The Economic Perspective: “Impact of Brexit”

I’m Mary Walden, with economist MW, welcoming you to the economic perspective.   Today’s program looks at the impact of Brexit.  Mike, the recent British election seemed to ensure that the UK will leave the European Union.  This move is called Brexit, and it’s been a question for several years.  But now that it looks like it will happen, what will be the economic impacts both in Europe and in our country?

 

Mike:  Summary Answer

  • Just as a point of reference, some analysts see this as part of the on-going historical debate in the UK over their ties to the continent
  • For example, UK never adopted the Euro currency
  • Short term worries that Brexit will interrupt financial ties, supply chains, and consumer markets as to cause a serious recession in the UK
  • One reason why some see the UK government anxious to make a new trade deal with the US
  • Question will be, how fast could this happen, and what will be the impacts on the US
  • I’m MW

 

Mary:  And I’m Mary Walden for the Economic Perspective, an NC State Extension program from the Department of Agricultural and Resource Economics