COVID Entrenpreneurs
Macro
New business formation drove COVID gap in HH vs Paryoll Employment
The gap between household and payroll survey employment during COVID was well documented.
Potential reasons for the gap abound. One reason is the fact that new business formation took off during COVID. Some even suggest there was malfeasance as charlatans took advantage of emergency support programs.
Self Employment grew dramatically; e.g. I got fired / quit due to COVID, so I started up my own business as a social media influencer.
What I didn’t realize is that the drive to self employment was all UNincorporated.
Makes sense since there are greater hurdles in starting an LLC than a sole proprietorship, etc..