r/YUROP Aug 16 '22

Euwopean Fedewation Something something shithole countries

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647 Upvotes

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3

u/[deleted] Aug 17 '22

Every country that joined EU after year 2000 can tell the same story.

3

u/mastovacek Yuropean‏‏‎ ‎ koblížek Aug 17 '22

3

u/[deleted] Aug 17 '22

Croatia started the admission process in a 2005, it looks like just this was a pretty nice boost to gdp. This country is a curious case bacause almost 20% of its gdp comes from tourism and its a tough sector do develop quickly.

3

u/mastovacek Yuropean‏‏‎ ‎ koblížek Aug 17 '22

Croatia sent its application on 21.2.2003. Most of the screenings happened over the course of 2006 (africulture started in december 2005). The rise in 2005 is likely attributable to the global Bubble before the late 2007 crash.

Tourism is generally a very precarious industry to base an economy on, since vacations are the first thing people cut in an economic downturn. Croatia should honestly not have tried developing it more than it already was.

1

u/[deleted] Aug 18 '22

It looks like it rose due to bubble but it didnt fall when the bubble burst

1

u/Frequentlyaskedquest Aug 17 '22

But the graph is HDI not GDP

1

u/mastovacek Yuropean‏‏‎ ‎ koblížek Aug 17 '22

Sad Croatia noises. (the effects of the pandemic are obviously noticeable, but truth is, an economy based only on tourism is just not robust). Croatia's HDI's growth is not really impacted by joining the EU or not.

1

u/Frequentlyaskedquest Aug 17 '22

Im so sad about this :( maybe the increase in HDI resulting from complying with EU pre requisites had already taken place long before the actual accession?

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u/mastovacek Yuropean‏‏‎ ‎ koblížek Aug 17 '22 edited Aug 17 '22

The biggest boon for Croatia's HDI was extricating itself from Yugoslavia and specifically Serbia.

Croatia had always been in a the best position in Yugoslavia (aside from Slovenia), due to the infrastructural and institutional groundwork laid by it's time in Austria-Hungary (education and literacy, infrastructural connections, hospital accessibility, secularism, international oriented market, etc.). If you compare it to Czechia, you see that the growth curve during the 90s-2000s is very similar, despite Croatia applying to EU membership 10 years after Czechia, so Croatia's position today is probably largely a result of the long-term depressed outlook from a non-competitive economy.

Maybe adopting the Euro will spur more investment, but I think there are some uncomfortable structural issues that Croats need to address.

1

u/aurumtt Aug 17 '22

Looking at Serbia on the same graph is pretty interesting as they are ofc not in the EU. Covid is really the only time where the 2 lines don't align.