Americans Rush to Be Their Own Bosses as Covid Hits Job Market

Whether out of necessity or a fondness for working in one’s pajama bottoms, Americans are filing paperwork to become their own bosses at a clip one economist calls “off the charts.”

The number of people applying for Employer Identification Numbers, which new businesses file with the IRS, has doubled in recent weeks over year-ago levels and has outpaced the rate seen during the Great Recession. Most are so-called nonemployers such as sole proprietors, although economists have spotted a surprisingly strong increase in applications for businesses likely to hire staff.

Among the new entrepreneurs is Angie Bledsoe, a 43-year-old digital ...