If Europe’s going to recover, it needs more young, faster-growing companies

by Ryan Streeter on August 7, 2012. Follow Ryan on Twitter.

I have two new papers out with the German Marshall Fund, where I’m a non-resident fellow.

The first paper looks at entrepreneurship in America and Europe not in terms of startups, but in terms of young high-growth firms. America and Europe look similar if we measure entrepreneurship by startups, but different if we look at high-growth:

When we compare OECD countries’ startup rates, Figure 2 is the result.

The United States does not look all that different than Europe. When we compare OECD countries by high- growth firms as a percentage of all young firms, however, we see a picture like Figure 3.

The paper looks at some policy areas that would help western countries produce more high-growth firms.