Wednesday, January 16, 2013
Can Lithuania’s New Government Meet the Economic Challenges Ahead?
Commentators often portray the Baltic countries as laboratories for testing the effects of austerity under fixed exchange rates. Although they share many common traits, Lithuania, Latvia, and Estonia have each followed distinctive paths during the global economic crisis. Estonia maintained tighter fiscal discipline going into the crisis, helping it to win entry into the Euro. Latvia suffered the deepest slump, but it has stuck with its austerity program for better or worse and has recently recorded some of the fastest quarterly growth rates in the EU. This post examines the distinctive elements that Lithuania has added to the Baltic saga. >>>Read more