After a long period of convergence, Central, East and Southeast Europe experienced a deep recession in 2009. The … pronounced as long as employment fails to grow. Investment will not act as a strong engine of growth either. Given the generally …

their external competitiveness - via devaluation and/or cuts in employment. On account of their solid industries, they … crisis. In the Western Balkans, significant employment cuts have so far been mostly averted, but they might well come to the … in CESEE budget deficits reflects primarily the recession-induced shortfalls in tax revenues rather than a rise in …

era of permanent stagnation with high and rising unemployment. Euro area enters recession, CESEE to follow? Given the … recession. Consolidation fever has spread to the new member states – including those that formally refused to subscribe to the … abate – both within the euro area and outside. After the deep recession that beset almost all CESEE countries in 2009, most …

Summary The protracted recession in the euro area will continue to be a drag on the economic growth of most CESEE … Central, East and Southeast European (CESEE) economies into recession in 2012, including the Czech Republic, Hungary, Slovenia …-dip recession in the euro area adversely impacting large parts of the CESEE region. This rather poor performance stands in sharp …

employment. Furthermore, patterns of adjustment across CESEE economies vary greatly, with some countries (such as Croatia … dampens consumption expenditures, and leads to cutbacks in employment (and wages), which, in turn, lower household incomes and … markets of the CESEEs and the situation of the banking sector respectively. Towards the end of 2011 the employment situation …