Baltic States: Lessons from the Crisis
| Author: | Bc. Jiří Čermák |
|---|---|
| Year: | 2013 - summer |
| Leaders: | doc. Mgr. Tomáš Holub Ph.D. |
| Consultants: | |
| Work type: | Bachelors |
| Language: | English |
| Pages: | 60 |
| Awards and prizes: | |
| Link: | |
| Abstract: | Between 2000 -2007 Baltic countries were among the fastest growing economies in Europe, but in 2008 they were struck by very deep recession. Unlike the other Central and Eastern European countries, the Baltics maintained xed exchange rate regimes and it raised the question about their e ects on the economies. This work focuses on the external imbalances of the Baltic economies. It analyzes the compositions and sources of the current account de cits and discusses other in uential factors. Detailed discussion is devoted to the capital in ows and their determinants. The thesis also contains empirical study which analyzes the relationship between the exchange rate regime and current account balance. We nd that the current account de cits were not sustainable not only because of their sizes but also for their structure. The empirical analysis of the relationship between exchange rate regimes and current account de cits did not bring clear { cut results which would prove the hypothesis that the xed exchange regimes negatively a ect the current account balances. |
