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Are Small Firms Important? Their Role and Impact proposes and
supports the claim that small firms make two indispensable
contributions to the economy. First, they are an integral part of
the renewal process that pervades market economies. New and small
firms play a crucial role in experimentation and innovation that
leads to technological change, productivity and economic growth.
Second, small firms are the essential mechanism by which millions
enter the economic and social mainstream of American society. The
public policy implications for sustained economic growth and social
well-being is the continued high-level creation of new and small
firms by all segments of society. It should be the role of
government policy to facilitate that process by eliminating entry
barriers, lowering transaction costs, and minimizing regulation.
Are Small Firms Important? Their Role and Impact proposes and
supports the claim that small firms make two indispensable
contributions to the economy. First, they are an integral part of
the renewal process that pervades market economies. New and small
firms play a crucial role in experimentation and innovation that
leads to technological change, productivity and economic growth.
Second, small firms are the essential mechanism by which millions
enter the economic and social mainstream of American society. The
public policy implications for sustained economic growth and social
well-being is the continued high-level creation of new and small
firms by all segments of society. It should be the role of
government policy to facilitate that process by eliminating entry
barriers, lowering transaction costs, and minimizing regulation.
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