Seeds: Yesterday marked the end of the months of debate within Britain over whether or not the nation should remain in the European Union (EU). The nation officially decided upon leaving. Pro-Brexit supporters generally believe that leaving the EU will restore Britain’s sovereignty by protecting its culture and independence (many feel that the open borders created by the EU allow too many immigrants into the country, endangering British culture) and that the costs of being a part of the EU are not worth the outcome. The mishandling of the Syrian refugee crisis also made the EU appear ineffectual and unstable, making it less appealing to be a part of. “Remain” advocates often state the British economy fares better as a part of the Union, and that arguments over immigration are not worth the economic stability of Britain. It has also been argued that the Brexit could harm other members of the EU (Britain makes up a sixth of the revenue within the EU) and other countries outside of Europe, such as the U.S., due to the interconnectedness of the global market (essentially, there could be worldwide economic ramifications).
Core: Nearly 52% of British people who voted chose to leave the EU, meaning that Britain will officially “brexit” the EU. Around 72% of eligible voters took part. The Dow Jones industrial average closed more than 600 points lower (more than 3%, a drop that even Snoop Dogg would agree is quite extreme) today than before the decision was made to leave. (the Dow is an average of several significant stocks in the U.S., when people say something like “the market increased” or “the market is up” they’re often referencing the Dow) The pound (British currency) plummeted to a low that has not been seen since 1985 (before Brexit, the pound was worth around $1.45, after, it is as low as $1.35, a fall of 10%–which is significant in the business world).
Skin: The Prime Minister of England, David Cameron, has said that he will step down (resign) in October because the UK “requires fresh leadership” after this referendum. Also, many are saying that the success of the campaign of the pro-Brexit Brits could affect U.S. elections. The anti-immigrant and pro-nationalistic sentiments (the idea of taking your country back) prevailed in Britain, so many believe that could mean a success for Trump, who has founded his campaign on a very similar ideology.
Leaves: Many are concerned that this referendum could not only cause global economic tribulations, but that it is merely a symptom of a greater problem within the EU. Many also fear that the “Brexit” could encourage other nations to leave, creating a domino effect across Europe. As the French Prime Minister Manuel Valls has said in response to this referendum, “Now is the time to invent another Europe.”
Food For Thought: Do you think that Brexit will significantly affect the economy in Britain, or the global economy? Do you think that this is a sign that Trump will win the presidency?
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