JOHN CHUCKMAN COMMENT: BANK OF ENGLAND GOVERNOR SAYS BREXIT WILL MAKE BRITAIN WORSE OFF - YES BUT THE MATTER IS MORE COMPLEX THAN THAT STATEMENT IMPLIES

COMMENT POSTED TO AN ARTICLE IN THE INDEPENDENT

“Brexit will make Britain worse off, Bank of England Governor Mark Carney confirms”

Seems very unusual to hear such a direct, politically-touchy statement from a central bank head.

Of course, he is right, but in a narrow sense.

Brexit has social and political implications, not just economic.

In a way, what many said by their vote was that they were willing to pay a certain economic cost in exchange for non-monetary changes they favor.

Economic arrangements, especially in international trade of every kind, always involve such trade-offs, and, for that reason, you cannot say simply that a change of course is wrong because it comes with an economic cost.