The Regional Entrepreneurship and Development Index (REDI): The Case of Spain

Abstract

This paper constructs a Regional Entrepreneurship and Development Index (REDI) that captures the contextual features of entrepreneurship across regions. Using both institutional data and survey data weaknesses in the incentive structure that affects regional development can be identified. The entrepreneurial disparities among regions are analysed at the country and regional level using a penalty for bottleneck methodology. The methodology allows us to coordinate public policy action at national and regional levels.

Keywords: Entrepreneurship, Regional Development, Stages of Growth, GEDI, Entrepreneurship policy

JEL Classification: L26, R11, R58