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Contributions to Political Economy, Vol. 16, No. 1, pp. 49-59, 1997

research-article

THE RISE IN US BUSINESS FAILURES: CORRECTING THE 1984 DATA DISCONTINUITY

MICHELE I. NAPLES* and ARBEN ARIFAJ

The College of New Jersey
Field Analyst, Diebold, Inc

Abstract

In 1984 Dun and Bradstreet expanded the business-failure series, making it discontinuous. We construct consistent spliced series on the rate, size, and liabilities of business failures. We show that using published, discontinuous data can lead to misleading results.


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