In this paper, we investigate the Exchange Rate Pass-Through (ERPT) to import and consumer prices in the three Baltic states. We apply reduced form equations first. Then, to look at measures of shock-dependent ERPT, we use Bayesian VARs with zero and sign restrictions and a local projection...

The interdependence of the Nordic and Baltic stock markets is explored in light of increased merger activity of stock exchanges over the sample period, 1996-2006. The results show surprisingly little interdependence between the Nordic and Baltic stock indices. In the short run, the response of...