Economics: The Open-Access, Open Assessment E-Journal http://www.economics-ejournal.org en Arjan Lejour Andrea Mervar Gerard Verweij The Economic Effects of Croatia's Accession to the EU 2008-03-03 We explore the economic implications of the possible accession of Croatia to the European Union. We focus on two main changes associated with the EU-membership: accession to the internal European Market and institutional reforms in Croatia triggered by the EU-membership. consumption per capita in Croatia is estimated to rise by about 2.5 percent   as a result of accession to the internal market. In particular the textile and wearing apparel sectors expand. If Croatia succeeds in reforming its domestic institutions in response to the EU-membership, income levels in Croatia could increase even more. In particular, tentative estimates suggest that GDP per capita in Croatia could even rise by additional 8 percent. Overall, the macroeconomic implications for the existing EU countries are negligible. Submitted as Policy Paper http://www.economics-ejournal.org/economics/discussionpapers/2008-6 JEL F13 JEL F15