Employment effects of business dynamics: Mice, Gazelles and Elephants

By Zoltan J. Acs, Pamela Mueller. 2007

506 citations recorded by the source corpus.

Much of the theoretical work on industry dynamics focuses on the role of ‘noisy’ selection and incomplete information on firm entry and survival. We extend this research by looking at the impact of firm heterogeneity on employment effects for 320 U.S. Metropolitan Statistical Areas (MSA). We find that only start-ups with greater than 20 and less than 500 employees have persistent employment effects over time and only in large diversified metropolitan regions. Therefore, both the type of entry (Gazelles) and the characteristics of the region are important for employment growth.

Subfields: Economics and Econometrics, Management of Technology and Innovation

View Paper: https://www.semanticscholar.org/paper/5cb18ec8b6f6c14a0ee2d2f0b6cdc54c54914e09

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In Economics and Econometrics

In Management of Technology and Innovation

Citations in the corpus

Is entrepreneurship necessarily good? Microeconomic evidence from developed and developing countries (2013, background): “Instead, job destruction may arise when the crowding out of the incumbents is larger than the positive job creation effect brought about by the improvement of supply conditions and improved competitiveness (Fritsch and Mueller, 2004; Acs and Mueller, 2008).”
What is the value of entrepreneurship? A review of recent research (2007, unknown): “(2006) as well as Fritsch and Mueller (2007) study German regions; Acs and Mueller (2007) US regions; Baptista et al. (2007) Portuguese regions, Van Stel and Suddle (2007) Dutch and Fölster (2000) Swedish regions.10 Based on country level data, Carree and Thurik (2007) find evidence for the same pat”
Competencies and Institutions Fostering High-growth Firms (2008, unknown): “Accordingly, some observers point to a small number of rapidly growing firms – which may be neither small nor young – that contribute a disproportionately large share of net job creation and economic growth (see, e.g., Birch and Medoff 1994, Storey 1994, Schreyer 2000, and Acs et al. 2008).”
High-growth firms and innovation: an empirical analysis for Spanish firms (2014, background): “Third, high-growth firms are found in almost every sector; hence, an exclusive focus upon technology-based sectors would exclude the vast bulk of high-growth firms (Acs and Mueller, 2008). Fourth, the patterns of growth amongst HGFs are extremely volatile (Delmar et al., 2003; Garnsey et al., 2006; ”
Strategies for superior performance under adverse conditions: A focus on small and medium-sized high-growth firms (2014, background): “Small and medium-sized enterprises (SMEs) in general, and high-growth ones in particular, are critical to economic growth, given their capacity to create new jobs (Acs and Mueller, 2008; Acs et al., 2008; Henrekson and Johansson, 2010), sustain survival (Phillips and Kirchhoff, 1989)1 and mitigate r”
Economic resilience in Great Britain: the crisis impact and its determining factors for local authority districts (2016, background): “However, firm formation exhibits significant geographical and time persistent differences (Acs and Mueller 2008; Bishop 2012).”
Drivers of Entrepreneurship and Post-Entry Performance of Newborn Firms in Developing Countries (2014, unknown): “1 Instead, job destruction may arise when the crowding out of the incumbents is larger than the positive job creation effect brought about by the improvement of supply conditions and improved competitiveness (see Fritsch and Mueller, 2004; Acs and Mueller, 2008).”
Are high-growth firms one-hit wonders? Evidence from Sweden (2015, background): “…Medoff, 1994; Brüderl and Preisendörfer, 2000; Davidsson and Henrekson, 2002; Delmar et al, 2003; Littunen and Tohmo, 2003; Halabisky et al, 2006; Acs and Mueller, 2008; Acs, 2011) have shown that most new jobs originate from a small number of high-growth We would like to thank Pontus…”
High-growth firms: Introduction to the special section (2014, background): “…most small firms do not grow (or only grow slowly), a few HGFs are crucial for job creation (Birch and Medoff, 1994; Brüderl and Preisendörfer, 2000; Davidsson and Henrekson, 2002; Delmar et al., 2003; Littunen and Tohmo; 2003; Halabisky et al., 2006; Acs et al., 2008; Acs and Mueller, 2008).”
Why does the effect of new business formation differ across regions? (2011, background): “Acs and Mueller (2008) compared the effects for the Metropolitan Statistical Areas in the USA, areas which have a relatively high share of rapidly growing companies (‘gazelles’), with the rest of the regions of their sample and found that the start-ups in those gazelle regions produced larger…”