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Determinants and Economic Effects of New Firm Creation: Evidence from Polish Regions

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  • Paweł Gajewski
  • Ali M Kutan

Abstract

This article studies firm entry dynamics in Poland—an emerging Central and Eastern European (CEE) economy with significant regional disparities. In particular, it examines both long- and short-run drivers of new firm creation in the Polish NUTS-2 regions and the role of firm entries for the region’s economic activity by investigating the propagation of shocks to firm entry on regional GDP, nonagricultural employment, and the total number of firms. Results indicate that regional economic structures significantly affect new firm creation. Some important results are also obtained with regard to the role of firm entry in regional development patterns in Poland.

Suggested Citation

  • Paweł Gajewski & Ali M Kutan, 2018. "Determinants and Economic Effects of New Firm Creation: Evidence from Polish Regions," Eastern European Economics, Taylor & Francis Journals, vol. 56(3), pages 201-222, May.
    • Handle: RePEc:mes:eaeuec:v:56:y:2018:i:3:p:201-222
    DOI: 10.1080/00128775.2018.1442226
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    Cited by:

    1. Małgorzata Wosiek, 2023. "Unemployment and Enterprise Births in European Countries: A Sectoral Approach," Sustainability, MDPI, vol. 15(2), pages 1-17, January.
    2. Gajewski Pawe³, 2018. "Demand and Supply Shock Symmetry across Polish Voievodships," Lodz Economics Working Papers 5/2018, University of Lodz, Faculty of Economics and Sociology.
    3. Barbara Będowska-Sójka, 2016. "Liquidity Dynamics Around Jumps: The Evidence from the Warsaw Stock Exchange," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 52(12), pages 2740-2755, December.

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