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The Economic Effects of Croatia's Accession to the EU

Author

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  • Lejour, Arjan Marcel
  • Mervar, Andrea
  • Verweij, Gerard

Abstract

We explore the economic implications of the possible accession of Croatia to the European Union. We focus on two main changes associated with the EU-membership: accession to the internal European Market and institutional reforms in Croatia triggered by the EU-membership. consumption per capita in Croatia is estimated to rise by about 2.5% as a result of accession to the internal market. In particular the textile and wearing apparel sectors expand. If Croatia succeeds in reforming its domestic institutions in response to the EU-membership, income levels in Croatia could increase even more. In particular, tentative estimates suggest that GDP per capita in Croatia could even rise by additional 8%. Overall, the macroeconomic implications for the existing EU countries are negligible.

Suggested Citation

  • Lejour, Arjan Marcel & Mervar, Andrea & Verweij, Gerard, 2008. "The Economic Effects of Croatia's Accession to the EU," Economics Discussion Papers 2008-6, Kiel Institute for the World Economy.
    • Handle: RePEc:zbw:ifwedp:7096
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    Cited by:

    1. Luka Vukić & Davor Mikulić & Damira Keček, 2021. "The Impact of Transportation on the Croatian Economy: The Input–Output Approach," Economies, MDPI, vol. 9(1), pages 1-16, January.
    2. Harald Badinger & Fritz Breuss, 2011. "The Quantitative Effects of European Post-war Economic Integration," Chapters, in: Miroslav N. Jovanović (ed.), International Handbook on the Economics of Integration, Volume III, chapter 14, Edward Elgar Publishing.

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    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations

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