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Question 1(a)
Analyse the potential impact of leaving the European Union. You should refer to issues affecting Scotland or the United Kingdom or both in your answer.
Step 1
Answer
Leaving the EU could have significant implications for the UK economy, particularly in terms of trade, investment, and regulatory alignment. The UK has historically benefitted from trade agreements within the EU, allowing for tariff-free access to member states' markets. This access is crucial as it constituted a significant portion of the UK's exports, contributing billions to the national income. Without these agreements, the UK may face increased tariffs, which could diminish trade volumes and negatively impact economic growth.
Step 2
Answer
Scotland, which has a strong reliance on industries such as fisheries and agriculture, may experience unique challenges post-Brexit. The Common Fisheries Policy allowed Scottish fishermen access to shared European waters; leaving the EU could disrupt these practices, leading to conflicts over fishing rights and reduced quotas. Additionally, the agricultural sector in Scotland relies on EU subsidies, and exiting the EU might jeopardize the financial support farmers need, potentially harming rural economies.
Step 3
Answer
With the departure from the EU, the UK will have to establish its immigration policies. This has implications for labor markets, especially in sectors that depend heavily on immigrant labor, such as healthcare and construction. For Scotland, where demographic challenges are pronounced, a reduction in foreign labor could worsen skill shortages and economic stagnation. Furthermore, the freedom of movement enjoyed by EU citizens will end, potentially leading to a brain drain where skilled individuals opt to live and work in EU countries.
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