on 1st of May, the Labour day, it is interesting to look at how much there is to celebrate. As the Economist’s data show, in some countries, like Spain, almost 25% of its population today were out of work.
Regarding Latvia, as the data speak for itself (almost threefold increase of unemployment and loss of 10% of population during the last 4-5 years), it is still astonishing to hear Prime Minster Dombrovskis since August 2010 saying that recession is overcome and the New York Times calling Latvia as ‘star pupil’.
Moreover, just few weeks ago Dombrovskis forecasted greater growth in Latvia comparing with Mediterranean PIGS in the coming years. Bless him, but even that sounds slightly overoptimistic. Plus, maybe one of the lessons he could learn from this recent experience is that the high level of growth may create pretty dramatic illusions about the health of economy and wellbeing of people followed by shocking recession, depression and emigration. Maybe it is time to put aside GDP as the ultimate goal and focus on real things which matter – jobs, social security, welfare, National businesses and industry, economic independence. Growth is a tool not the aim.