Brexit Happens Today. Here’s How It Could Affect Michigan.

As of 6 p.m. today, or 11 p.m. if you’re in the United Kingdom, Britain will become the first country to leave the European Union.

It’s been a four year long saga and after much debate, the European Parliament finally approved the terms of Britain’s departure. So what now?

“It’s the first country to leave the EU. [Other] countries that might want to do the same.” – Kyle Handley, University of Michigan

On Detroit Today host Stephen Henderson, we discuss how American firms, the European Union and other foreign interests will be affected. 

Click on the player to hear the full conversation about Detroit and Brexit.

Guest

Kyle Handley, Associate Professor of Business Economics and Public Policy at the Ross School of Business at the University of Michigan.

Handley explains that in the short term, Britain leaving the European Union “is not going to mean too much, but in the longer term it’s the first country to leave the EU and that sets a precedent that it’s possible to exit one of these major trade agreements. [Other] countries that might want to do the same.”

In broader terms, Handley says, the world has entered a new era of sorts where some of these international organizations that have set up a business infrastructure that is no longer as stable as it once was. American consumers, including those in Detroit, likely will not notice any change in their day to day lives or when purchasing goods, but many international companies, some of which are based in Detroit, could feel the impact. It could make things more difficult for companies, but Handley points out, that could potentially also put US firms and others outside the EU on a more even playing field with EU member countries when it comes to trading with Britain.