In public discourse in the United States, small businesses are lauded as drivers of the economy and keys to economic growth, while "big business" is often vilified. Even in the face of evidence that larger firms are proven to be more likely to stimulate economic growth, American public policy...

Since 1980, US wage growth has been fastest in large cities. Empirically, we show that most of this urban-biased growth reflects wage growth at large Business Services firms, which are also the most intensive users of information and communications technology (ICT) capital in the US economy. We...