An enduring mystery of the "gig economy": Why are so few people self-employed? on.wsj.com/1W7begm https://t.co/ju39yYbLjA—
Real Time Economics (@WSJecon) October 22, 2015
Robert Lucas predicted the decline in the number of small business people and small firms in 1978. The number of small firms will fall and the number of large firms will rise with increases in real wages (Lucas 1978; Poschke 2013; Gollin 2008; Eeckhout and Jovanovic 2012).
Lucas closed his 1978 discussion of the size distribution of firms, and how firms are getting larger an average over the course of the 20th century, with a discussion of a lovely restaurant he visited on the Canadian border. He predicted that in couple of decades time, these type of restaurants will be fewer.
Nations that are more productive over time and have higher wages because they have accumulated more capital per worker.
One consequence of more capital per worker is real wages increase at a faster rate than profits (Gollin 2008; Eeckhout and Jovanovic 2012). For example, the rate of return…
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Utopia, you are standing in it! 
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