Poland's economic and political transition, one of the most successful transitions, has depended very heavily on the job creation in new firms to replace the jobs lost in the formerly state-owned enterprises. This uses evidence from both survey and aggregate data to analyze four Polish elections...

It is increasingly apparent that widespread entrepreneurial activity is central to economic growth and to any market economy. A high level of this activity depends upon the willingness of individuals to start new firms, to work for new firms, and to encourage those who do both. This study...

Virtually all industrial countries are experiencing some form of transformation in their economies, from the dramatic move from centrally planned to market economies in East-central Europe, to the rebuilding of the economies in the so-called Rust Belt of the USA, to the efforts by Asian...

A model based upon the common concept of rent-seeking behavior avoids an exclusive focus on the pecuniary motive in private institutions and the power motive in public institutions. Using this model, the case for privatization ranges from very strong to unpersuasive, with some fascinating...

We develop the empirical implications of Page's (2006) definition of path dependence as a process where the sequence of historical events affects the final outcome. A critical necessary condition for path dependence in common dynamic models is a time-varying autoregressive parameter whose value...

Analysis of the economic transformation of the Polish economy and of the 1993 elections for Parliament suggest that it is possible to proceed with pro-market and democratic reforms simultaneously. As demonstrated by the Polish case, the key to this process is the rate at which new enterprises...

We argue that the quality of institutions that enforce contracts and protect property rights influences the costs of producing high-value added (complex) versus low-value added (simple) products. Since data is hardly available for domestic transactions, we generate predictions about the...