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Entry, Exit of Firms Amplify the Business Cycle

Bernstein, Joshua
; 
Richter, Alexander W.
; 
Throckmorton, Nathaniel
Abstract
When new businesses are created, they generate new jobs. When unprofitable businesses close, employees lose their jobs. Given the connection between firm entry and exit and changes in employment, it is natural to ask how this entry and exit affects the broader business cycle.
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2020-07-14
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Federal Reserve Bank of Dallas
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Economics
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entry-exit.pdf
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https://scholarworks.wm.edu/handle/internal/19637
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