

The Declining Role of Start-Ups - branola
http://economix.blogs.nytimes.com/2012/05/02/the-declining-role-of-start-ups/

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muzz
Interesting to compare with other seemingly-contradictory recent releases by
the same Kauffman Foundation:

[http://www.kauffman.org/newsroom/despite-recession-us-
entrep...](http://www.kauffman.org/newsroom/despite-recession-us-
entrepreneurial-activity-rate-rises-in-2009.aspx)

[http://www.kauffman.org/newsroom/number-of-new-companies-
cre...](http://www.kauffman.org/newsroom/number-of-new-companies-created-
annually-remains-remarkably-constant-across-time-according-to-new-kauffman-
foundation-study.aspx)

~~~
ggchappell
This article says that businesses created in the past 5 years have been a
decreasing _percentage_ of the total number of businesses. The two you linked
to say that _absolute_ business _creation_ rates are stable-ish and/or growing
a bit.

Therefore, I suggest that one or both of the following are happening:

\- The total number of businesses has been growing, while the number of new
businesses remained stable.

\- New businesses are failing (or being acquired?) more quickly, leading to
fewer new businesses, despite roughly the same new-business creation rate.

~~~
muzz
Maybe, but if the numbers can be represented in two very different ways-- by
the SAME organization-- I'm not sure what those numbers tell us.

In today's article the concern was voiced that the data "“raise questions
about whether the United States is becoming less entrepreneurial given the
lower pace of start-ups and the smaller share of activity accounted for by
young firms.”"

However, reading the previous two Kauffman pieces would seem to allay that
concern.

