IDEAS home Printed from https://ideas.repec.org/a/bla/presci/v97y2018i1p55-72.html

Consequences of Brexit and options for a ‘Global Britain’

Author

Listed:
  • Steven Brakman
  • Harry Garretsen
  • Tristan Kohl

Abstract

The United Kingdom has opted to leave the European Union. The consequences of Brexit on international trade are large and negative. While the UK aims for new, ambitious trade agreements after Brexit, it is not explicit about the type of agreements it envisions or with whom specifically. This paper considers the UK's options. We confirm Brexit's substantial, negative trade effects for the UK, EU, and major countries around the world. After reviewing all potential options, our answer to the question whether the UK has an alternative for the existing agreement with the EU is: No. Paradoxically, only a trade agreement with the EU can compensate for Brexit's trade losses. El Reino Unido ha optado por abandonar la Unión Europea. Las consecuencias de Brexit en el comercio internacional son grandes y negativas. Si bien el Reino Unido busca acuerdos comerciales nuevos y ambiciosos después de Brexit, no ha manifestado explícitamente el tipo de acuerdos que prevé o con quién específicamente. Este artículo considera las opciones del Reino Unido. En él se confirman los sustanciales efectos comerciales negativos de Brexit para el Reino Unido, la UE y los principales países del mundo. Después de revisar todas las opciones posibles, nuestra respuesta a la pregunta de si el Reino Unido tiene una alternativa para el acuerdo existente con la UE es: No. Paradójicamente, solo un acuerdo comercial con la UE puede compensar las pérdidas comerciales de Brexit. イギリスは欧州連合(EU)から離脱することを選択した。ブレグジッド(Brexit:イギリスのEU離脱)は国際貿易に対して大きなマイナスの影響を与えている。イギリスは、離脱後の新しい野心的な貿易協定を目指しているが、イギリスが想定している協定の内容や協定の具体的な相手は明確ではない。本稿では、イギリスにある選択肢を考察する。ブレグジッドが、イギリス、EU、および世界の主要大国に、貿易に関してマイナスの影響を大きく及ぼしたことが確認される。イギリスに現在のEUとの協定の代替となる選択肢があるかという問題については、選択肢の候補をすべてレビューして得られた答えはノーである。逆説的であるが、EUとの貿易協定だけがブレグジッドによる貿易損失を補償することができる。

Suggested Citation

  • Steven Brakman & Harry Garretsen & Tristan Kohl, 2018. "Consequences of Brexit and options for a ‘Global Britain’," Papers in Regional Science, Wiley Blackwell, vol. 97(1), pages 55-72, March.
  • Handle: RePEc:bla:presci:v:97:y:2018:i:1:p:55-72
    DOI: 10.1111/pirs.12343
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/pirs.12343
    Download Restriction: no

    File URL: https://libkey.io/10.1111/pirs.12343?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Harald Oberhofer & Michael Pfaffermayr, 2021. "Estimating the trade and welfare effects of Brexit: A panel data structural gravity model," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 54(1), pages 338-375, February.
    2. Andrei HREBENCIUC, 2017. "The costs of Brexit for UK economy," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 0(2(611), S), pages 319-327, Summer.
    3. Neary, Peter & Carrère, Céline & Mrázová, Monika, 2020. "Gravity without Apologies: The Science of Elasticities, Distance, and Trade," CEPR Discussion Papers 14473, C.E.P.R. Discussion Papers.
    4. Céline Carrère & Monika Mrázová & J Peter Neary, 2020. "Gravity Without Apology: the Science of Elasticities, Distance and Trade," The Economic Journal, Royal Economic Society, vol. 130(628), pages 880-910.
    5. repec:wsr:pbrief:y:2017:i:036 is not listed on IDEAS
    6. Swati Dhingra & Gianmarco Ottaviano & Veronica Rappoport & Thomas Sampson & Catherine Thomas, 2018. "UK trade and FDI: A post‐Brexit perspective," Papers in Regional Science, Wiley Blackwell, vol. 97(1), pages 9-24, March.
    7. Erdey, László & Gáll, József & Márkus, Ádám & Tőkés, Tibor, 2020. "Changes in the trade patterns of the UK in a global perspective," MPRA Paper 98110, University Library of Munich, Germany, revised 21 Jan 2020.
    8. André Wolf, 2019. "Der Brexit aus EU-Perspektive [The Brexit from an EU perspective]," Wirtschaftsdienst, Springer;ZBW - Leibniz Information Centre for Economics, vol. 99(10), pages 739-740, October.
    9. Tristan Kohl, 2019. "The Belt and Road Initiative’s effect on supply-chain trade: evidence from structural gravity equations," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 12(1), pages 77-104.
    10. Glückler Johannes & Wójcik Dariusz, 2023. "Seven Years of Brexit: Economic Geographies of Regional De- and Recoupling," ZFW – Advances in Economic Geography, De Gruyter, vol. 67(2-3), pages 67-75, August.
    11. Dhingra, Swati & Machin, Stephen & Overman, Henry, 2017. "Local Economic Effects of Brexit," National Institute Economic Review, National Institute of Economic and Social Research, vol. 242, pages 24-36, November.
    12. Kaan Celebi, 2021. "Quo Vadis, Britain? – Implications of the Brexit process on the UK’s real economy," International Economics and Economic Policy, Springer, vol. 18(2), pages 267-307, May.
    13. Harald Oberhofer & Michael Pfaffermayr & Yvonne Wolfmayr, 2021. "Die Auswirkungen des Brexit auf Österreichs Wirtschaft," WIFO Studies, WIFO, number 66782, October.
    14. Bart Los & Marcel P. Timmer, 2020. "Measuring Bilateral Exports of Value Added: A Unified Framework," NBER Chapters, in: Challenges of Globalization in the Measurement of National Accounts, pages 389-421, National Bureau of Economic Research, Inc.
    15. Hagemejer, Jan & Dunin-Wasowicz, Maria & Michalek, Jan & Szyszka, Jacek, 2020. "Trade-related effects of Brexit. Implications for Central and Eastern Europe," Conference papers 333187, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    16. Paola Fezzigna & Simone Borghesi & Dario Caro, 2019. "Revising Emission Responsibilities through Consumption-Based Accounting: A European and Post-Brexit Perspective," Sustainability, MDPI, vol. 11(2), pages 1-13, January.
    17. Douglas Silveira & Izak Silva & Silvinha Vasconcelos & Fernando Perobelli, 2020. "The Brexit game: uncertainty and location decision," Papers in Regional Science, Wiley Blackwell, vol. 99(6), pages 1515-1538, December.
    18. Peter A.G. van Bergeijk, 2019. "Deglobalization 2.0," Books, Edward Elgar Publishing, number 18560, August.

    More about this item

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:presci:v:97:y:2018:i:1:p:55-72. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=1056-8190 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.