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Alternative Approaches in Evaluating the EU SME Policy: Answers to the Question of Impact and Legitimization

Author

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  • Robert K. Gruenwald

    (Cracow University of Economics)

Abstract

The objective of the paper is the determination and criticism of existing EU SME Policy evaluation standards and of existing alternatives enabling the discussion of improvements. The paper uses a comparison of different evaluation methods applied by the OECD, the EU and Sweden and of funding programmes provided by KfW and the German Ministry of Economics; therefore, the paper is an explorative case study. OECD and EU evaluations do not determine causal relationships between funding allocation and effects. The evaluations of the KfW and the German Ministry of Economics use an empirical quantitative approach and determine direct causal relations. In order to fulfil the requirements of legitimizing functions for the SME policy, it is recommended to further develop the EU funding policy and evaluation according to the “German model” both in terms of the institutional framework and in terms of the evaluation of impacts through funding policy measures. Definition of minimum requirements and alternative possibilities for EU SME policy evaluation in order to close the legitimisation gap between the allocation of tax money and impact proof (cost-benefit ratio).

Suggested Citation

  • Robert K. Gruenwald, 2014. "Alternative Approaches in Evaluating the EU SME Policy: Answers to the Question of Impact and Legitimization," Entrepreneurial Business and Economics Review, Centre for Strategic and International Entrepreneurship at the Cracow University of Economics., vol. 2(2), pages 77-88.
    • Handle: RePEc:krk:eberjl:v:2:y:2014:i:2:p:77-88
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    File URL: http://eber.uek.krakow.pl/index.php/eber/article/download/45/49
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    References listed on IDEAS

    as
    1. David B. Audretsch & Isabel Grilo & A. Roy Thurik (ed.), 2007. "Handbook of Research on Entrepreneurship Policy," Books, Edward Elgar Publishing, number 3856.
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    5. Colin Wren, 2007. "Reconciling Practice with Theory in the Micro-Evaluation of Regional Policy," International Review of Applied Economics, Taylor & Francis Journals, vol. 21(3), pages 321-337.
    6. Lenihan, Helena, 2011. "Enterprise policy evaluation: Is there a 'new' way of doing it?," Evaluation and Program Planning, Elsevier, vol. 34(4), pages 323-332, November.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    evaluation; SME policy; EU entrepreneurship; economic policy; cost-benefit ratio;
    All these keywords.

    JEL classification:

    • H5 - Public Economics - - National Government Expenditures and Related Policies

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