NDE-news: March 21

Science on the Move in House and Senate Appropriations

With the economy driven more and more by innovation and advances in science, a reorganization of the House and Senate Appropriations Committees has resulted in shifting jurisdiction over a significant amount of science dollars. The House committee cut its subcommittees from 13 to 10 with the Subcommittee on Science – State – Justice – Commerce (formerly Commerce – Justice – State – Judiciary) gaining control over NASA, the National Science Foundation and the Office of Science and Technology Policy from VA-HUD. On the Senate side, the number of subcommittees decreased by one and the old Subcommittee on Commerce – Justice – State – Judiciary dropped the State – Justice and added Science (primarily NASA and the National Science Foundation). With new subcommittee chairs, members and staff, the shakeup is certain to create opportunities for some – and cause headaches for others.

Visit the House Subcommittee on Science, State, Justice and Commerce:
- Majority Site
- Minority Site
Visit the Senate Subcommittee on Commerce – Justice – Science

Displaced Workers and Self-Employment

As rapidly changing global markets create job displacements, many state leaders have developed programs that help displaced workers learn about entrepreneurship. North Carolina’s New Opportunities for Workers (NOW) program, which provides entrepreneurship training to displaced workers, is one recent example of such an effort. These strategies make sense according to a new survey of unemployed Americans by Right Management Consultants, a Philadelphia based career transition firm. Overall, 44% of the unemployed consider self-employment. Only 10% actually take the leap, a percentage equivalent to the levels of entrepreneurial activity found in the general US population. Another interesting survey finding concerns the age of those with this interest. Older workers (aged 61 plus) have the highest levels of interest in self-employment while younger workers (aged 21-30) have the lowest interest levels. These findings run contrary to other research that shows that entrepreneurial activity is most prevalent among those between the ages of 25-44.

Learn more about North Carolina’s New Opportunities for Workers
Learn more about the March 2005 Right Management Consultants survey

New Data on Small Business Finance

The Small Business Administration’s (SBA) Office of Advocacy has released its latest annual survey on the state of small business finance. This year’s report summarizes data from June 2002-2003, and the overall picture is fairly mixed. Both the demand and supply of business loans grew, but at a slower rate (2.3%) than in June 2001-2002 (5.1%). Within these overall figures, two potentially worrisome trends stand out. Both the volume and value of micro loans (under $100,000) continue to decline. The value of these outstanding loans dropped 2.5% over the year, and the number of loans dropped even faster (10.5%). Bank consolidation also proceeds forward. In June 2003, the 67 largest banks and bank holding companies accounted for nearly 75% of total banking assets in the US. This consolidation is reflected in the growing role of large banks in providing financing at levels below $100,000. They now provide nearly 65% of these loans—up from 46.4% in 2002. This growing share is likely the result of a big expansion in the marketing of small business credit cards.

Download the March 2005 SBA report, Small Business and Micro Business Lending in the United States for Data Years 2002-2003

Week of March 21 - March 25, 2005