By embracing education as an economic development tool, policy makers adopt a new economic metaphor--a new way of understanding how the economy works and identifying determinants of development. Development policy has shifted focus, from providing incentives for the accumulation of physical capital to emphasizing investments in human capital. Most…

Independent (single-establishment) businesses with fewer than 100 employees accounted for 31% of the net increase in private nonfarm jobs in nonmetropolitan areas between 1976 and 1980, when the nation's employment was expanding rapidly. Those independent businesses which were in operation less than 5 years in 1980 created jobs at a net rate of…

Grameen Banks are a model of successful support for the smallest businesses. The Grameen Bank began in 1976, when Muhammad Yunus, an economics professor at Chittagong University in southern Bangladesh, loaned Sufiya Khatun, a weaver of bamboo stools, $4 U.S. to buy supplies and raise her daily profit from 2 cents to $1.25. Her success prompted…