Can the City be Unsettled by Brexit ? Quite Unlikely…
Brexit should trigger limited movement to the continent, whatever financial activities are concerned. Because, as the author believes, the economic rationale will prevail on political will in the duel between London's financial acumen and EU bureaucracy.
The Austrian school economist Böhm-Bawerk once conclusively demonstrated that the economic law always in the end triumphs over the political law. Politics can try to delay the hour of truth at rising cost in terms of money and human welfare, but in the end the forces of markets and shortage of resources prevail. One should have this in mind when thinking about the landscape of financial services in a post-Brexit Europe: It is about relative shortages, comparative advantages and long term strengths.Based on the political will of the EU-commission and the majority of the rest-of-EU 27 heads ...Lire la suite >>