The Organization and Scale of Private Business
The Organization and Scale of Private Business
This chapter presents the available information on the number of businesses in the United States, and the number by size class, the share that fulfill a common definition of “small” business, and the data on survivorship rates for newly-established businesses in multiple countries. It critically examines the stylized facts about such businesses in the United States. Finally, it provides updated data on the value of privately-held businesses in the U.S., following the methodology of Anderson (2009). Those data suggest that equity in privately held firms form a larger share of household assets than stocks in publicly-traded firms among U.S. households.
Keywords: privately held businesses, private firms, value of businesses, survivorship rates, business births and deaths, largest businesses, publicly traded businesses, small business, Anderson, Patrick
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