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 studies the effect of religious and linguistic diversity in a given locality on individual entrepreneurial behaviour, and finds that cultural diversity and entrepreneurship follow an inverted U-shaped pattern. We make three theoretical contributions. Unlike previous research, we are...

The literature has identified the quality of political institutions in the transition region as an essential but understudied component of growth, transition and reform. This paper aims to disentangle the determinants of democratic institutions by investigating if high income inequality is...