The present paper develops a general production function framework, augmented with two institutional variables namely, bureaucracy and corruption, on 28 transition economies over the period 2000 to 2015. We use various econometric specifications and apply both the Fixed Effects as well as the...

Governments foster conducive conditions for entrepreneurs through functioning free markets and good governance. In most post-Soviet countries, these conditions are still missing. Lack of political will combined with a detrimental Soviet legacy towards entrepreneurs continues to stunt...