Quote:
Originally Posted by djfunkdup
Good.
Cheaper exports. A falling pound improves the competitiveness of UK exporters.
Increases demand for domestic products. Imports are more expensive, therefore consumers are more likely to buy UK goods which increases UK aggregate demand.
A low Pound is beneficial in times of a recession, because it is helping to increase aggregate demand. In 1992, when the UK left the ERM, the pound depreciated and this helped the economy to recover.
The current account deficit should improve as the value of exports rises relative to the value of imports.
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Yet the pound collapsed in 2016 and manufacturing is stalling?
It’s also only a sound economic theory if you have a significant manufacturing industry, and a tariff free market to sell into.
---------- Post added at 13:06 ---------- Previous post was at 13:01 ----------
Quote:
Originally Posted by denphone
Yes us common folk will be bottom of the pile that is for sure.
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I’m sure your man down the pub like Farage will have made something out of it. He usually does.
https://www.bloomberg.com/news/featu...beat-the-crash