Small Business Survival Index Traction And Movement In Rankings Of States (2000-2013)

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P. K. Shukla
Monica P. Shukla


Small Businesses, Small Business Survival Index, Promoting Entrepreneurship, Government Policy


Given the economic climate faced domestically in the United States since 2008, there is a desire by politicians to increase state economic and business growth. As small businesses are the main driver of business growth in state economies, focus should be placed upon the policy environment of a state to encourage state level growth in entrepreneurial activities aimed at small business creation and survival.

The Small Business and Entrepreneurship Council (SBE Council) - a 501c(4) advocacy, research, training and networking organization dedicated to protecting small business and promoting entrepreneurship - has annually prepared a Small Business Survival Index that ranks states according to some of the major government-imposed or government-related costs affecting investment, entrepreneurship, and business.

This study presents the results from an analysis of the rankings of states on the Small Business Survival Index from 2000 to 2013 which focused on three categories of states - overall ranking gainer states, those that are stable in ranking, and overall ranking decliner states, the percentage in each category, and conclusions. The paper also includes a rank correlation analysis of various periods of time to measure the extent of traction and mobility in the SBSI state rankings from 2000 to 2013. As states vary by governor length of years in their governor term and also by term limits or not on governor terms allowed, there is an analysis of impact of governor years of term on changes in SBSI ranking and an analysis of impact of governor term limits on changes in SBSI ranking.


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