Amidst Pandemic, More Than 1.7 million New Businesses Have Started Since June, New Study Shows
- BY FGA
Naples, FL — New research from the Foundation for Government Accountability (FGA) finds that more than 1.7 million new startups have formed since June—a record high. The report highlights that with the economic recovery well underway, creating a new unemployment bonus would throw the brakes on recovery and roll back the progress made since earlier this year. And now more than ever, Americans need work.
The study notes multiple indicators the the economy is bouncing back, including a plummeting unemployment rate and consistent drops in new UI claims. Plus more businesses have created and restored more jobs in the past four months than they created over the course of more than five years in the aftermath of the Great Recession. Perhaps the biggest indication of all: Since June, more than 1.7 million new businesses have been created—an average of more than 100,000 new startups each week.
It’s critical our leaders lay the foundation for America’s future recovery. By reaffirming a commitment to the principles that made our economy strong and expanding innovation in the workforce, we can ensure that our nation—both its citizens and its economy—emerges stronger than ever.
“All signs point to a recovering economy, with more than 4.4 million Americans having moved off the unemployment since late July when the additional $600 unemployment bonus expired,” says Jonathan Ingram, paper author and FGA’s Vice President of Policy and Research. “With 90 percent of businesses now open in some capacity, now is the time to keep moving forward and to resist the temptation to renew any program that discourages work or enables waste, fraud, and abuse. Congressional talks of creating another unemployment boost—no matter the amount—could derail America’s economic comeback.”
The Foundation for Government Accountability is a non-profit, multi-state think tank that specializes in health care, welfare, and work reform. To learn more, visit TheFGA.org.