section_path: Economies
section_name: Economies
paragraph_text: Economies
  
  Economically, parallel with political changes and a transition to democracy – as a rule of law states – the nations' previous command economies were transformed via the legislation into market economies, and set up or renewed the major macroeconomic factors: budgetary rules, national audit, national currency and central bank. Generally, they shortly encountered the following problems: high inflation, high unemployment, low economic growth and high government debt. The inflation rate, in the examined area, relatively quickly dropped to below 5% by 2000. Meanwhile, these economies were stabilised, and in 2004 all of them joined the European Union. New macroeconomic requirements have arisen for them; the Maastricht criteria became obligatory and later the Stability and Growth Pact set stricter rules through national legislation by implementing the regulations and directives of the Sixpack, because the financial crisis was a shocking milestone.
  
  All three countries are member states of the European Union, and the Eurozone. They are classified as high-income economies by the World Bank and maintain high Human Development Index. Estonia, Latvia, and Lithuania are also members of the OECD. Estonia adopted the euro currency in January 2011, Latvia in January 2014, and Lithuania in January 2015.