Naslov
The Impact of Oil Prices on Investment in Croatia

Autori
Lolić Čipčić, Marina

Izvornik
DIEM : Dubrovnik International Economic Meeting (1849-3645) 6 (2021), 1; 108-117

Vrsta, podvrsta i kategorija rada
Radovi u časopisima, članak, znanstveni

Ključne riječi
investment ; oil prices

Sažetak
If we look at economic growth as a function of labour and capital then, aside from the labour force, investment is a key determinant of capital accumulation and, accordingly, a prerequisite for economic growth and prosperity. During the analysed period (1996:Q1-2015:Q4) investment in Croatia demonstrated pro-cyclically behaviour but showed a higher level of fluctuation then personal consumption or GDP. The aim of the paper is to examine the influence of oil prices on investment during the analysed period using Vector Autoregression (VAR) analysis and to determine the nature of their relationship by permuting four different oil price indicators. The results indicate that investment initially react positively to the growth of oil prices after which their reaction to oil price growth becomes negative (and more pronounced than the initial positive reaction). Contribution of oil price changes to investment fluctuations were also found.

Izvorni jezik
Engleski

Znanstvena područja
Ekonomija

POVEZANOST RADA