"Lithuania’s economy plunged a preliminary 22.4 percent in the second quarter, the worst recession since 1990 independence, as output crashed and retail sales slumped.
The decline, the deepest in the European Union, compares with a revised 13.3 percent contraction in the first quarter, the Vilnius-based statistics office said in an e-mailed statement today."
Clever comment: The Baltic economies, urged on by the IMF, decided to employ neo-liberal/Austrian economic policies instead of the Keyensian policies adopted in other OECD economies. The Baltic states slashed taxes and cut spending in order to prevent budget deficits widening. The result is both a collapse in their economies, and widening deficits.
