We use an anonymized firm-level trade database provided by the Central Statistical Bureau of Latvia to evaluate Latvia's re-exports. By solving a linear maximization problem for each firm-product pair, we obtain estimates of re-export flows and corresponding re-export mark-ups. We find that the...

The paper presents the first version of Latvia's Macroeconomic Model (LMM) built using the features and structure of an Area-Wide Model (AWM) for the euro area and Multi-Country Model (MCM) for a typical country block of the European System of Central Banks. This is one of the first attempts to...

The paper evaluates competitiveness of Latvia's exporters from various aspects by using detailed trade data from Comtrade. Competitiveness represented by the market share of Latvia's products in world trade was on the rising trend, growing almost two times between 1999 and 2010. Such a dynamic...

This paper evaluates the inflation effect of recent VAT rate changes in Latvia by using CPI micro data. Our findings suggest that the pass-through of the tax rate to consumer prices is strong in case of upward tax adjustments, especially when there are no demand restrictions, while the...

This paper discovers the driving forces behind Latvian firms' decisions to adjust prices by using various panel logit models, which explain the probability of observing price change by a broad set of exogenous variables. The results show that the consumer price formation in Latvia is a...

The main goal of the promotion paper is to forecast Latvia's current account, and using this forecast to define, whether the current account deficit is a significant risk factor for Latvian economy. The modelling of Latvia's current account is made by using econometric methodology, on the base...

We use an anonymized firm-level trade database provided by the Central Statistical Bureau of Latvia to evaluate Latvia's re-exports. By solving a linear maximization problem for each firm-product pair, we obtain estimates of re-export flows and corresponding re-export mark-ups. We find that the...