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Browse thousands of words and phrases selected by Financial Times editors and suggest new terms for the glossary.


Term of the day

firm entry rate

In a certain industry, the firm entry rate in a given period of time is the number of firms that began operations during that period, divided by the total number of firms that operated during the preceding period.

In part, entry rates reflect the impact of government regulations that assign competitive advantages to existing firms or make it harder for prospective entrepreneurs to start operating.

Entry rates measure churning in an industry, meaning the pace at which the identity of producers...