How Latvia came through the financial crisis / Anders Åslund and Valdis Dombrovskis.

Format:

Book

Author/Creator:

Åslund, Anders, 1952-

Contributor:

Dombrovskis, Valdis.

Language:

English

Subjects (All):

Financial crises--Latvia.

Financial crises.

Global Financial Crisis, 2008-2009.

Latvia--Economic conditions--21st century.

Latvia.

Latvia--Economic policy--21st century.

Physical Description:

1 online resource (159 p.)

Edition:

1st ed.

Place of Publication:

Washington, D.C. : Peterson Institute for International Economics, 2011.

Language Note:

English

Summary:

Latvia stands out as the East European country hardest hit by the global financial crisis; it lost approximately 25 percent of its GDP between 2008 and 2010. It was also the most overheated economy before the crisis. But in the second half of 2010, Latvia returned to economic growth. How did this happen so quickly? Current Latvian Prime Minister Valdis Dombrovskis, who shepherded Latvia through the crisis, and renowned author Anders #65533;slund discuss why the Latvian economy became so overheated; why an IMF and European Union stabilization program was needed; what the Latvian government did to resolve the financial crisis and why it made these choices; and what the outcome has been. This book offers a rare insider's look at how a national government responded to a global financial crisis, made tough choices, and led the country back to economic growth.

Contents:

Cover; Contents; Preface; Authors' Note; About the Authors; Map; Introduction; Motivation; Key Lessons; Structure of the Book; Ch 1 Latvia's Post-Soviet Transition; A Bitter Struggle for Independence; Radical Transition to a Normal Market Economy; Evolution of Latvia's Democratic Politics; Notes; Ch 2 The Boom, 2004-07; EU Accession Crowning the Success of Transition; Capital Inflows Overheat the Economy; Politics of Complacency; Notes; Ch 3 Policy Choices and the Program of Crisis Resolution, 2008; Fall 2008: The Bubble Pops; Run on Parex Bank: Latvia Calls in the IMF

The International Assistance Package Notes; Ch 4 To Devalue or Not to Devalue; Arguments for a Fixed Exchange Rate; Arguments for Devaluation; How Latvia Differs from Argentina; The IMF Verdict; Notes; Ch 5 Implementation of the Stabilization Program, 2009; Collapse of the Godmanis Government; Formation of the Dombrovskis Government; A New Stabilization Program Takes Shape; Devaluation Crisis, But Adoption of a New Budget, June 2009; Complicated IMF-EU Negotiations; Budget for 2010; Notes; Ch 6 The Healing Begins, 2010; Estonia Qualifies for the Euro, March-June 2010

October 2010 Parliamentary Elections: Popular Approval of Crisis Resolution Budget for 2011; Economic Growth Returns; Notes; Ch 7 Latvia's Lessons for Itself and the World; Why Latvia Was Right Not to Have Devalued; Latvian Peculiarities; Lessons from Latvia for the World; Eyes on the Prize: Euro Adoption and European Convergence; Notes; Leading Latvian Officials; Chronology of Events; Index

Notes:

Description based upon print version of record.

Includes bibliographical references and index.

ISBN:

0-88132-605-4

OCLC:

759158933