Research & Economic Analysis

This paper examines new business formation in Hawaii using data for establishment births, new establishments, establishment survival rates, and non-employer data that represent self-employed workers.

The data presented in this paper shows that Hawaii has a lower birth rate and growth rate for establishments, when compared with the overall U.S. economy. Overall, it benefits the economy to have a steady pipeline of quality new establishments to replenish those that disappear. The importance of increasing birth rate for new establishments is even more important in today’s economy because fewer jobs are being created per establishment. Growing the birth rate of quality establishments today will create a solid foundation for the economy of tomorrow.

Hawaii New Business Formation