Work

Macroeconomic model of institutional reforms’ influence on economic growth of the new EU members and the Republic of Croatia

Year: 2017

Type: article

Abstract: The aim of this paper is to research, theoretically and empirically, the impact of institutional reforms on economic growth in transition countries (new European Union members) and Croatia, in the period from 1996 to 2012. In order to prove the hypothesis, we will use panel analysis of transition economies and Croatia, namely the Arellano–Bond dynamic panel analysis. The analysis includes two dependent variables (gross domestic product per capita [G.D.P./p.c.]and the share of export in G.D.P.) and five independent variables (total Heritage Index of Economic Freedom, Worldwide Governance Indicators (W.G.I.) government effectiveness indicator, W.G.I. rule of law indicator, corruption perception index and the index of institutional reforms in transition countries). The results show that there is a significant positive impact of institutional reforms on the economic growth of transition countries and Croatia, which creates preconditions that are essential for the future growth rate of the Croatian economy.

Source: Economic Research-Ekonomska Istraživanja

DOI: 10.1080/1331677x.2017.1355260

Authors: Vesna Buterin, Marinko Škare, Denis Buterin

Institutions: University of Rijeka, Juraj Dobrila University of Pula, Polytechnic of Rijeka

Language: English

Topic: Post-Communist Economic and Political Transition

Subfield: Political Science and International Relations

Field: Social Sciences

Domain: Social Sciences

SDGs: Decent work and economic growth, Peace, justice, and strong institutions

Open Access status: gold

Estimated APC paid: $944