Bloomberg View: Turning the Jobless into Entrepreneurs; Letting Talent Cross the Border

Cammie Allie and Ann Costlow are small-scale entrepreneurs who have battled back from unemployment to create successful businesses. Allie manages apartment buildings in Portland, Ore.; Costlow owns four crêperies in Maryland. To get started, each drew on business coaching and income support from an unusual state-funded jobless initiative. These self-employment assistance programs provide 26 weeks of income support, typically about $10,000. Participants try to start enterprises, rather than being required to look full-time for traditional jobs.

Founding a business isn’t for everyone. Hours are long, initial earnings puny, and the failure rate high even in boom times. A weak economy makes everything harder. For some displaced workers, however, self-employment may be their best hope. In Oregon, those opting for self-employment get business pointers and detailed reviews of their startup plans. Examiners look for clear ideas about pricing, supplies, customers, and competition. Only candidates judged to have at least a moderate chance of success can proceed.