UK or the Eurozone: which common currency area can work for Northern Ireland after Brexit?

Abstract

Brexit and the controversy concerning an Irish border makes the issue of whether Northern Ireland is a common currency area with the rest of UK or the Eurozone topical. We test the microeconomic foundations of a common currency area for Northern Ireland, UK, Great Britain and Northern Ireland in the Eurozone. We provide evidence that all areas meet the microeconomic criteria for a common currency area. Banking data suggest that lending in Northern Ireland is different from lending in the rest of the UK, raising doubt on whether or not the UK forms a common currency area including Northern Ireland.

Publication DOI: https://doi.org/10.1080/1351847x.2023.2216240
Divisions: College of Business and Social Sciences > Aston Business School > Economics, Finance & Entrepreneurship
College of Business and Social Sciences > Aston Business School > Centre for Personal Financial Wellbeing
College of Business and Social Sciences > Aston Business School
Additional Information: Copyright © 2023 Informa UK Limited, trading as Taylor & Francis Group. This is an Accepted Manuscript version of the following article, accepted for publication in The European Journal of Finance. Jane Binner, Sajid M. Chaudhry, James L. Swofford & Meng Tong (2023) UK or the Eurozone: which common currency area can work for Northern Ireland after Brexit?, The European Journal of Finance, available at https://doi.org/10.1080/1351847X.2023.2216240. It is deposited under the terms of the Creative Commons Attribution-NonCommercial License (https://creativecommons.org/licenses/by-nc/4.0/), which permits non-commercial re-use, distribution, and reproduction in any medium, provided the original work is properly cited.
Uncontrolled Keywords: Economics, Econometrics and Finance (miscellaneous)
Publication ISSN: 1466-4364
Last Modified: 23 May 2024 07:24
Date Deposited: 12 Jun 2023 15:18
Full Text Link:
Related URLs: https://www.tan ... 7X.2023.2216240 (Publisher URL)
http://www.scop ... tnerID=8YFLogxK (Scopus URL)
PURE Output Type: Article
Published Date: 2023
Published Online Date: 2023-05-26
Accepted Date: 2023-05-10
Authors: Binner, Jane
Chaudry, Sajid M. (ORCID Profile 0000-0001-8769-8920)
Swofford, James L.
Tong, Meng

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Version: Accepted Version

Access Restriction: Restricted to Repository staff only until 26 November 2024.

License: Creative Commons Attribution Non-commercial


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