Figure 1. Solo Business Formation and Self-Employment Are Growing Faster in AI-Exposed Sectors

Growth since 2024, AI-exposed vs. comparison sectors and occupations — two independent data sources, same pattern

For the BFS analysis, AI-exposed sectors include Professional Services, Information, Education, and Finance and Insurance; the comparison group includes Construction and Wholesale Trade. Solo-type business applications are an author-constructed proxy calculated as total business applications minus high-propensity business applications. For the CPS analysis, AI-exposed occupations are the 10 most exposed occupations according to the AI Occupational Exposure (AIOE) index, including management analysts, accountants and auditors, and economists; the comparison group consists of the 10 least exposed occupations, including roofers, cement masons, and dining room attendants.
Chart: Liya PalagashviliSource: U.S. Census Bureau, Business Formation Statistics (BFS) and Current Population Survey (IPUMS-CPS) microdata.