Performance of Entrepreneurship and its Effects on Economic Development: The Case of Romania and Poland

The entrepreneurship is significant for stimulating the economic development of countries. Thepolicy makers from countries around the world joined forces, in recent years, to find the appropriate measuresthat can stimulate and support entrepreneurship. Moreover, given that the economic turmoil caused in recentyears by various crises (financial, now health) have significantly affected the business environment and theeconomies of all countries, the attention of decision makers but also of researchers for identifying measures tohelp entrepreneurship has increased. In this context, our paper analysis the effects the relation betweenentrepreneurial performance and economic development for two countries: Romania and Poland, focusing ona comparative assessment. We try to identify if increased entrepreneurial performance could improve theeconomies of the two countries considered. For the empirical analysis we use two dependent variables as proxyfor the level of economic development, and a set of eight indicators that measure the entrepreneurialperformance. The analysis comprises in graphical, comparative and also panel-data estimation techniques andtargets the period between 2008 and 2016. Our results show that entrepreneurial performance can sustain andstimulate competitiveness of the two considered countries but also their economic growth. Our results couldbe of interest to decision makers from Romania and Poland that intend to increase economic developmentthrough the entrepreneurial sector.