2-1-2 Assignment Example | Topics and Well Written Essays - 500 words

2-1-2 - Assignment ExamplePrior to recession that started in 2008, preservation of Lithuania was found to be growing at the reckon of 8%. In 2004 the country joined in European Union. It has also joined World craftiness Organization. Most of the trades take place with Russia and other neighbors that are located in Eastern Europe. The process of turning old traditional Lithuanian sparing into a market economy is nigh complete. Most of the state owned organizations have been made private.The recent global recession that started from mid of 2008, has greatly affected the economy of the country. In 2007 Lithuanias real GDP was growing at the rate of almost 8%, solely in 2008 the figure came down to 3%. In 2009 the countrys GDP shrank at the rate of 16.8%. Such negative harvest-tide is mainly due to the global financial meltdown that has affected almost all the developed and developing economies in the world. In 2008 Lithuanias GDP per capita was $18,000 and in 2009 the figure reduc ed to $15,000 per capita. According to the prediction of Bloomberg, Lithuanian economy world power have positive growth in 2010. It is also predicted that in 2011 the economy might grow at the rate of 4% (Hbemgi, December 23, 2009).In 2008, unemployment rate was almost 5.84%, but in 2009 it increased to 15%. Inflation rate has decreased from the past. In 2008 inflation rate in the country was 10.9% and in the attached year it was around 4.7% (Central Intelligence Agency, n.d.).Lithuanias economy was in growth track prior to the recession period. In 2007 GDP growth rate was 8.9%, but in the next year this rate was 3% and 2009 Lithuanias economy was having negative growth rate. It is predicted that in 2010 economy will return on growth track. In 2011 economy is expected to grow at the rate of 3-4%. In 2008 discount rate offered by central bank was 4.73% which is almost unchanged from the previous year when the rate was 4.82%.Hbemgi, T. December 23, 2009, SEB Lithuanian economy to ex pand 4% in 2011, Baltic