Theoretical and Applied Economics
No. 2 / 2017 (611), Summer
The costs of Brexit for UK economy
The Bucharest Academy of Economic Studies, Romania
Abstract. Leaving the EU without a deal in place for future trading agreements would be the worstcase scenario for British economy. In the long-run Brexit is expected to reduce UK living standards due to the declines in trade and foreign direct investments. The British economy will suffer from the losses implied in the export sectors due to the fact that 45% of its exports are destined to EU members. The potential loss of importance for the City of London will generate a fragmented European financial market that will reduce systemic risk. On the other hand, market participants could face a dual regulation on financial markets, increased uncertainties and frictional costs. The plan to design a Capital Market Union will create a strong competition for London, while Frankfurt and Paris are eager to absorb the financial services lost by British economy.
Keywords: banking union, financial markets, financial services, trade policy.
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Contents
- The role of fiscal policy in the financial crisis. Challenges and solutions
Aura Gabriela SOCOL
Roxana Mirela FERARU
- Using the input-output model in macroeconomic analysis
and forecasting studies
Constantin ANGHELACHE
Alexandru MANOLE
Mădălina-Gabriela ANGHEL
- Panel causality analysis between exchange rates
and stock indexes for fragile five
Mehmet PEKKAYA
Ersin AÇIKGÖZ
Veli YILANCI
- Modeling of stock indices with HMM-SV models
E.B. NKEMNOLE
J.T. WULU
- The impact of private sector credit on income inequalities
in European Union (15 member states)
Ionuţ JIANU
- Economic freedom, economic growth and international tourism
for post-communist (transition) countries:
A panel causality analysis
Ceyhun Can OZCAN
Murat ASLAN
Saban NAZLIOGLU
- The main correlations
between the monetary-banking indicators
Mădălina-Gabriela ANGHEL
Constantin ANGHELACHE
Ana CARP
- Impact of governance on budget deficit
in developing countries
Salih BARIŞIK
Abdullah BARIS
- Private equity market developments
in central and Eastern Europe
Mihaela DIACONU
- Public-Private Partnerships for clean energy investment
in developing and emerging economies:
Allocating risks and sharing rewards
Hilmar Þór HILMARSSON
- Child policy changes and estimation
of income distribution effects
Eva MILITARU
Amalia CRISTESCU
- An enquiry into the dynamics of real oil prices:
A state space approach
Jaweriah HAZRANA
Aaisha NAZRANA
- Wage inequalities in Romania under successive adjustments
in minimum wage levels
Mădălina Ecaterina POPESCU
Eva MILITARU
- An examination of bilateral J-curve:
Evidence from Turkey and her 20 major trading partners
Şerife ÖZŞAHİN
- Do military expenditures converge in NATO countries?
Linear and nonlinear unit root test evidence
Selahattin GÜRİŞ
Burak GÜRİŞ
Muhammed TIRAŞOĞLU
- Impact of GDP and tax revenue on health care financing:
An empirical investigation from Indian states
Deepak Kumar BEHERA
Umakant DASH
- The relation between foreign direct investments
and some economic indicators.
The case of Romanian economy
Mirela PANAIT
Cătălin VOICA
- Economic freedom and foreign direct investment
in South Asian countries
Sadia IMTIAZ
Malik Fahim BASHIR
- New software for identification and evaluation
of environmental and waste management in the companies
Rodica BUCUROIU
Marius Gabriel PETRESCU
- An analysis of the effect of monetary policy
changes on macroeconomic factors
Moid U. AHMAD
Shamima NASRIN
- The costs of Brexit for UK economy
Andrei HREBENCIUC
