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The long-term economic impact of leaving the EU


Related Themes
Monetary Theory and PolicyJournal
National Institute Economic Review
Publisher
Sage Publications, London
External Resources
Issue
236
The aim of this paper is to analyse the long-term implications of leaving the EU for the UK economy. To do this, we consider three main channels by which the UK economy could be affected in the long run:
1) Reductions in trade with EU countries and a modest increase in tariff barriers.
2) A reduction in foreign direct investment (FDI), particularly affecting services FDI.
3) A reduction in the UK’s net fiscal contribution to the EU.
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