Much of the discussion of the British vote to leave the European Union (EU) has ignored the reality of political sclerosis in Europ

The BREXIT Reality: A Key Opportunity for European Reform

By Harald Malmgren and Robin Laird

Brexit, instead of being the end of an era, may be an opportunity for a political opening to a much needed, long overdue reform process in Europe. 

There is little question that the result of the recent British referendum shocked most members of Britain’s Parliament as well as politicians across the entire European Union. The unexpected vote to leave the EU also shocked global financial markets.

Within hours it became evident that the Prime Minister’s office, the Parliamentary promotors of “remain” or “leave”, and most British businesses and bankers had made no plans for exit from the EU.

Throughout the month leading up to the historic June 23 vote Boris Johnson and other leaders of the “leave” movement recited a litany of reasons why remaining was bad for the British people and promises of gains that would accompany exit. Once the vote occurred, neither Johnson or his fellow Brexiters were able to explain what would happen next.

Financial markets recoiled in disbelief that no plans had been made. Endless questions of when and how exit would take place spread through the media and the Internet. Fear generated a tsunami of selling the pound sterling and stocks of British banks. This spread to selloffs of entire stock and bond markets, not only in London, but throughout the world. Seemingly unrelated, a collapse of world oil prices started, spreading damage to Russia and Middle East oil producers, even threatening to reach the fledgling oil producers in North America.

...........

Read more: breakingdefense.com