Inflation in Latvia: causes, prospects and consequences

Alfred Vanags and Morten Hansen ()
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Morten Hansen: Stockholm School of Economics in Riga (SSE Riga)

No 2, SSE Riga/BICEPS Occasional Papers from Baltic International Centre for Economic Policy Studies (BICEPS), Stockholm School of Economics in Riga (SSE Riga)

Abstract: This report is the second in an annual series produced by BICEPS and SSE Riga on macro policy issues. The 2007 report is again on inflation but this time focusing only on Latvia. The inflation problem in Latvia has not gone away and if anything has intensified since early 2006 to the extent that the Latvian government was forced into action to set up a working group on inflation which eventually published an anti-inflation plan in early March 2007. The aims of the 2007 report include: to examine the most recent developments in consumer prices in Latvia and link them to developments in producer prices and wages and to make an assessment of the likely future course of inflation in Latvia; to propose and outline a framework for analysing macroeconomic policymaking in Latvia; and to examine the likely impact or effectiveness of the anti-inflation plan.

Pages: 22 pages
Date: 2007-06
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