According to the latest annual Kauffman Index of Entrepreneurial Activity, although entrepreneurial activity was slightly up in 2008 when compared to their 2007 report, there were some worrisome signs about the economic engine of the US economy.
While low and moderate income potential businesses were up, high income potenial businesses decreased from 2007 to 2008.
Specific increases in entrepreneurial activity were identified among the following groups:
People in the Midwest had a decrease in entrepreneurial activity.
Specific states with the highest entrepreneurial activity were Georgia, New Mexico, Montana, Arizona, Alaska and California. While states with the lowest entrepreneurial activity rates were Pennsylvania, Missouri, Wisconsin, West Virginia, Iowa and Ohio.
Among the fifteen largest metropolitan statistical areas, Atlanta had the highest entrepreneurial rate, while Philadelphia had the lowest rate.
Unlike other studies that capture young businesses that are more than a year old, the Kauffman Index captures all adults ages 20 to 64 when they first create their businesses, including both incorporated and unincorporated businesses, and those who are employers and non-employers. The Kauffman Index defines entrepreneurial activity as the percent of the adult population who start a business as their main job each month.
While low and moderate income potential businesses were up, high income potenial businesses decreased from 2007 to 2008.
Specific increases in entrepreneurial activity were identified among the following groups:
- People between the ages 55 to 64
- Immigrants
- Latinos
- Asian Americans
People in the Midwest had a decrease in entrepreneurial activity.
Specific states with the highest entrepreneurial activity were Georgia, New Mexico, Montana, Arizona, Alaska and California. While states with the lowest entrepreneurial activity rates were Pennsylvania, Missouri, Wisconsin, West Virginia, Iowa and Ohio.
Among the fifteen largest metropolitan statistical areas, Atlanta had the highest entrepreneurial rate, while Philadelphia had the lowest rate.
Unlike other studies that capture young businesses that are more than a year old, the Kauffman Index captures all adults ages 20 to 64 when they first create their businesses, including both incorporated and unincorporated businesses, and those who are employers and non-employers. The Kauffman Index defines entrepreneurial activity as the percent of the adult population who start a business as their main job each month.
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