Abstract
Business dynamism, in its narrowest sense, reflects the rate at which new firms enter the market and existing firms leave the market. Increasing rates of dynamism in the form of firm entry and exit are regarded as an indication of a healthy economy due to their positive impacts on innovation, competition, productivity and job creation. A more dynamic economy is therefore viewed as a positive and one which is associated with economic growth through higher rates of innovation and productivity.
The analysis carried out by UUEPC, focusing on trends in business entry and exit suggests that business churn in Northern Ireland (NI), measured as the business birth rate plus the death rate, has risen from 16.6% in 2010 to 18.3% in 2021. The UK has a higher churn rate at 23.5% in 2021, with a persistent gap between NI and the UK over the decade.
The analysis carried out by UUEPC, focusing on trends in business entry and exit suggests that business churn in Northern Ireland (NI), measured as the business birth rate plus the death rate, has risen from 16.6% in 2010 to 18.3% in 2021. The UK has a higher churn rate at 23.5% in 2021, with a persistent gap between NI and the UK over the decade.
Original language | English |
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Publisher | Ulster University |
Number of pages | 56 |
Publication status | Published online - 5 Jun 2023 |
Keywords
- Business dynamism
- business births
- business deaths
- business
- Northern Ireland
- productivity