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Macroeconomic Adjustment: The Baltic States versus Euro Area Crisis Countries

Estonia, Latvia and Lithuania have succeeded in rapidly reducing their current account deficits despite fixed exchange rates. Which factors have played a major role in this? What similarities, and what differences, do the Baltic states show compared to Greece and Portugal? What insights can be gained for the political debate on the euro area debt crisis?

07. December 2011

Authors Axel Lindner

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