Tracking Job Growth in Private Industry.

The job generation process has been one of the most heavily debated public policy issues of recent years. Governments at the Federal, State, and local levels have invested heavily in programs designed to create jobsincluding urban and general economic development plans, tax credits and incentives, and public sector employment programs-and to improve the ability of individuals to compete effectively in the labor market by providing basic education and training in new and expanding fields . Much current interest centers on the problem of matching unemployed workers from declining industries to opportunities in areas with expanding manpower needs, such as high technology and defenserelated activities . An interesting legislative approach, the Small Business Research Innovation Act,' is a proposal to set aside Federal research money for small businesses in order to spur technological innovation and create new jobs . The success of efforts to increase employment through economic policy hinges on the ability to understand the job creation process, identify the job creators, and develop policy initiatives that enhance their potential. Aggregate data on employment levels and changes by industry and geographic area provide meaningful information on overall labor market trends, but are limited for the study of job creation in that they essentially portray net results. The employment changes reported