
21 Hats Podcast Dashboard: Why Chasing Growth So Often Backfires
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Feb 6, 2026 Gary Kunkel, an economist who researches sustained growth and why few firms create most jobs. He discusses the 1% growth pattern, the customer profitability "whale" where ~20% drive profits, risks of fast growth and debt, and the 50 decisions and six drivers that enable repeatable, disciplined scaling. Practical steps for diagnosing unprofitable customers and prioritizing durable growth are highlighted.
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From Consultant To Sustained Growth Researcher
- Gary ran a consulting firm in Europe with about 12 employees and worked for the state of Maryland.
- That experience led him back to the U.S. to get a PhD focused on sustained growth research.
Tiny Percent Drives Most Growth
- About 1% of companies generate roughly two-thirds of jobs and repeated growth events distinguish them.
- Gary Kunkel found 50 decisions that separate these sustained growers from the rest.
Pattern Repeats Across States
- Across multiple states and datasets the top ~1% consistently produce the majority of job creation.
- This pattern held in Pennsylvania, Virginia, Texas, Louisiana, and Michigan.
