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FEDS Note: Lessons from Brexit on the Effects of Trade Disintegration

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Florencia Airaudo, Johannes Fleck, and Kevin VegaRecent U.S. trade policy changes have rekindled interest in Brexit, as it represents one of the few instances in which another large advanced economy implemented...

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FEDS Note: Lessons from Brexit on the Effects of Trade Disintegration. Florencia Airaudo, Johannes Fleck, and Kevin VegaRecent U.S. trade policy changes have rekindled interest in Brexit, as it represents one of the few instances in which another large advanced economy implemented substantial trade policy changes. In this note, we answer two questions: How similar were trade policy adjustments in Brexit to U.S. trade policy changes of 2025? What were the short- and long-run effects of Brexit on the U.K. economy?

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