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Small vs. Young Firms across the World : Contribution to Employment, Job Creation, and Growth / Meghana Ayyagari

World Bank Open Knowledge Repository (formerly "World Bank E-Library Publications") Available online

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Format:
Book
Government document
Author/Creator:
Ayyagari, Meghana
Contributor:
Ayyagari, Meghana
Demirguc-Kunt, Asli
Maksimovic, Vojislav
Series:
Policy research working papers.
World Bank e-Library.
Language:
English
Subjects (All):
Emerging Markets.
Employment.
Finance and Private Sector Development.
Growth.
Job Creation.
Labor Markets.
Labor Policies.
Microfinance.
Private Sector Development.
Small and Medium Enterprises.
Small Scale Enterprise.
Local Subjects:
Emerging Markets.
Employment.
Finance and Private Sector Development.
Growth.
Job Creation.
Labor Markets.
Labor Policies.
Microfinance.
Private Sector Development.
Small and Medium Enterprises.
Small Scale Enterprise.
Physical Description:
1 online resource (59 pages)
Other Title:
Small vs. Young Firms across the World
Place of Publication:
Washington, D.C., The World Bank, 2011
System Details:
data file
Summary:
This paper describes a unique cross-country database that presents consistent and comparable information on the contribution of the small and medium enterprises sector to total employment, job creation, and growth in 99 countries. The authors compare and contrast the importance of small and medium enterprises to that of young firms across different economies. They find that small firms (in particular, firms with less than 100 employees) and mature firms (in particular, firms older than 10 years) have the largest shares of total employment and job creation. Small firms and young firms have higher job creation rates than large and mature firms. However, large firms and young firms have higher productivity growth. This suggests that while small firms employ a large share of workers and create most jobs in developing economies their contribution to productivity growth is not as high as that of large firms.

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