Monday, November 28, 2011
Lithuania's remarkable recovery
An interesting article by Anders Åslund is here. One argument that I have is that not all IMF advice or predictions miss the point. Real property tax is long overdue in my opinion and that is one of the things that the IMF is proposing. However, there is too much hidden interest, since a lot of people privatized property cheaply after the fall of the USSR. And they are in position now to keep it for a very long time and sell it later for bigger profit or when they need money. Thus there is quite a few neglected or poorly maintained properties that the owners do not feel pressured to do anything about - it does not cost them anything to hold them like that.