|
S
|
cotland would need
to severely downsize its financial sector in order to avoid a major economic crisis if the
country votes to break away from the rest of Britain.
According to former Scottish Government economist Florian Baier and former Bank of England economist Erik Britton, an independent Scotland would be left over-reliant on its financial sector and North Sea oil.
The economists’ upcoming paper for Fathom Consulting estimates the country’s banking assets as potential liabilities would be 1,100 per cent of GDP, similar to the liabiities that caused an economic crisis in Iceland in which its government took over three of its largest banks in 2008.
According to former Scottish Government economist Florian Baier and former Bank of England economist Erik Britton, an independent Scotland would be left over-reliant on its financial sector and North Sea oil.
The economists’ upcoming paper for Fathom Consulting estimates the country’s banking assets as potential liabilities would be 1,100 per cent of GDP, similar to the liabiities that caused an economic crisis in Iceland in which its government took over three of its largest banks in 2008.
No comments:
Post a Comment