We hear a lot in the media about how small businesses are good for the economy...but are they good enough compared to larger businesses to warrant special tax treatment? A sample of prominent economists suggests that the consensus is "no.". Some highlights:
"Targeted sectoral subsidies almost always a special interest boondoggle. And why does small business helps average citizen more than large?" --David Autor, MIT
"This could well be true, but I don't think we know. Meanwhile, favoring small businesses for job creation seems to be doubly misguided." --Pete Klenow, Stanford
"Maybe I am missing something but I see no particular reason why this sector should be favored." --Richard Thaler, University of Chicago
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