BFS statistics released today show continued surge in new business applications in AI-intensive sectors. The surge is dominated by likely new nonemployers. Index for likely new employers is 1.3 (relative to base of 1 in 2019m1) in May 2026 but 2.9 for likely new nonemployers.
New BTOS AI Supplement from Census released today. AI use for any business function varies dramatically across sectors and firm size. In AI intensive use sectors, employment-weighted AI use 60-70% -- compared to 32% economy-wide employment weighted. See www.census.gov/library/work...
The Microstructure of AI Diffusion: Evidence from Firms, Business Functions, and Worker Tasks
Using new Business Trends and Outlook Survey data, we find AI use prevalent in large firms and knowledge-intensive sectors; augments tasks; labor declines rare.
census.gov
Congratulations to Philippe Aghion, Peter Howitt and Joel Mokyr for a well deserved Nobel Prize. It was nice to see the US Census Bureau's Business Dynamic Statistics featured in the motivating evidence in the scientific writeup: www.nobelprize.org/uploads/2025...
Census Business Formation Statistics (www.census.gov/econ/bfs/ind...) released today for February 2025. Applications in High Tech (NAICS 51 + 54) show robust projected employer business startups over next 8 quarters. February shows recovery from January dip but not as high as December 2024.
New business applications for likely employers are a novel leading economic indicator, from Jose Asturias, Emin Dinlersoz, John C. Haltiwanger, Rebecca J. Hutchinson, and Alyson Plumb https://www.nber.org/papers/w33224
New Business Applications increased in November 2024 remaining at high levels relative to 2019. Applications in November 2024 for likely employers 46% higher than average month in 2019.
The recent increase in US wage inequality is driven by a small number of industries, according to researchers at the University of Maryland, US Census Bureau, and IZA. High-wage workers are increasingly sorting into high-wage industries, such as high-tech. #econsky www.aeaweb.org/research/cha...
The polarization of industry wages
A small set of industries accounts for the rise in US earnings inequality over the last two decades.
aeaweb.org
