Estonia is doing everything that the conventional "experts" say is wrong. As a result of a massive decrease in GDP in 2008 (around 17%), Estonia decreased spending on public employees' salaries and benefits, reduced social safety net type spending, and generally tightened its belt.
According to the experts, this course of action is exactly what struggling EU countries should avoid.
But Estonia is growing. Faster than anyone else in the EU. Funny that.
Time and time again, when truly government-limiting and fiscally-austere measures are enacted, economies grow. It is no real mystery, it is historical fact. Somehow though people always manage to be surprised.
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