The European Union was initially formed to keep the peace between neighboring European nations. This union of countries focused on economic and political disputes and issues in order to maintain periods of peace and avoid war after WWII. Recently, the EU has appeared in the news a lot more in regards to the United Kingdom voting to remove itself from it.
Many UK citizens voted to leave the EU due to all of the immigration the EU had been receiving from various European countries and the Middle East. Many citizens believed that it was for their own safety to remove themselves from EU. However, the extent of which they control immigration could affect future trade with other European nations. If immigration is limited or cut off from other countries, the ability to trade with them at all could completely diminish. Regulation of trade and the cost of imports/exports could significantly rise due to the "Brexit." Unfortunately, it is currently unknown to what extent trade will be affected, but the economy is definitely going to continue to be affected.
Additionally, leaving the EU has taken a toll on the English economy. The value of the pound has depreciated. It is not good for the people living in the country, as the purchasing power of their money has decreased on a global scale. Those of you that invest in currency are not as lucky in this case, either; however, if you are traveling to the UK anytime soon, your dollar will go much further. Unfortunately, the "Brexit" has caused chaos in the global market, causing DOW Jones to open 500 points down the next morning, and the value of Yen to also depreciate. Other currencies also lost value and caused investors to pull their money from emergency funds in those countries. Unfortunately, leaving the EU is not just taking a toll on the one country, but is rather affecting the global economy.
After this bold move by the UK, Scotland has even threatened to leave the EU. Scotland has come out and said "if the UK leaves, Scotland leaves." However, regardless of this threat, the vote stood 2-1 to remain a part of the EU.
Questions that we are left with now may include: Will other countries try to pull out?
How long will it take for the economy in the UK to recover; will it take even longer for the global economy? Will the UK keep the same or similar policies to the EU in regards to trade or immigration?
Sources:
http://www.rte.ie/news/2016/0629/798876-eu-summit-...
http://www.skynews.com.au/business/business/market...
https://woodfordfunds.com/economic-impact-brexit-r...
