What else is affecting the U.K. economy other than Brexit.
The anxiety of whether we’ll be leaving or staying if there is another referendum.
To understand the economy you have to understand the financial markets, because the financial markets are not just swayed by decisions such as raising or decreasing interest rates, they are also affected by the psychology of the players involved.
- The Banks
- Other Financial institutions
- Companies/ MNE’s
- Traders
Psychology is a huge factor on the way money is manipulated, it either lies within making a profit or a loss and it’s on that basis sometimes players get agitated.
In regards to the situation with the anxiety of Brexit, the players are scared because they don’t know whether or not their businesses will survive in this country and many of them have links with European countries as well.
If one day international companies decide to pack their bags and leave then the unemployment rate will increase which isn’t good for the economy of this country.
To be fair, most first world countries have a lot of foreign investment and the same can be said for Britain, if you wanna see a country without much foreign investment then look at Afghanistan. For the country to stay a first world country without foreign investment or work force is simply impossible, which is what Brexit’s effect will be.
You don’t want new people coming into the country fine, you don’t want the EU stealing 350 million a week fine, but you don’t know how that 350 million comes from. It comes not only through the taxes of British people, but also foreign workers and foreign companies who also pay their share of taxes.
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