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Brexit

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by

DJ KAKIK

on 19 January 2016

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Transcript of Brexit

An in/out referendum on Britain's membership of the EU will be held in 2017 - if not before
Brexit
Britain no longer has a global special status. Even Obama would prefer that Britain has some influence in the EU, a self-imposed isolation of Britain from the EU brings the country strategic disadvantages.
Britain needs Europe for financial regulation. The 'City of London' has a large part of the European financial market. Must order to influence European regulations UK work both in and with Europe.
And the EU needs, especially in a crisis, strong members and partners. An international regulation of financial markets can only be meaningful succeed if Europe acts together as possible to the agreements with the US and other great powers, and this includes the United Kingdom.
The British government announced the leaders of the EU's German-French engine similar basic views: reform oriented economic policies, pro-American, liberal social issues.
EU employees are good for the British economy. They take jobs that British workers do not want to accept or good qualifications and bring with them. Their contribution to the British economy, including through their consumption is higher than the costs they cause.
PROS
Britain is the EU's second largest economy and is mainly engaged in the EU in the areas of internal market, strengthening European competitiveness in the European Security and Defence Policy (ESDP) as well as in relation to the enlargement of the EU. The EU together with the UK an even stronger counterweight to China and the United States.
The Brits love their cheap airlines such as EasyJet and Flybe. Also in other European countries it is likely to travel cheap to go on vacation. All this (including more favorable roaming) has become cheaper thanks to the EU.
And last but not least it is worth, according to a list of Independent 2007 incredible for the British, 'to love the European Union', for you owes you: Making the French eat British beef again. And Europe has revolutionized British attitudes to food and cooking.
When decisions are made in the EU who do not relish the British and others, there is recently the possibility of "gradual integration", as it is now in terms of the divorce law for binational marriages is the case (Art. 20 of the Lisbon Treaty stipulates that enhanced cooperation of some EU countries is possible if a small minority of EU member states, a decision is blocked). So you do not always agree in everything.
CONS
Brexit opponents have emphasized the benefits that the EU has brought to UK business, crucially enabling London to provide financial and business services free across Europe and thus become Europe's dominant financial center.
Membership of the single market (EEA) would simply mean the UK would still abide by
the same the same Brussels-imposed regulation domestically that currently applies and still have access to the common market. However Britain would not be able to influence negotiations on the formulation of regulations as it would have lost its seat at the table. It would be likely that the UK would still be expected to make a contribution to the EU budget, even though at a reduced rate. This is similar to the relationship that Norway, Liechtenstein and Iceland have with the EU.
Customs Union - this is the relationship that exists between the EU and Turkey. The UK
would remain outside the Common Market, but would retain some of the trade benefits
of membership, in particular for the trade in goods. The UK would lose the benefits of
freedom of movement and the freedom of establishment.5 The service sector would
be likely be severely hampered by this outcome, with its business activities in the EU
curtailed. This would clearly make the UK a less attractive location for FDI investment
A Free Trade Agreement is another possibility. The EU has a large number of FTAs with
various countries. These are similar to Customs Unions, but are generally agreed on a product by product basis, and would not interfere with the UK’s existing FTAs with other non-EU countries. However there is serious risk that the EU would not include goods and services that the UK wanted. The EU has not been happy with the FTA between the EU and Switzerland, in particular with the issue of dispute resolution. Therefore it may be hard to achieve a similar deal.
The most drastic alternative would be not to agree a bi-lateral agreement with the EU and instead to rely on Most Favoured Nation status under World Trade Organization rules.
For British businesses that trade in other European countries, the potential erosion of the UK’s position within Europe may deal a blow to their plans to expand on the continent, as cost and complexity of trade could gradually rise if tariff changes are made against UK goods and services
Lack of import taxes within the EU mean British businesses compete on a level playing field with businesses across the continent. Leaving the EU would create significant uncertainty , which may be enough to cause them to cut back on investment here
The UK benefits from a number of free trade agreements with non-EU countries. In case of leaving the EU, these might no longer apply to the UK, which would have to renegotiate them, likely on less favourable terms as a smaller individual trading partner
The loss of EU farming subsidies would be extremely difficult and costly for the agricultural sector in the UK to absorb
Conclusion
The moment of truth is getting closer as the British politicians will need to take their responsabilities instead of trying to follow UKIP (United Kingdom Independence Party).
Without a clear differentiation, the end result might finally be that the British electorate will favor the original to the copy...
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