The chapter reviews the book *Job Creation and Destruction* by S. J. Davis, J. C. Haltiwanger, and S. Schuh, which examines the dynamics of job creation and destruction in the context of high unemployment rates in many OECD countries. The book highlights the importance of job creation and destruction in wealth creation, income distribution, and economic adjustment. It focuses on employment changes at the plant or firm level rather than at the industry level, providing a more detailed and accurate picture of job creation and destruction. The authors discuss the empirical research on job creation and destruction, emphasizing the role of longitudinal data sources, such as the Longitudinal Research Database maintained by the U.S. Census Bureau. They explore the macroeconomic implications of job creation and destruction over the business cycle, the structure of job creation, and the heterogeneity of job reallocation among firms and workers. Key findings include: - Rapid job creation and destruction occur in a small number of plants or firms, often due to idiosyncratic factors. - Recessions are characterized by a sharp increase in job destruction and only a mild slowdown in job creation. - Worker reallocation is not countercyclical, with turnover falling during recessions. - Small firms in Canada have been dynamic and created a disproportionate share of jobs, but their relative productivity and wages have been falling. - Targeted policies based on firm size or industry may be ineffective due to the heterogeneity of job creation and destruction. The book also addresses the role of small firms in job creation, the importance of flexible labor markets, and the need for new longitudinal data sources to link firm and worker information. Overall, the research challenges traditional stereotypes and provides new insights into the job creation process, highlighting the need for more comprehensive data and policy considerations.The chapter reviews the book *Job Creation and Destruction* by S. J. Davis, J. C. Haltiwanger, and S. Schuh, which examines the dynamics of job creation and destruction in the context of high unemployment rates in many OECD countries. The book highlights the importance of job creation and destruction in wealth creation, income distribution, and economic adjustment. It focuses on employment changes at the plant or firm level rather than at the industry level, providing a more detailed and accurate picture of job creation and destruction. The authors discuss the empirical research on job creation and destruction, emphasizing the role of longitudinal data sources, such as the Longitudinal Research Database maintained by the U.S. Census Bureau. They explore the macroeconomic implications of job creation and destruction over the business cycle, the structure of job creation, and the heterogeneity of job reallocation among firms and workers. Key findings include: - Rapid job creation and destruction occur in a small number of plants or firms, often due to idiosyncratic factors. - Recessions are characterized by a sharp increase in job destruction and only a mild slowdown in job creation. - Worker reallocation is not countercyclical, with turnover falling during recessions. - Small firms in Canada have been dynamic and created a disproportionate share of jobs, but their relative productivity and wages have been falling. - Targeted policies based on firm size or industry may be ineffective due to the heterogeneity of job creation and destruction. The book also addresses the role of small firms in job creation, the importance of flexible labor markets, and the need for new longitudinal data sources to link firm and worker information. Overall, the research challenges traditional stereotypes and provides new insights into the job creation process, highlighting the need for more comprehensive data and policy considerations.