Examining the Export-led Growth Hypothesis: The case of Croatia
This paper examines the relationship between gross domestic product and exports of goods and services in Croatia between 1996 and 2012. The research results confirmed unidirectional Granger causality from the exports of goods and services to gross domestic product. Following the Engle-Granger approa...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
| Published: |
Sciendo
2015-06-01
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| Series: | Naše Gospodarstvo |
| Subjects: | |
| Online Access: | https://doi.org/10.1515/ngoe-2015-0010 |
| _version_ | 1818280472235474944 |
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| author | Bilas Vlatka Bošnjak Mile Franc Sanja |
| author_facet | Bilas Vlatka Bošnjak Mile Franc Sanja |
| author_sort | Bilas Vlatka |
| collection | DOAJ |
| description | This paper examines the relationship between gross domestic product and exports of goods and services in Croatia between 1996 and 2012. The research results confirmed unidirectional Granger causality from the exports of goods and services to gross domestic product. Following the Engle-Granger approach to cointegration, long-term equilibrium as well as short-term correlation between the observed variables was identified. Exports of goods and services and gross domestic product (GDP) in Croatia move together. If the two observed variables move away from equilibrium, they will return to their long-term equilibrium state at a velocity of 24.46% in the subsequent period. In accordance with the results, we found evidence supporting the export-led growth hypothesis in Croatia. As the outcomes indicated, to recover the economy, Croatia should put more emphasis on the development of exporting sectors. |
| first_indexed | 2024-12-12T23:49:46Z |
| format | Article |
| id | doaj.art-9aad0820f14c404281f6e2935b441e1d |
| institution | Directory Open Access Journal |
| issn | 2385-8052 |
| language | English |
| last_indexed | 2024-12-12T23:49:46Z |
| publishDate | 2015-06-01 |
| publisher | Sciendo |
| record_format | Article |
| series | Naše Gospodarstvo |
| spelling | doaj.art-9aad0820f14c404281f6e2935b441e1d2022-12-22T00:06:44ZengSciendoNaše Gospodarstvo2385-80522015-06-01613223110.1515/ngoe-2015-0010ngoe-2015-0010Examining the Export-led Growth Hypothesis: The case of CroatiaBilas Vlatka0Bošnjak Mile1Franc Sanja2University of Zagreb, Faculty of Economics and Business, CroatiaSKDD – CCP Smart Clear Ltd Zagreb, CroatiaUniversity of Zagreb, Faculty of Economics and Business, CroatiaThis paper examines the relationship between gross domestic product and exports of goods and services in Croatia between 1996 and 2012. The research results confirmed unidirectional Granger causality from the exports of goods and services to gross domestic product. Following the Engle-Granger approach to cointegration, long-term equilibrium as well as short-term correlation between the observed variables was identified. Exports of goods and services and gross domestic product (GDP) in Croatia move together. If the two observed variables move away from equilibrium, they will return to their long-term equilibrium state at a velocity of 24.46% in the subsequent period. In accordance with the results, we found evidence supporting the export-led growth hypothesis in Croatia. As the outcomes indicated, to recover the economy, Croatia should put more emphasis on the development of exporting sectors.https://doi.org/10.1515/ngoe-2015-0010gross domestic productexportcroatiagranger causality |
| spellingShingle | Bilas Vlatka Bošnjak Mile Franc Sanja Examining the Export-led Growth Hypothesis: The case of Croatia Naše Gospodarstvo gross domestic product export croatia granger causality |
| title | Examining the Export-led Growth Hypothesis: The case of Croatia |
| title_full | Examining the Export-led Growth Hypothesis: The case of Croatia |
| title_fullStr | Examining the Export-led Growth Hypothesis: The case of Croatia |
| title_full_unstemmed | Examining the Export-led Growth Hypothesis: The case of Croatia |
| title_short | Examining the Export-led Growth Hypothesis: The case of Croatia |
| title_sort | examining the export led growth hypothesis the case of croatia |
| topic | gross domestic product export croatia granger causality |
| url | https://doi.org/10.1515/ngoe-2015-0010 |
| work_keys_str_mv | AT bilasvlatka examiningtheexportledgrowthhypothesisthecaseofcroatia AT bosnjakmile examiningtheexportledgrowthhypothesisthecaseofcroatia AT francsanja examiningtheexportledgrowthhypothesisthecaseofcroatia |