MEASURING ENTREPRENEURSHIP OECD-EUROSTAT ENTREPRENEURSCHIP INDICATORS PROGRAMME (EIP) Joint UNECE/Eurostat Seminar on Business Registers Luxembourg, 7 October 2009 Koen De Backer OECD

E NTREPRENEURSHIP INDICATORS PROGRAMME (EIP) Feasability study in 2005 Started in 2006 Funding by Kauffman Foundation and Danish led ‘International Consortium on Entrepreneurship (ICE) Partnership with Eurostat - OECD – Eurostat EIP Activities 2006 – 2008 (OECD Secretariat – Eurostat – EIP Steering Group) Cooperating with National Statistical Offices Developing common definitions for entrepreneurship Drawing a list of empirical indicators on entrepreneurship Data collection

INDICATORS OF ENTREPRENEURSHIP : EIP APPROACH (1) Broad definitions of entrepreneurship Importance of ‘new’ and ‘value’ Focus on business entrepreneurship No single measure perfectly reflects definition Must distinguish types of entrepreneurship Employer vs non-employer firms High growth firms and gazelles

Original data-collection, due to and in close cooperation with NSOs! INDICATORS OF ENTREPRENEURSHIP : EIP APPROACH (2)

E NTERPRISE BIRTH AND DEATH RATES (1)

E NTERPRISE BIRTH AND DEATH RATES (2)

E NTERPRISE BIRTH AND DEATH RATES (3)

E NTERPRISE BIRTH AND DEATH RATES (4)

E NTERPRISE BIRTH AND DEATH RATES (5)

E NTERPRISE BIRTH AND DEATH RATES (6)

S URVIVAL RATES – ENTRY COHORTS

H IGH GROWTH FIRMS

Y OUNG HIGH GROWTH FIRMS - GAZELLES

EXTENDING THE COUNTRY COVERAGE (1) Digest publication 2008Digest publication countries23 countries/regions

OECD countries –large countries (Australia, France, Germany, United Kingdom) miss out –Voluntary data collection on EU-level Non-OECD countries –Accession/enhanced engagement countries –Cooperation with UNCTAD Regions (Andalucia is testcase) EXTENDING THE COUNTRY COVERAGE (2)

Timely indicators for the EIP -EIP produces solid but rather late indicators -official (NSOs) and validated indicators -not timely: 2-3 years time lag -A high demand for more timely entrepreneurship indicators: - financial crisis; - short term, leading indicators - Using additionally sources: administrative data -Chambres of commerce -business associations

Original data-collection, due to and in close cooperation with NSOs! Filling in indicators, based on existing evidence INDICATORS OF ENTREPRENEURSHIP : EIP APPROACH (3)

A FIRST S TEP (1) CREATION AND DIFFUSION OF KNOWLEDGE ACCESS TO FINANCE ENTREPRENEURIAL CAPABILITIES

REGULATORY FRAMEWORK MARKET CONDITIONS ENTREPRENEURIAL CULTURE A FIRST S TEP (1)