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What Matters More: Business Exit Rates or Business Survival Rates?
What Matters More: Business Exit Rates or Business Survival Rates?
Abstract
One of the most frequent questions asked of a small business researcher is: "What percent of businesses fail?" This most often comes from policymakers, the press, or others interested in the overall health or weakness of the economy. The response starts with, "Do you mean how many businesses fail every year, or do you mean what percent of new businesses fail after a certain period of time?"
Page Last Revised - October 8, 2021
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