Real estate boom and export performance bust in Croatia

Tkalec, Marina; Vizek, Maruška

Scientific paper - Original scientific paper

Real estate boom and export performance bust in Croatia

Zbornik radova Ekonomskog fakulteta u Rijeci : časopis za ekonomsku teoriju i praksu, 32 (2014), 1; 11-34. urn:nbn:hr:213:447380

Tkalec, Marina; Vizek, Maruška

Cite this document

APA 6th Edition

Tkalec, M. & Vizek, M. (2014). Real estate boom and export performance bust in Croatia. Zbornik radova Ekonomskog fakulteta u Rijeci : časopis za ekonomsku teoriju i praksu, 32. (1), 11-34. Retrieved from https://urn.nsk.hr/urn:nbn:hr:213:447380

MLA 8th Edition

Tkalec, Marina and Maruška Vizek. "Real estate boom and export performance bust in Croatia." Zbornik radova Ekonomskog fakulteta u Rijeci : časopis za ekonomsku teoriju i praksu, vol. 32, no. 1, 2014, pp. 11-34. https://urn.nsk.hr/urn:nbn:hr:213:447380

Chicago 17th Edition

Tkalec, Marina and Maruška Vizek. "Real estate boom and export performance bust in Croatia." Zbornik radova Ekonomskog fakulteta u Rijeci : časopis za ekonomsku teoriju i praksu 32, no. 1 (2014): 11-34. https://urn.nsk.hr/urn:nbn:hr:213:447380

Harvard

Tkalec, M. and Vizek, M. (2014) 'Real estate boom and export performance bust in Croatia', Zbornik radova Ekonomskog fakulteta u Rijeci : časopis za ekonomsku teoriju i praksu, 32(1), pp. 11-34. Available at: https://urn.nsk.hr/urn:nbn:hr:213:447380 (Accessed 17 April 2024)

Vancouver

Tkalec M, Vizek M. Real estate boom and export performance bust in Croatia. Zbornik radova Ekonomskog fakulteta u Rijeci : časopis za ekonomsku teoriju i praksu [Internet]. 2014 June 17 [cited 2024 April 17];32(1):11-34. Available at: https://urn.nsk.hr/urn:nbn:hr:213:447380

IEEE

M. Tkalec and M. Vizek, "Real estate boom and export performance bust in Croatia", Zbornik radova Ekonomskog fakulteta u Rijeci : časopis za ekonomsku teoriju i praksu, vol. 32, no. 1, pp. 11-34, June 2014. [Online]. Available at: https://urn.nsk.hr/urn:nbn:hr:213:447380. [Accessed: 17 April 2024]

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Metadata

Title (english)	Real estate boom and export performance bust in Croatia
Title (croatian)	Uspon sektora nekretnina i podbačaj hrvatskog izvoza
Author	Marina Tkalec MBZ: 318005
Author	Maruška Vizek MBZ: 252024
Author's institution	The Institute of Economics, Zagreb
Scientific / art field, discipline and subdiscipline	SOCIAL SCIENCES Economics
Abstract (english)	The goal of this research is to estimate the effect of resource eallocation from the manufacturing to the real estate economic sector on exporting activity in Croatia, a small open post-transition country that experienced a real estate boom during the previous decade. This paper follows the work by Égert and Kierzenkowski (2014) as we test the hypothesis that the real estate boom had an adverse impact on country’s export performance. For that purpose we use quarterly data ranging from 1Q1998 to 3Q2013, and estimate export equations using maximum likelihood and dynamic ordinary least squares estimators of cointegration. Our results indicate that the distortion of relative prices in favor of non-tradable sectors (construction and real estate), which is a direct by-product of the real estate boom, has had stifling effects on export performance. Our results also suggest that ailing cost competitiveness and governments’ inability to implement policies promoting private sector economic development adversely influenced export performance during the period analyzed. The basic conclusion of our research is that the expansion of a non-tradable sector in a country with limited supply of production factors can have a detrimental effect on the ability of the tradable sector to increase its output and compete in international markets.
Abstract (croatian)	Cilj ovoga rada je ocijeniti utjecaj premještanja resursa iz prerađivačkog u sektor nekretnina na izvoznu aktivnost u Hrvatskoj, maloj, otvorenoj, post-tranzicijskoj ekonomiji koja je tijekom proteklog desetljeća iskusila uspon sektora nekretnina. U analizi slijedimo rad Égerta i Kierzenkowskog (2014) s obzirom na to da testiramo ima li uspon cijena nekretnina negativan utjecaj na izvoz. U tu svrhu koristimo kvartalne podatke u razdoblju od prvog tromjesečja 1998. do trećeg tromjesečja 2013. godine te ocjenjujemo izvozne jednadžbe koristeći različite procjenitelje kointegracije: najveću vjerojatnost (engl. maximum likelihood) i metodu dinamičkih najmanjih kvadrata. Naši rezultati pokazuju da je iskrivljenost relativnih cijena u korist nerazmjenjivih sektora (građevinarstva i sektora nekretnina), koja je neposredni nusproizvod rasta cijena nekretnina, imala utjecaj na podbačaj hrvatskog izvoza. Također smo pokazali da je nepovoljna troškovna konkurentnost te nesposobnost države da uvede ekonomske politike koje promiču gospodarski azvoj privatnog sektora nepovoljno utjecala na izvoz u promatranome razdoblju. snovni zaključak rada je da brza ekspanzija neutrživog sektora u zemlji s ograni čenom ponudom proizvodnih faktora može imati negativne učinke na sposobnost utrživog sektora da poveća svoju proizvodnju i natječe se na međunarodnim tržištima.
Keywords (english)
Keywords (croatian)
Language	english
Publication type	Scientific paper - Original scientific paper
Publication status	Published
Peer review	Peer review
Publication version	Published version
Journal title	Zbornik radova Ekonomskog fakulteta u Rijeci : časopis za ekonomsku teoriju i praksu
Numbering	vol. 32, no. 1, pp. 11-34
p-ISSN	1331-8004
e-ISSN	1846-7520
URN:NBN	urn:nbn:hr:213:447380
Publication	2014-06-17
Document URL	http://hrcak.srce.hr/123115
Type of resource	Text
Access conditions	Open access
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Created on	2017-10-27 09:42:29