See Erik Brynjolfsson and Andrew McAfee (2014), The Second Machine Age: Work, Progress, and Prosperity in a Time of Brilliant Technologies (New York: W.W. Norton). 9. See Ryan A. Decker, John Haltiwanger, Ron S. Jarmin and Javier Miranda (2016), “Declining Business Dynamism: What We Know and the Way Forward,” Amercian Economic Review, vol.
In addition, the disorderly failure of a large, complex, interconnected firm could undermine confidence in the U.S. financial sector more broadly, potentially triggering a widespread withdrawal of funding by investors and an additional tightening of credit conditions, which would, in turn, cause a further reduction in economic activity.