34362
‘Brexit’  a Huge Risk?
World Economy

‘Brexit’ a Huge Risk?

The UK potentially faces the biggest economic upheaval in several generations should voters mandate a Brexit in the national referendum on the UK’s future membership of the European Union, according to David Page, senior economist at AXA Investment Managers, the effect on financial markets profound, FETrustnet reported. While there is no set date or even month for the national vote, many are now anticipating that a referendum could in fact come in the first half of this year. The base case is that people will vote to stay in the EU, Page says, but a narrowing margin is making the specter of an exit for Britain more likely and ramping up the threat to financial markets and hence investors. “The potential cost of Brexit is likely to be in the order of magnitude of 2-6% of gross domestic product, although we readily accept that any such estimates have a high degree of uncertainty,” he said. “As such, even a relatively small perceived chance of exit is likely to affect market perceptions of mean growth rates in the economy,” he added.

 

Short URL : http://goo.gl/Ea1w6N
  1. http://goo.gl/1DwRVq
  • http://goo.gl/dQiG8s
  • http://goo.gl/Pe1tPf
  • http://goo.gl/CPMMtc
  • http://goo.gl/pHI1ur

You can also read ...

An expanding trade war threatens to squeeze incomes.
The untold story of the world economy—so far at least—is the...
Asian Stocks Retreat, European Shares Mixed
Asian stocks closed lower on Monday as investors digested the...
Chinese Premier Li Keqiang (C) shakes hands with Jean-Claude Juncker (L) and Donald Tusk after the meeting in Beijing on Monday.
China could open its economy if it wished, European Commission...
Experts Say China Can Cope With Uncertain H2
China is confident it can cope with a more uncertain second...
Global Growth Peaks With a Whimper
It wasn’t runaway inflation or a financial implosion. The...
Russia has been seeking ways of decreasing dependence  on the US currency.
One of Russia’s largest banks, VTB is seeking to decrease the...
Turkey Budget Deficit Expands
Turkey’s central government budget balance recorded a deficit...
PwC Says Australian Firms Deliberately Going Broke
Companies that deliberately fail are costing the Australian...

Trending

Googleplus