Analysis of inflation causes and possibilities of its decrease in Lithuania while evaluating economic convergence

In 2007 Lithuania tried to join the euro zone but it did not succeed as it did not satisfy the criterion of price stability. What causes determined the fact that Lithuania did not adopt the euro in 2007? What should Lithuania do seeking for a membership in the Economic and Monetary Union (hereinafter EMU). The economy in Lithuania is reviewed while evaluating not only data of the past, but perspectives for the future as well. Special attention is being paid to the fact that beneficial development of the economy essentially hinges appropriate and long-time means of economic policy used to solve current and future problems. Therefore, seeking to ensure stability of economic convergence, not only good beginning but further economic policy after adoption of the euro is necessary as well.