Brexit: Divorce Between EU and Britain
1 year ago Sumit Gupta 0
Brexit: Divorce Between EU and Britain, According to oxford dictionary Brexit define as a term for the potential departure of the United Kingdom from the European Union.
The UK joined the European Economic Community (EEC), a predecessor of the EU, in 1973, and confirmed its membership in a 1975 referendum by 67% of the votes
Brexit: Divorce Between EU and Britain full articles
Brexit, Brexit: Divorce Between EU and Britain
Why is Britain leaving the European Union? Brexit: Divorce Between EU and Britain
A referendum – a vote in which everyone (or nearly everyone) of voting age can take part – was held on Thursday 23 June, to decide whether the UK should leave or remain in the European Union. Leave won by 52% to 48%. The referendum turnout was 71.8%, with more than 30 million people voting. But Scotland and Northern Ireland both backed staying in the EU.
Though Britain is one of the most economically liberal countries in the EU, there has been a growing consensus across the Union in favour of liberalising internal markets in goods, services and labour. Continued access to these markets, however, would depend on UK acceptance of EU rules, including on the free movement of labour.
Prime Minister David Cameron, who supported the United Kingdom remaining in the European Union, resigned on July 13 as a result. Home Secretary Theresa May, leader of the Conservative Party, became Prime Minister.
After Brexit what are the impacts on EU and Britain: Brexit: Divorce Between EU and Britain
- UK already has little influence within the EU, and that the EU without Britain.
- would therefore simply continue on its disastrous course towards the creation of a European super-state.
- According to the Wall Street Journal, Brexit would interrupt nearly 60 years of British expansion, endangering the economic gains it has made since joining.
- Estimated impact on the UK air passenger market The direct economic impact is likely to see the UK air passenger market be 3 – 5% lower by 2020 than the no Brexit baseline. In other words, the outcome of yesterday’s referendum could reduce air passenger growth by 1 .0 – 1.5 percentage points each year over the near term.
- Energy and climate change are EU policy areas in which the UK has made a significant contribution in the past.
- Britain is one of the EU’s most economically liberal member- states. It was the driving force behind the development of the single market, and the biggest champion of enlargement to bring the ex-communist Central and Eastern European countries into the Union. With occasional exceptions, such as the proposed nuclear power plant at Hinkley Point, it has generally taken a firm line against state aid to business and other forms of subsidy.
- Would EU policies change if the UK left? The UK has been a laggard in many areas of environmental policy: it is only thanks to EU pressure that successive British governments have taken steps to clean up rivers and beaches; and the UK still has far to go to meet EU standards for air pollution.
- The EU’s Common Foreign and Security Policy (CFSP) differs from most other areas of EU policy in that it does not follow the ‘Community Method’ – according to which the Commission alone has the power to initiate legislation, the European Parliament and the Council approve or amend it, and the European Court of Justice scrutinises it. Instead, CFSP is inter-governmental: the European Parliament’s formal role in CFSP is confined to approving the budget.
Impacts of Brexit on the Global Economy: Brexit: Divorce Between EU and Britain
The flight to safety away from the epicenter of this British-EU divorce will push capital away from the region and toward key safe-haven markets including the US—especially Treasuries—and to Japan. This will further lower market interest rates and raise relative currency values.
- A higher US dollar and Japanese yen are negative to both economies’ export sectors. In the case of Japan, this is particularly unhelpful to its efforts.
- The US remains the most stable major global economy, but the uncertainty spread between the US and the EU has now increased.
- The Eurozone (and now the broader European Union) faces profound fractures in the structures that hold it together.
- China faces further negative pressure on growth rates.
- The Eurozone’s expansion cycle has been relatively weak and has mainly benefited from coming off a low base.