Alex Tabarrok - Unpacking the Decline of U.S. Economic Dynamism
"World of DaaS"
Economic Dynamism and Startup Decline
This chapter investigates the decline in startup formation alongside increased job opportunities in larger firms, questioning the impact on economic dynamism. It discusses the role of immigration and labor force growth in fostering innovation and new business creation, while contrasting it with historical productivity stagnation. The analysis suggests that the decline in economic dynamism is influenced by broader labor force changes rather than solely by federal regulation.
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