QUOTE (Rdg @ Aug 29 2017, 09:30 AM)
That only works as long as the inputs to those manufactured goods are from inside the UK, if they need to be imported then their price will rise due to the same exchange rate move and the only advantage to us will be the profit margin's change in value - as we import a lot of our food (not been self sufficient in that since before Napoleonic times) the price of food will rise and thus either the workers making those manufactured good will want a payrise (reducing the profit margin) or it will be the workers who take the hit as reduced living standards. Also as the lower paid you are the greater the % of your income spent on essentials (food and shelter) they will take a disproportionate hit due to those raised food prices (even our Bread is mainly made from imported Canadian Wheat as our commercial varieties are lower gluten content feed rather than milling grade)
So a falling pound only serves as a temporary boost to the economy - if we had a balance of trade surplus it would be a different story but........
Actually, all this does is put street lights on the road we were on as part of the EU. France and Germany in particular were making sure we had nothing to trade and hence they aren t exactly upset that we are leaving!
On a similar vein, apparently 'Brexit' is being blamed for a shortage of nurses. The NHS has relied on EU nurses for some time and they are starting to stop coming. What a surprise! Anyone have any clues as to why we've consistently failed to attract and retain UK staffs?
Frankly, In or Out, economically Britain's future is very bleak.