Business Failure In The 1992 Establishment Universe Sources Of Population Heterogeneity
December 1996
Working Paper Number:
CES-96-13
Abstract
This study shows that establishment dissolution declines with age and that age at dissolution differs for broad industry and geography groups, establishment affiliation status, and establishment size. The paper uses Bureau of the Census Standard Statistical Establishment List datasets, a census of establishments with employment for the United States for the year 1992. Hence, the findings constitute a comprehensive source of information on the relation between age and dissolution and place in context similar findings of studies restricted to specific industries and/or geographic areas.
Document Tags and Keywords
Keywords
Keywords are automatically generated using KeyBERT, a powerful and innovative
keyword extraction tool that utilizes BERT embeddings to ensure high-quality and contextually relevant
keywords.
By analyzing the content of working papers, KeyBERT identifies terms and phrases that capture the essence of the
text, highlighting the most significant topics and trends. This approach not only enhances searchability but
provides connections that go beyond potentially domain-specific author-defined keywords.
:
enterprise,
company,
growth,
organizational,
merger,
entrepreneurship,
establishment,
funding,
population,
declining,
decline,
census years,
firms age,
demography
Tags
Tags are automatically generated using a pretrained language model from spaCy, which excels at
several tasks, including entity tagging.
The model is able to label words and phrases by part-of-speech,
including "organizations." By filtering for frequent words and phrases labeled as "organizations", papers are
identified to contain references to specific institutions, datasets, and other organizations.
:
Standard Statistical Establishment List,
Internal Revenue Service,
Standard Industrial Classification,
Social Security Administration,
Financial, Insurance and Real Estate Industries
Similar Working Papers
Similarity between working papers are determined by an unsupervised neural
network model
know as Doc2Vec.
Doc2Vec is a model that represents entire documents as fixed-length vectors, allowing for the
capture of semantic meaning in a way that relates to the context of words within the document. The model learns to
associate a unique vector with each document while simultaneously learning word vectors, enabling tasks such as
document classification, clustering, and similarity detection by preserving the order and structure of words. The
document vectors are compared using cosine similarity/distance to determine the most similar working papers.
Papers identified with 🔥 are in the top 20% of similarity.
The 10 most similar working papers to the working paper 'Business Failure In The 1992 Establishment Universe Sources Of Population Heterogeneity' are listed below in order of similarity.
-
Working PaperAn Analysis of Small Business Size and Rate of Discontinuance
January 1990
Working Paper Number:
CES-90-02
This study investigates small business failure rates in relation to several measures of firm size. Utilizing the new Characteristics of Business Owners ( CBO ) data base, a nationwide sample of firms is utilized that is representative of the small business universe. One subset--small business employers--is shown to have relatively low rates of failure, while another group--very small firms with no employees--exhibits relatively high rates of business discontinuance. The finding that the probability of firm failure is strongly (inversely) related to firm size is shown to hold up as well when the age of the business is controlled for.View Full Paper PDF
-
Working PaperSurvival Patterns Among Newcomers to Franchising
January 1997
Working Paper Number:
CES-97-01
This study analyzes survival patterns among franchisee firms and establishments that began operations in 1986 and 1987. Differing methodologies and data bases are utilized to demonstrate that 1) franchises have higher survival rates than independents, and 2) franchises have lower survival rates than independent business formations. Analyses of corporate establishment data generate high franchisee survival rates relative to independents, while analyses of young firm data generate the opposite pattern. In either case, the franchise trait is one of several determinants of survival prospects. The larger-scale, more established firms consistently stay in operation more frequently than smaller-scale, younger firms. Analysis of all corporate establishment restaurant units opened in 1986 or 1987 that use paid employees in 1987 helps to reconcile the seeming inconsistencies reported above. Most of the young franchisee units were not owned by young firms: rather, their parents were multi-establishment franchisees, and most of them were mature firms. Among the true newcomers, franchise survival rates are low; among the entrenched multi-establishment franchisees, survival rates were high.View Full Paper PDF
-
Working PaperSurvival Patterns Among Newcomers To Franchising
May 1997
Working Paper Number:
CES-97-05
This study analyzes survival patterns among franchisee firms adn establishments that began operations in 1986 and 1987. Differing methodologies and data bases are utilized to demonstrate that 1) franchises have higher survival rates than independents, and 2) franchises have lower survival rates than independent business formations. Analyses of corporate establishment data generate high franchisee survival rates relative to independents, while analyses of young firm data generate the opposite pattern. In either case, the franchise trait is one of several determinants of survival prospects. The larger-scale, more established firms consistently stay in operation more frequently than smaller-scale, younger firms. Analysis of all corporate establishment restaurant units opened in 1986 or 1987 that use paid employees in 1987 helps to reconcile the seeming inconsistencies reported above. Most of the young franchisee units were not owned by young firms: rather, their parents were multi-establishment franchisees, and most of them were mature firms. Among the true newcomers, franchise survival rates are low; among the entrenched multi-establishment franchisees, survival rates were high.View Full Paper PDF
-
Working PaperNEW DATA FOR DYNAMIC ANALYSIS: THE LONGITUDINAL ESTABLISHMENT AND ENTERPRISE MICRODATA (LEEM) FILE
December 1999
Working Paper Number:
CES-99-18
Until now, research on U.S. business activities over time has been hindered by the lack of accurate and comprehensive longitudinal data. The new Longitudinal Establishment and Enterprise Microdata (LEEM) are tremendously rich data that open up numerous possibilities for dynamic analyses of businesses in the U.S. economy. It is the first nationwide high-quality longitudinal database that covers the majority of employer businesses from all sectors of the economy. Due to the confidential nature of these data, the file is located at the Center for Economic Studies in the U.S. Bureau of the Census. To access the data, researchers must submit an acceptable proposal to CES and become sworn Census researchers. This paper describes the LEEM file, the variables contained on the file, and current uses of the data.View Full Paper PDF
-
Working PaperBrighter Prospects? Assessing the Franchise Advantage using Census Data
January 2017
Working Paper Number:
CES-17-21
This paper uses Census micro data to examine how starting a business as a franchise rather than an independent business affects its survival and growth prospects. We first consider the factors that influence the business owner's decision about being franchised, and then use different empirical approaches to correct for selection bias in our performance analyses. We find that franchised businesses on average benefit from higher survival rates and faster initial growth relative to independent businesses. However, the effects are not large and, conditional on first-year survival, the differences basically disappear. We briefly discuss potential mechanisms to explain these results. U.S. Census Bureau. All results have been reviewed to ensure that no confidential information is disclosed. Support for this research at the Michigan Census Research Data Center is gratefully acknowledged.View Full Paper PDF
-
Working PaperCivic Community in Small-Town America: How Civic Welfare is Influenced by Local Capitalism and Civic Engagement
December 2001
Working Paper Number:
CES-01-19
The aims of this paper are twofold: first, to gain a fuller understanding of factors that foster community cohesion and contribute to the residents' social and economic well-being; and, second, to move beyond previous research that used larger spatial units such as states, counties, or aggregates of counties and to focus instead on American small towns (population 2,500-20,000). The data on small towns are drawn from public-use files and from confidential microdata from various economic censuses. From these sources we construct measures of locally oriented firms, self-employment, business establishments that serve as gathering places, and associations. The local capitalism and civic engagement variables generally perform as hypothesized; in some cases they are related quite strongly to civic welfare outcomes such as income levels, poverty rates, and nonmigration rates. We discuss the advantages and disadvantages of working with place-level data and suggest some strategies for subsequent work on small towns and other incorporated places.View Full Paper PDF
-
Working PaperLongitudinal Establishment And Enterprise Microdata (LEEM) Documentation
May 1998
Working Paper Number:
CES-98-09
This paper introduces and documents the new Longitudinal Enterprise and Establishment Microdata (LEEM) database, which has been constructed by Census' Economic Planning and Coordination Division under contract to the Office of Advocacy of the U.S. Small Business Administration. The LEEM links three years (1990, 1994, and 1995) of basic data for each private sector establishment with payroll in any of those years, along with data on the firm to which the establishment belongs each year. The LEEM data will facilitate both broader and more detailed analysis of patterns of job creation and destruction in the U.S., as well as research on the structure and dynamics of U.S. businesses. This paper provides documentation of the construction of LEEM data, summary data on most variables in the database, comparisons of the annual data with that of the nearly identical County Business Patterns, and distributions of establishments and their employment by the size of their firms. This is followed by a simple analysis of changes over time in the attributes of surviving establishments, and a brief discussion of turnover (business births and deaths) in the population and gross changes in employment associated with both establishment turnover and with surviving establishments. It concludes with a summary of the strengths and weaknesses of the LEEM.View Full Paper PDF
-
Working PaperMEASURES OF JOB FLOW DYNAMICS IN THE U.S.*
January 1999
Working Paper Number:
CES-99-01
This paper uses the new Longitudinal Establishment and Enterprise Microdata (LEEM) at CES to investigate gross and net job flows for the U. S. economy. Much of the previous work on U.S. job flows has been based on analysis of the Longitudinal Research Database (LRD), which is limited to establishments in the manufacturing sector. The LEEM is the first high-quality, nationwide, comprehensive database for both manufacturing and non-manufacturing that is suitable for measuring annual job flows. We utilize the LEEM data to measure recent gross and net job flows for the entire U. S. economy. We then examine the relationships between firm size, establishment size, and establishment age, and investigate differences resulting from use of two alternative methods for classification of job flows by size of firm and establishment. Cell-based regression analysis is used to help distinguish among the effects of age, firm size, and establishment size on gross and net job flows in existing establishments. We find that gross job flow rates decline with age, and with increasing establishment size when controlling for age differences, whether initial size or mean size classification is utilized. Firm size differences contribute little or nothing additional when establishment size and age are controlled for. However, the relationship of net job growth to business size is very sensitive to the size classification method, even when data and all other methodology are identical. When mean size classification is used, the coefficient on establishment size for net job growth is generally positive, but when initial size is used, this coefficient is negative. These results shed light on some of the apparently conflicting findings in the literature on the relationship between net growth and the size of businesses.View Full Paper PDF
-
Working PaperThe Census of Construction Industries Database
August 1998
Working Paper Number:
CES-98-10
The Census of Construction Industries (CCI) is conducted every five years as part of the quinquennial Economic Census. The Census of Construction Industries covers all establishments with payroll that are engaged primarily in contract construction or construction on their own account for sale as defined in the Standard Industrial Classification Manual. As previously administered, the CCI is a partial census including all multi-establishments and all establishments with payroll above $480,000, one out of every five establishments with payroll between $480,000 and $120,000 and one out of eight remaining establishments. The resulting database contains for each year approximately 200,000 establishments in the building construction, heavy construction and special trade construction industrial classifications. This paper compares the content, survey procedures, and sample response of the 1982, 1987 and 1992 Censuses of Construction.View Full Paper PDF
-
Working PaperAnalysis of Young Small Firms That Have Closed: Delineating Successful from Unsuccessful Closures
October 2002
Working Paper Number:
CES-02-24
This study of small businesses created between 1989 and 1992, and then closed down between 1993 and 1996, reveals that owners often described their firms as 'successful' when the disclosure decision was made. . Theoretical explanations consistent with this pattern are explored in this study. One view describes successful closures as rational outcomes of learning processes undertaken by entrepreneurs opening firms amidst considerable uncertainty. Another approach sees the seeming paradox of successful closure in terms of alternative opportunities: if something better comes along, the entrepreneur may close down. Empirically, successful closure owners are found to be moving on to more attractive alternatives.View Full Paper PDF
