Quiz: Which country had the lowest rate of economic growth in 2009?

Quiz question for the week:

Which country had the lowest rate of economic growth in 2009?

a) Latvia    b) Lithuania    c) Iceland

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Answer after the jump …

B, Lithuania. Lithuania’s economy shrank 18.5 percent in 2009, while the decrease was 18 percent in Latvia and 14 percent in Estonia, according to IMF estimates. From 2000 to 2007, the Baltic economies were roaring, in part due to economic liberalization and relatively low-cost labor. But the credit boom turned into a credit crunch with the financial crisis. Although Lithuania had a slightly worse economic crash last year, Latvia has received much attention due to the 7.5 billion euro bailout it received from the European Union, the IMF, and others in 2008 and the collapse of its government in February 2009.