Exploring the Importance of Business Formation Statistics (BTOS) for Understanding the U.S. Economy.

The Business Formation Statistics (BTOS) provide a comprehensive representation of all employer businesses in the U.S. economy, excluding farms. This data is crucial for understanding the state of the economy and offers timely updates on key economic measures every two weeks. With detailed geographic and subsector information, BTOS can capture the impact of significant events such as natural disasters and economic crises, as well as assist in monitoring recovery efforts.

The BTOS sample consists of approximately 1.2 million businesses that are surveyed on a biweekly basis. These businesses are split into six panels, each containing about 200,000 cases, which report every 12 weeks for a year. On average, it takes respondents around nine minutes to complete the survey, including the time it takes to review the instructions and provide answers.

The data collected from BTOS is released biweekly and can be accessed by sector, state, and the 25 most populous metropolitan statistical areas. This information is valuable to local, state, and federal officials as it provides real-time data to aid in policymaking and decision-making. Additionally, businesses can utilize this information to make informed economic decisions.