About Scott Shane

Authored 20 articles.

Scott Shane is A. Malachi Mixon III, Professor of Entrepreneurial Studies at Case Western Reserve University.


  • Protecting Small Business Intellectual Property

    Features, February 11, 2015

    Despite the argument made by some small business advocates that intellectual property (IP) “is the backbone of America’s innovative small businesses,” small companies are less likely than large ones to believe that legal forms of intellectual property (IP) protection are important to their operations, a National Science Foundation (NSF) survey of U.S. companies reveals.

  • Lower Earnings are Driving Down the Number of Entrepreneurs

    Features, December 03, 2014

    Economic theory predicts that fewer people will go into and stay in business for themselves if running one’s own company becomes less lucrative than it used to be. That’s precisely what has happened over the past six years.

  • Are Chains the New Job Creators?

    Features, September 15, 2014

    A declining rate of firm formation over the past three-and-a-half decades has brought with it a fall in job creation by new firms. Between 1978 and 2011, the contribution of new firms to employment at business establishments has fallen from 3.4 percent in 1978 to 2.0 percent.

  • The Role of Entrepreneurship in Rising Income Inequality

    Features, June 20, 2014

    Income inequality is growing in America, and it has much of the chattering class in an uproar.

  • Secondary Self-Employment in Decline

    Features, May 22, 2014

    Fewer Americans are working for themselves than did at the turn of the 21st century. That’s true for both people’s primary and secondary jobs, Bureau of Labor Statistics (BLS) data indicate.

  • Self Employment Continues to Decline, Despite the Recovery

    Features, May 07, 2014

    The recently released Kauffman Index of Entrepreneurial Activity (KIEA) shows that pace of entry into self-employment declined last year. The media has put a positive slant on the news. Because many people go into business for themselves out of necessity when the economy is doing poorly and they have few employment alternatives, this decline is okay, the reporters say. It means that the jobs market is doing better.

  • Why the IRS and BLS Disagree on Self-Employment Trends

    Features, April 02, 2014

    Are more or fewer Americans engaged in self-employment than a decade ago? While you might think that this is a simple factual question, its answer depends on which federal government agency’s numbers you look at.

  • Don’t Bet on IRS Budget Cuts Lowering Small Business Audit Rates

    Features, March 20, 2014

    After several years of increases, the Internal Revenue Service (IRS) small businesses audit rate declined in 2013, data released recently by the tax authority reveal.

  • Fewer Students Plan to Become Business Owners

    Features, March 17, 2014

    College students are more concerned with making money now than they were before the start of the Great Recession, research by the Cooperative Institutional Research Program (CIRP) at UCLA, reveals. Maybe that’s self-evident. But here’s a more surprising finding: The fraction of students intending to become business owners has also declined since 2007.

  • How the Affordable Care Act Will Reduce Small Business Employment

    Features, February 25, 2014

    The Congressional Budget Office reported that the Affordable Care Act will mean that two million fewer people will be employed full-time in 2017 than would be working in the absence of the law.

  • Fewer Small Businesses Paying Late in 2013

    Features, February 03, 2014

    Small businesses were prompter at paying their loans and bills in 2013 than in 2012, data from several sources reveals. Moody’s Analytics and Experian reported substantial declines in both 30 and 90 day small business credit delinquency rates during the past year, part of an improving trend since the summer of 2011 when those rates peaked.

  • What Do Small Business Administration (SBA) Loans Look Like?

    Features, January 29, 2014

    Hidden among the large amount of data released regularly by the Federal Reserve is some valuable information about the terms of Small Business Administration (SBA) guaranteed loans.

  • The Era of Declining Self-Employment

    Features, January 13, 2014

    The number of employed Americans rose from 144,144,000 in October 2013 to 144,775,000 in November 2013, an increase of 631,000, according to Federal government data. That’s good news. More people going back to work is something that everyone – left, right and center – agrees is good for the country.

  • How Common are Small Business Administration (SBA) Loans?

    Features, October 04, 2013

    Small Business Administration (SBA) guaranteed loans get a lot of attention in Washington. President Obama, for instance, believes that “the SBA should be provided additional resources to assist small businesses in acquiring capital necessary to start, continue, or expand operations”, the Congressional Research Service reports.

  • Small Business Employment in Recessions and Expansions

    Features, October 02, 2013

    Small business employment has grown more slowly than big business employment since the end of the Great Recession. That wasn’t supposed to happen. Conventional wisdom is that small business employment declines more in economic downturns, but rises more in economic expansions. Small companies, the argument goes, are more nimble, making their employment decisions more responsive to economic conditions.

  • Are Americans Becoming Interested in Entrepreneurship Again?

    Features, September 17, 2013

    The recently released Global Entrepreneurship Monitor (GEM), a nationally representative survey of American adults, reveals that the fraction of Americans who intend to start a business rose to 12.5 percent in 2012 — a substantial increase from the 8.3 percent recorded in 2008.

  • Sole Proprietorship Revenues in Long Term Decline

    News, August 12, 2013

  • Small Business Employment Share Shrinking for a Good Reason

    News, August 02, 2013

  • Small Business Owners: Healthier, But Less Likely to Be Insured

    Features, July 17, 2013

    A majority of small business owners (53 percent) believe that running a company improves their health, a recent Bank of America survey indicates. And those in business for themselves are in better shape than those who work for others, a Gallup-Healthways Well-Being survey reveals.

  • How the IRS Scandal Might Benefit Small Business

    Features, June 17, 2013

    A few weeks ago, the Internal Revenue Service (IRS) admitted that some of its employees improperly subjected to disproportionate scrutiny to conservative groups seeking to set up non-profit status. While you might think that the scandal has little to do with small business, in the strange world of Washington — where everything influences everything else — the scandal has the potential to benefit small business owners in several ways.