The UK's BREXIT CRISIS, EXPLAINED

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There is a Stir in the European Union after Britains PM Theresa May announced the end of Relationship of UK and EU.
  • The United Kingdom which is made up of Great Britain and Northern Ireland.
  • Great Britain further comprises England, Scottland, and Wales.
  • So basically the United Kingdom comprises of 4 countries England, Scotland, Wales and Northern Ireland.

WHAT IS EUROPEAN UNION (EU)

 The reason why EU formed is that the countries which trade together are more likely to avoid war with each other and also stand on global stage as a union with common interests and goals so that they should've global dominance in future.

Also, there would be a single market in EU so products can move anywhere without any tax. It implies that this union also mutually help each other to fulfill their demands and strengthen there economy.

BREXIT = EXIT OF BRITAIN FROM EU
  • on 23rd June 2016, Referendum was taken place to decide whether the UK should leave or remain in the European Union.
  • 72% of people voted in the country.
  • 52% voted to EXIT.
  • while 48% voted to STAY.

WHY EXIT

  1. EU charges billions of pounds a year in membership fees for little in return.
  2. Too much red tape.
  3. Immigration affecting the UK hard.
  4. Britain could reinvent itself as a Singapore style super chair economy.
  5. Also EU court affair in personal issues of the country and in lawmaking body.

WHY STAY

  1. 1. Trade with other EU countries is easier.
  2. The flow of immigrant, which are young have keen to work, fuels economic growth.
  3. More secure as a part of 28 countries.
  4. Bargaining power at the world table.

SO JUST AFTER REFERENDUM TOOK PLACE PRIME MINISTER OF UK Mr. DAVID CAMERON RESIGN.

MARKET COLLAPSE.

IMPACT ON INDIA

  1. Lose a close ally in EU.
  2. Look for a new market- INDIA (ASIA)
  3. The pound fell but market fell too.


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