Microbusiness is Big Business in Rural America

Research

Microbusinesses play a very important role in community economic development throughout Rural America. A recent study conducted at the University of Maine found that microbusinesses have a positive and substantial economic impact on communities throughout the New England Region. The majority of businesses in New England are microbusinesses, and they contribute 20 percent to the employment base and an estimated $56 billion in gross state product to the region. Given the decline in traditional industries throughout New England and rural America, microbusinesses are expected to play an increasingly important economic role in the years to come.

This session will focus on a recent study conducted at the University of Maine that analyzed the economic impact and importance of microbusinesses to the New England economy. The presentation will explore how microbusinesses impact rural economies and will identify and discuss important demographic, spatial and policy factors that influence microbusiness activity. Participants will also learn about a methodology for calculating the incidence and importance of microbusinesses for each county in the United States. This session will help participants better understand the role microbusinesses play in the economy and help development professionals and policy makers formulate more effective rural economic development policies.