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This note gives the quick read on research describing scenarios for global value chains over the next 10 to 15 years. It indicates that the future of GVCs may look quite different from the past, with the growing digitalisation of production most likely the biggest game changer.
English, PDF, 351kb
Korea has undertaken reforms to stimulate entrepreneurship and improve SME efficiency, but further efforts are needed to foster a more entrepreneurial culture and develop market-based financing for innovative and growth-oriented start-ups and SMEs.
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SMEs are a key part of Turkey’s economy. The value-added created by SMEs increased by around 6% in the post-crisis period and employment in SMEs grew by around 9%. Turkey has enacted reforms to its company registration and insolvency procedures, which were costly and complex compared to other OECD countries. The effectiveness of these measures should be evaluated and further steps taken if necessary to stimulate business development.
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Credit to small and medium-sized enterprises (SMEs) declined more in Hungary than in most other countries since 2008, and credit conditions remain comparatively tight, especially for small businesses, firms with a higher risk-return profile and firms seeking long-term loans.
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Hungarian youth are less active in entrepreneurship than young people in most other OECD countries. In 2014, 2.5% of all youth aged 15-24 were self-employed, which is below the European Union average of 4.2%. This gap can be explained by a negative attitude towards entrepreneurship and few perceived opportunities.
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Boosting the productivity and competitiveness of the economy would help Costa Rica to progress further and take full advantage of its integration into GVCs. Improving the competitiveness of services sectors is particularly pertinent.
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Business lending in Ireland has still not recovered to pre-crisis levels. Credit conditions remain tight, and interest rates high by Euro area standards, especially for small firms.
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Private investment is a powerful development enabler, however governments need sound policy frameworks to enhance its development benefits. This policy brief describes how, working with the OECD, the Southern African Development Community (SADC) has created the SADC Investment Policy Framework (IPF) which provides a roadmap for investment policy reform in five areas having a strong bearing on the investment climate in the region.
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The OECD programme on local economic and employment development (LEED) has advised governments and communities since 1982 on how to respond to economic change and tackle complex problems in a fast-changing world. Its mission is to contribute to the creation of more and better quality jobs through more effective policy implementation, innovative practices, stronger capacities and integrated strategies at the local level.
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Many spells in self-employment end within the first few years of business. This can be by choice to earn income in-between jobs, or it can be due to systematic barriers that prevent businesses from becoming sustainable. This Policy Brief was prepared by the LEED (Local Economic and Employment Development) Programme of the OECD with the financial support of the European Commission, D-G for Employment, Social Affairs and Inclusion.