Not "paradise on earth", but way better living conditions than Soviet Union at that time (there were no purges, gulags or collectivization - we had democracy (till 1934) and market economy).Yeah, everyone knows that there was a paradise on Earth in Baltic states before 1940
In 1940 commies came and dragged Baltics down to their level (with collectivization, deportations, looting, etc).
And after that Commies and nazis came with their world war and ruined everything.
That's why in Latvia there is nostalgia (especially among people who lived at that time) for pre-war Latvia, not Soviet Union.