UK & World

Brexit, 6 years later: Brexit had to happen – that’s why

in the case of Brexit It was very simple: it was the restoration of autonomy by the British. When the Heath government joined the EU in 1973 and a referendum was held under Harold Wilson’s Labor government in 1975, the two governments claimed that the UK’s autonomous government was not at risk.

Tony Benn and Enoch Powell warned on the other side of the political spectrum that this would ultimately lead to a loss of sovereignty, proving to be correct in the 40 years in between. With the creation of a single market and then a social market, the EU gained power over regulation of all industries and social sectors of life, not just trade, and was declared a federal state of “unified Europe”. We are steadily moving toward our goals. chapter.

The last straw of the British people was uncontrolled Immigrants Immigrants from EU countries enjoy the same rights as British citizens in public health, education and benefits. As has been very clear since Brexit, it was not the immigrants themselves that the British people rejected. There has always been a welcoming attitude towards migrants from all over the world, whether they are true refugees or not ( Ukraine), Skilled workers who have a claim to us (like the people of Hong Kong) or who can contribute to the economy and have the ability to pay their own way.

Therefore, what Brexit is offering us today is the resurgence of autonomy and the associated long-term welfare improvements. The rest argued that the collapse of existing close ties with the EU would result in short-term economic costs. In this regard, it was correct. However, this is a short-term cost and often occurs when long-term policy turns occur.

Moreover, it could have been avoided if the EU had acted as a friendly ally for long-term gains instead of taking an active non-cooperative path. In any case, it’s very limited. Brexit’s statistically significant short-term impact is only on EU trade in both directions. Allowing Covid offsets the impact on GDP, but has no significant impact. In the long run, the benefits of choosing the most suitable trade barriers and regulations for the British people are the economic consequences of choosing political independence.

EU economic policies are selected in the interests of EU member states. Therefore, they chose a high degree of protection of agriculture to suit the interests of France, and both protection and regulation were directed to the interests of the German manufacturing industry. To this, in line with the social democratic philosophy of major European countries, we add the use of regulations to achieve social objectives in the labor and commodities markets.

These regulations are issued under the Naporeon style of European law and prohibit “potential harm” from the top down. To enable such regulations in the UK in a common law system where everything is permitted unless explicitly prohibited, these EU regulations are a damaging process known as “gold plating”. I had to explain in detail in the form of.

All of this shows that the EU has spoiled Britain at government demands that are completely different from the interests of the British people. These demands so far mean the large-scale long-term benefits of leaving our economy, without considering what may continue in the future. In my modeling work I estimated these to be about 7 percent of GDP.. However, this was minimal, assuming that EU policy did not deviate further from Britain’s interests. Of course, that was very likely.

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It will take time for these benefits to be realized by our political process. It works by breaking the consensus after a long debate. The non-EU World Free Trade Agreement (FTA) faces opposition from vested interests in agriculture and manufacturing. However, with over 9% of the workforce currently working elsewhere, their main interests are competition and low prices, and these FTAs ​​will be rolled out gradually.

Similarly, regulatory reform faces predictable opposition, which can be overcome by people observing the benefits of a common law regulatory system based on dealing with the side effects of free market experiments.

The government is committed to promoting the Brexit program. You can solve the problem by avoiding unenforced errors, such as imposing taxes to repay Covid’s debt in a hurry. But no matter what mistakes it makes, the important point is that the British people are now regaining the power to vote for governments that act in their interests. Our long history shows that they know how to use it.

Patrick Minford CBE is a British macroeconomics professor of applied economics at Cardiff University.

Voices to you to commemorate the 6th anniversary of the UK referendum on EU accession Brexit, 6 years – A series investigating the impact of voting

Brexit, 6 years later: Brexit had to happen – that’s why

Source link Brexit, 6 years later: Brexit had to happen – that’s why

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