City-REDI publications series: Professor Raquel Ortega-Argiles – The continental divide? Economic exposure to Brexit in regions and countries on both sides of the Channel

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As part of a new blog series, we will be highlighting the excellent research produced by the City-REDI team since 2015, with the aim of creating an online searchable library. You can view this work by searching the blog with the relevant tag, either using the name of the author or the year of the publication. The series continues with Professor Raquel Ortega-Argiles.

Raquel joined the University of Birmingham as Professor of Regional Economic Development. She is an applied economist working on competitiveness, innovation, entrepreneurship, smart specialisation and Brexit. Raquel coordinates the ESRC Brexit priority grant: The Economic Impacts of Brexit on the UK, its Regions, its Cities and its Sectors.

She has published in high-profile journals and has written numerous reports for the European Commission, European Investment Bank, OECD, government departments and agencies. Raquel is experienced in disseminating the results of her research to academic, policy and practitioner audiences.

The Continental Divide? Economic Exposure to Brexit in Regions and Countries on both sides of the Channel

Chen, W., Los, B., McCann, P., Ortega-Argiles, R., Thissen, M., van Oort, F (2017) The Continental Divide? Economic Exposure to Brexit in Regions and Countries on both sides of the Channel, Papers in Regional Science, DOI: 10.1111/pirs.12334.

This paper employs an extension of the World Input-Output Database (WIOD) with regional detail for EU countries to study the degree to which EU regions and countries are exposed to negative trade-related consequences of Brexit. It develops an index of this exposure, which incorporates all effects due to geographically fragmented production processes within the UK, the EU and beyond. The findings demonstrate that UK regions are far more exposed than regions in other countries. Only regions in the Republic of Ireland face exposure levels similar to some UK regions, while the next most affected regions are in Germany, The Netherlands, Belgium and France. This imbalance may influence the outcomes of the negotiations between the UK and the EU.

JEL Categories: F14; F15; P44; R12

For more information about the paper, you can visit our blog or the actual academic publication.

The views expressed in this analysis post are those of the authors and not necessarily those of City-REDI or the University of Birmingham.

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