Laid-off Workers Become Entrepreneurs ~ Praxis Habitus - On Race Religion & Culture

Sunday, March 15, 2009

Laid-off Workers Become Entrepreneurs

Quick post: A nice article from the New York Times emphasizes how eventual economic recovery is due in part to workers who eventually take on a mentality of entrepreneurship.

From the article:

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When the economy takes a dive, it is common for people to turn to their inner entrepreneur to try to make their own work.

But economists say it takes months for that mentality to sink in.

And that this is about the time in the economic cycle when it really starts to happen — when the formerly employed realize that traditional job searches are not working, and that they are running out of time and money.

Even in prosperous times, entrepreneurs have a daunting failure rate. But those who succeed could play a big role in turning the economy around because tiny companies are actually big employers.

In 2008, 3.8 million companies had fewer than 10 workers, and they employed 12.4 million people, or roughly 11 percent of the private sector work force, according to the Bureau of Labor Statistics.

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