Reducing the value of the lats would drive the prices up even more and everybody would be affected. Imported goods, raw materials, energy would all become more expensive. The potential relief to entrepreneurs would thus be short lived or nonexistent. The rise in the standard of living would become more remote because the value of savings in lats would decrease accordingly.
For instance, the capacity of the German economy to catch up rapidly with the average of the euro area in terms of cost competitiveness after the loss of competitiveness associated with German reunification is very impressive. From that viewpoint the euro area is more flexible and adaptable than had been anticipated by many observers. Second, the previous process is symmetric.