Competitiveness in the Baltics in the Run-Up to EU Accession

International Monetary Fund

No 2003/114, IMF Staff Country Reports from International Monetary Fund

Abstract: This paper analyzes competitiveness in the Baltics in the run-up to European Union accession. Several factors appear to have driven movements in equilibrium real exchange rates in the Baltics since the start of the transition process. In the earlier years of transition, price liberalization, increased demand for services and other nontradables, and shifts in domestic production and exports toward higher valued-added products contributed to real appreciation through higher measured inflation. The strength of the real appreciation during these years appears to also reflect the correction of an initial undervaluation of exchange rates.

Keywords: ISCR; CR; exchange rate; euro; price; productivity growth; productivity convergence; EU accession; euro area; productivity improvement; productivity performance; current account; productivity differential; market share; exchange rate appreciation; nominal exchange rate; fiscal policy; Real exchange rates; Exchange rates; Productivity; Real effective exchange rates; Inflation; Baltics (search for similar items in EconPapers)
Pages: 64
Date: 2003-04-28
References: Add references at CitEc
Citations: View citations in EconPapers (17)

Downloads: (external link)
http://www.imf.org/external/pubs/cat/longres.aspx?sk=16509 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:imf:imfscr:2003/114

Ordering information: This working paper can be ordered from
http://www.imf.org/external/pubs/pubs/ord_info.htm

Access Statistics for this paper

More papers in IMF Staff Country Reports from International Monetary Fund International Monetary Fund, Washington, DC USA. Contact information at EDIRC.
Bibliographic data for series maintained by Akshay Modi ().