Effects of Entrepreneurship on Economic Growth in Transition Economies

Abstract

The emphasis on entrepreneurship with the importance for economic growth and development is increasing day by day. This situation is particularly feeding the level of development, but also providing to have high level of economic, social, technological and cultural infrastructure in developed countries. In other words, this is particularly the level of sophistication feeding, but also in developed countries, economic, technological, social and cultural infrastructures are also leading to a high level of entrepreneurship. In other words, more entrepreneurial individuals grow in the country which has economic and social conditions in relevant level and this increase the importance of determination on the performance of economic growth. In this study, until the 1990s, private enterprise was almost zero in 1991 to the former socialist countries with the transition process relations of production and consumption was abandoned from planned economy conditions to in the conditions of market economy. In this aspect, the factors affecting economic growth, entrepreneurship and employment variables are the level of savings. After econometric analysis, all independent variables are found significant and the impacts of those variables on economic growth are examined positive. This showed that entrepreneurship took a place as an important factor on growth performance of countries in development such as labour and capital.