Re: Reasons in favour of brexit
Originally Posted by
Bread
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The financial crisis in 2008 caused GDP to fall by 2.4%. Your talking about nearly 3 times that for leaving the EU with no deal. Only something like civil war could do that much damage to the UK economy.
If ... and I mean "if" the average tarrif of 4% was applied to all uk imports it would cost the economy around 5 billion. That's less than half the 13 billion we pay the EU each year for free trade.
The 8% doesn't add up . It's just stupid scaremongering from the EU funded CBI
Tariffs are not the only factor in the equation. The automotive industry for instance works on a margin of about 5%. Its manufacturing process has evolved to include multiple crossings between the UK and mainland Europe and a just in time process. The accumulated import tariffs, delays to process and tariffs on export to the EU will seriously challenge the viability of that industry and would affect all the UK supporting busy
We also don’t know how the pound will be affected, and drop will give a short term boost to exports but over the long term as we have little natural resources left we need to import them in order to manufacture but cost will rise.
This is just one example. The previous recession was a level playing field as the impact was fairly global. Leaving the EU with no deal is not a comparable scenario as is was a borrowing/ banking crisis