The impact of alterations in the local insolvency  legislation on business bankruptcy rates in Poland

Henryk Gurgul; Paweł  Zając

doi:https://doi.org/10.59170/stattrans-2014-030

The impact of alterations in the local insolvency legislation on business bankruptcy rates in Poland

Henryk Gurgul Department of Applications of Mathematics in Economics, AGH University of Science and Technology, Cracow, Poland. , Paweł Zając Department of Applications of Mathematics in Economics, AGH University of Science and Technology, Cracow, Poland. Statistics in Transition new series, vol. 15, 2014, 3, pages: 453-466 Published online: 1 September 2014 https://doi.org/10.59170/stattrans-2014-030

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ABSTRACT

The purpose of this paper is to analyze the number of insolvencies in Poland before and after the major bankruptcy code novelization in the second quarter of 2009. Authors check whether the novelization had its intended effect of reducing bankruptcy rates. Therefore, econometric models have been implemented to investigate changes in bankruptcy rates using quarterly data from the period 2003-2013. While controlling the variety of macroeconomic factors that have influenced insolvency rates, we found that after implementation of the novelization the aggregate bankruptcy rates significantly increased

KEYWORDS

small and medium firms, aggregate bankruptcy rates, amendments to the law

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