Impact of Social Environment on Economic Development in the Baltic States
Abstract:The Baltic States regained independence and started
the pathway from command economy to market economy and
entered European Union at the same time. Latter internationally
recognized evaluations for the countries are diverse. The present
diversity of the Baltic States -Economic Development is a subject of
interest because of the similarities – all three are small, open
economies, countries have similar geographic location and initially
likewise historical and political backgrounds. This article explains
relationship between social environment, business environment and
economic growth. It argues that the elements of social environment
underlie more successful economic development. It researches the
causes, why Estonia has performed better in economic outcomes and
development. The article analyses selection of socio-economic
indicators of all three Baltic States – Latvia, Lithuania and Estonia
for the time period of ten years to include the influence of economic
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