Entrepreneurial activity is a key contributor to economic growth, innovation and the development of a market economy in transition countries. Data from the Life in Transition Survey reveal that financial sector development and access to credit are the most important drivers of entrepreneurship....

This paper examines the main policy and structural determinants of the intensity of competition at the enterprise level across transition economies, presenting new evidence based on an enterprise-level survey and a legal survey directed to both competition agencies and legal experts in the area...

Recent studies have focused on the characteristics and policies of the state to explain the extent and causes of corruption, with little attention paid to the role played by firms. Consequently, the links between corporate governance and national governance have been unexplored. This paper...

Wide differences between effective or realised average tax rates, and tax yields that would result if statutory tax rates were strictly applied indicate problems with tax compliance and collection. Due to the greater politicisation of tax systems in transition economies (TEs), we would expect...

This paper looks at the relation between foreign direct investment (FDI) and gross fixed capital formation in transition countries as well as other sources of capital formation financing, namely debt financing, capital market financing and subsidies. The paper shows that capital formation is...

We test under what circumstances boards discipline managers and whether such interventions improve performance. We exploit exogenous variation due to the staggered adoption of corporate governance laws in formerly communist countries coupled with detailed “hard” information about the...

This paper studies the capital structure dynamics of central and eastern European firms to better understand the quantitative and qualitative development of financial systems in this region. The dynamic model used endogenises the target leverage as well as the adjustment speed towards these...