Germany
Ron S. Jarmin
U.S. Census Bureau ( email )
4700 Silver Hill Road
Washington, DC 20233
United States
Feedback to SSRN


Paper statistics
Abstract Views: 518
Downloads: 114
Download Rank: 137,502
References:  21
Paper comments
No comments have been made on this paper

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo8 in 0.344 seconds