Newswise — James McCormick, a professor of political science at Iowa State University, says Great Britain leaving the European Union will have a substantial and ongoing impact on the global and U.S. economy.
“The immediate impact, and what we are already seeing today, is the uncertainty in the market, and this has led to the drop in the major stock markets around the world. The European Union is the largest trading bloc in the world with 500 million people and a GDP of $18 trillion. Uncertainty about the EU future as an integrated market is one issue for the global economy, but uncertainty about the possible actions of other EU countries that are dissatisfied with its operation (and with nationalist parties on the rise in those countries) will also be fed by this British decision.
“For the U.S., the EU is its largest trade partner with mutual trade accounting for 40 to 50 percent of global GDP. Any disruptor in those trade relations would be problematic for both. The U.S. also has financial centers in Britain and key American companies using it as access point to the EU market. The British departure may motivate these companies to move from Britain, hurting that country and perhaps the EU as a whole, and causing some difficulties for these American companies,” McCormick said.
McCormick has done numerous interviews with radio, television and print reporters and has written extensively on foreign policy issues.
To arrange an interview, you can contact McCormick directly at 906-644-2395 or [email protected]. Angie Hunt in the ISU News Service office, 515-294-8986 or [email protected], can also assist with interview requests.
RSS