Blanchard, O., Griffiths, M. and Gruss, B., (2013), “Boom, Bust, Recovery: Forensics of the Latvia Crisis”, Final Conference Draft, Fall 2013 Brookings Panel on Economic Activity, 19-20 September.
Latvia is a small country, with a population of only 2 million. Yet, it has been an object of intense attention during the crisis. Against the recommendations of many economists, it decided to maintain its peg and adjust through internal devaluation and front loaded fiscal austerity.
Five years later, its proponents see it as a clear success. Its opponents see it if not as a clear failure, at least as an excessively painful adjustment.
Relevant Posts
- Hugh, E., (2013), “Spain – The Recession May Be Ending But The Crisis Continues”, www.EconoMonitor.com, 9 September.
- Theophanous, A., (2013), “The way out of the Cyprus economic crisis”, Notre Europe – Jacques Delors Institute, Policy Paper 96, September.