THE INFLUENCE OF THE ENTREPRENEURSHIP DEVELOPMENT ON THE INNOVATION PROGRESS.

The purpose of the paper is to examine the influence of the entrepreneurship factors on the innovation progress in Macedonia. The paper at first explores the innovation progress of Macedonia in comparison with other SEE countries and then it tries to find if the determinants of entrepreneurship such as: regulation & taxes, permits & licenses and access to finance, stimulates / underpins the level of innovation in the country. The data analysis is conducted based on the OECD indexes for measuring entrepreneurship and the indicators for measuring innovation according to the World Bank 'Doing Business' reports and databases. Descriptive and regression analysis together with multiple country analysis are used. Although comprehensive understanding is still lacking concerning the interface of entrepreneurship, innovation and growth, the findings show that there is a relationship among the entrepreneurial determinants that impact on the job creation and economic growth and innovation development in Macedonia. [ABSTRACT FROM AUTHOR]