Abstract
The role of small firms in job creation in Norway is examined for the period 1980–90 by analysing births, expansions, contractions and closures. Data on establishments, which are applied as a proxy for firms, reveal that small establishments as a whole are the only group providing a net positive contribution to job creation over the period. However, further analysis of the data reveals that very significant proportions of job creation may be attributed to a small part of the establishments, and generally small establishments turn out to be poor job creators.
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