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a. Do you think Brexit will reduce investment activities in UK? Will it boost up competition...

a. Do you think Brexit will reduce investment activities in UK? Will it boost up competition and improve the lives of locals?

b. Do you think Brexit will have impact on Australian economy?

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Answer #1

Brexit- It is the withdrawal of United Kingdom from the European Union.

Answer(a): Yes, I think that Brexit will reduce investment in UK. It will reduce the foreign direct investment from Europe, Less foreign investment will lead to lower production when production will be less unemployment will increase. Lower production will lead to less supply of goods and services, prices of commodities may increase. Brexit will also have impact on stock market, there will no investment from Foreign institutional investors from EU. Brexit may lead UK even towards recession.

Answer(b): There would be less impact of Brexit on Australian economy. UK and Australia trade in goods like red meat, wine, sugar, gold, lead etc. Excise duty on these goods may change, there may problems with Australian people seeking visa to work in United Kingdom.

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