Monday, May 30, 2016

The core assumption of the anti-Brexit economists is that leaving would erect damaging barriers to trade; the pro-Brexit side must take on and demolish these arguments. The good news is that it’s quite easy to do so. The Leave campaign’s long-term aim is to break away completely from the EU. But there is no doubt that, were we to vote Leave on June 23, the UK would seek to adopt, as an interim solution, a Norwegian-style relationship with the EU which ensures that we remain in the single market, giving us plenty of time to work out new arrangements with the rest of the world. 
That is both the only realistic way we would quit the EU – the only model, that, plausibly, MPs would support as a cross-party compromise deal – and the best possible way for us to do it. The Norwegians would welcome us with open arms, as their own influence would be enhanced, and other EU nations would seek to join us. Such a deal would eliminate most of the costs of leaving, while delivering a hefty dose of benefits as a down payment. As part of the European Free Trade Association, we would remain in the single market, complete with its Four Freedoms, while withdrawing from agricultural and fisheries policies, justice and home affairs and the customs union. The City wouldn’t lose access and virtually all of the anti-Brexit scare stories would be neutralised, which is presumably why that option was mysteriously absent from the Treasury’s ludicrous analysis of the short-term impact of Brexit. We would save money: Norway’s net contribution per person is lower than Britain’s. We would have to follow fewer rules: Norway has adopted 1,369 out of 1,965 EU directives, and just 1,349 out of 7,720 EU regulations. So Norway has been forced to swallow just 28 per cent of the total “acquis communautaire”, against all of it for the UK. 

No comments: