Someone said to me the other day that an institution so hard to leave as the EU was wrong. I wasn’t so sure, as I thought of several associations that are hard to leave – i.e. hard to leave or not take part in without significant downsides. Trade bodies being one, or adhering to international standards.
We’ve also entrenched EU membership into a lot of our internal agreements, and hence in a way have “done this to ourselves”.
So, what next? Joseph Stiglitz on Today this morning was remarkably upbeat about the prospects of coming to a “rational” agreement with the EU with a kind of looser arrangement, similar to that Gus O’Donnell was proposing the other day.
I’ve been searching for a while for a note about 5 economists from Europe who suggested there could be a “two-speed” Europe with the UK on the outside track from further political integration – an idea that seems to have been around for as long as I have been alive. I cannot for the life of me find this note, so any advice or links would be helpful?
In short I feel there are three takes from the story so far:
1. Brexiteers’ Singapore fantasy - plus harnessing the British pathological love of nostalgia (sops such as blue passports or going back to imperial measurements). This involves turning Britain overnight into a low tax, low regulation economy. As much as libertarians will welcome this nirvana, I’m not sure that’s what anyone was voting for bar some people in government……
2. Remainer's Two Speed Europe / Norway. I think this looks desperate right now but practically and pragmatically preserves what Daniel Knowles was on about – making sure there isn’t suddenly a lot of faff involved in trading in Europe.
3. Fundamentally it's our issue at the moment. We don't know what we want, are stuck in decision paralysis and that will start to cost us
P.S. I have decided to stop worrying about Labour and leave them to it. So what if we don’t have a functioning opposition holding the govt to account through Brexit?