Brexit, The Economy and House Prices (Part 2)

setmefree2

German blue chips lurch on raging euro

Despite the boss of the European Central Bank throwing more or less everything at the single European currency to stop it climbing, Mario Draghi's words yesterday weren’t enough. The surging euro is a huge problem for large-cap companies across Europe – their exporting power is directly hit – and this was reflected across European capitals today.
At 4pm this afternoon the German Dax – a collection of Germany’s 30 biggest publicly traded companies on the Frankfurt stock exchange – plummeted more than 2% to 12,200 points while the Parisian CAC 40 wasn’t far behind at 5,102 down -1.86%.

https://capital.com/german-blue-chip-stocks-lurch-on-raging-euro

gfplux

When it comes to trade deals and import taxes And how strange it can all get AND how they can change history I can not reccomend more a podcast from Planet Money.
The episode is called the "chicken tax" it was a dispute over American frozen chicken being imported by Germany. The retaliation by the USA over 50 years ago means you see very few......trucks/pickup in the USA made in Europe.
Yes bazaar but true and for those interested in International Trade (as we are all now with Brexit on the Horizon)
This is the written transcript of episode 632.
http://www.npr.org/templates/transcript/transcript.php?storyId=511663527

It is very relevant to today, highly reccomend to listen to the podcast if you can.

Or you can read about it on Wikipedia
https://en.m.wikipedia.org/wiki/Chicken_tax

gfplux

setmefree2 wrote: »

Yes - for me that is a lot of what Brexit is about - bringing back power/ democracy to the voter, so multinationals can't bypass democracy by lobbying the unelected commission and council.

Good on Brexiters for that.

Don't worry the lobbyist in Westminster are already recruiting extra staff and requesting bigger budgets.

gfplux

setmefree2 wrote: »

I think it has taken everyone by surprise how much it is all about money for the EU. You'd have thunk they would have treated us better wouldn't you? Instead of treating David Cameron like a pile of the proverbial.

Who was surprised? The major winning slogan by the Brexit campaign was written on the side of a bus. Pot and kettle come to mind or how about "go whistle"
It's always about the money. Mrs Thatcher did not go to the EU and ask for more respect, she said "give us our money back"

Brexiters still want to talk about the EU and its flaws. Why don't you start a new thread called "what's wrong with the EU"

In fact I have just started it
You will find it here
https://forums.moneysavingexpert.com/discussion/comment/72874689#Comment_72874689

Now this thread can just concentrate on Brexit, the economy and house prices.

kabayiri

cogito wrote: »

Interesting article in the Excess:

http://www.express.co.uk/comment/expresscomment/831675/Brexit-bill-uk-money-collapse-eu-ross-clark

If Barmier is quoted correctly, there would seem to be quite a lot of desperation in the EU about the loss of the UK'S contributions.

Also interesting that the article says that Luxemburg receives nearly 30 times as much in EU handouts as the UK on a per capita basis. What?

The lack of oversight in spending has been going on for years when it comes to EU spend.

I had colleagues who got a very decent EU grant for their start up, because it met certain tech goals at the time.

They promptly took the money and invested it all into privatisation shares! (They made a decent profit)

There was no oversight, no follow up checks.

Thrugelmir

gfplux wrote: »

Brexiters still want to talk about the EU and its flaws. Why don't you start a new thread called "what's wrong with the EU"

Now who is calling the kettle black? You are the one endlessly posting negatively about Brexit.

Thrugelmir

ilovehouses wrote: »

The UK has been a paid up member of the EU for decades and you think an attempt to put together a divorce offer would take 'sheer guesswork'? Come on.

The UK does not manage the EU budget though nor have insight in each of the EU institutions. The UK has limited resources compared to the EU's. Therefore better that the EU computes it's demands.

cogito

ilovehouses wrote: »

The UK has been a paid up member of the EU for decades and you think an attempt to put together a divorce offer would take 'sheer guesswork'? Come on.

The UK haven't done so by choice. Either a tactical choice or because they aren't prepared. Either way I don't believe its because the books are under lock and key hidden in a crypt in The Citadel.

Once you put a number out there, you give your position away. It's the EU who are wanting the money. It would be sheer stupidity for the UK to make an offer until we establish the legality of the demand and how the calculation is made.

kabayiri

This bill bit is not complex.

They present a breakdown of what they want, and why, and we challenge the bits we don't agree with.

It's nothing to do with closer to 20bn or 80bn.

Thrugelmir

ilovehouses wrote: »

I think you're being naive. It's a political rather than financial argument.

Of course it's financial. The EU already faces an income shortfall. With the loss of the UK's net contribution. Now it faces long term liabilities for commitments made. In some cases very generous ones.