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Entrepreneurs and the Ordering of Institutional Reform: Poland, Slovakia, Romania, Russia and Ukraine Compared

Simon Johnson, John McMillan and Christopher Woodruff ()

The Economics of Transition, 2000, vol. 8, issue 1, 1-36

Abstract: We use survey data to examine new firms in Poland, Slovakia, Romania, Russia and Ukraine. By measures of job growth, security of property, and market development, our countries fall into two groups: an advanced group including Poland, Romania and Slovakia, with Slovakia falling somewhat behind the other two; and a backward group of Russia and Ukraine. Macroeconomic stability is not sufficient for private‐sector growth. A lack of bank finance does not seem to prevent private‐sector growth. More inhibiting than inadequate finance are insecure property rights.

Date: 2000
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