Small Firms and Self-Employment in the OECD Countries

Abstract

Throughout the 1960s the major concern of industrial economists was with large firms which were seen as the prime movers in an economy. It seemed wholly appropriate to consider whether there were any clear limits to the size of firms. The main emphasis of literature on this matter was to test for the existence of scale economies at the plant level and to consider whether or not increasing levels of industrial concentration were harmful. If small firms were considered at all then they were either relegated to the status of a footnote or the subject of some speculation on the circumstances under which they might be expected to survive.