A Lot More Damage to Come From Brexit, Says Peterson Institute's Posen

The transcript discusses the importance of continuity in policy leadership, using examples like Greenspan and Carney. It highlights the challenges Brexit poses to the UK economy, emphasizing that the focus should be on the committee rather than individuals. The economic impact of Brexit is analyzed, noting that productivity issues predate Brexit but are exacerbated by it. The discussion concludes with potential actions by the Bank of England, stressing the need for adaptation to economic changes.

What is the main argument against the idea that individual policymakers are irreplaceable?

• Depersonalizing monetary policy ensures stability and continuity.

• Policymakers are always replaced by less competent individuals.

• Individual policymakers have no impact on economic policy.

• Continuity is not important in economic policy.

What is highlighted as a unique challenge for the UK economy in the context of Brexit?

• The absence of any economic impact from Brexit.

• The collective role of economic committees and agencies.

• The need for a single leader to navigate Brexit.

• The lack of experienced policymakers.

How does the discussion describe the economic effects of Brexit?

• As beneficial for the UK economy.

• As a minor inconvenience.

• As ultimately negative and challenging.

• As having no impact on productivity.

What is the potential impact of a hard Brexit on the UK economy according to the discussion?

• It will lead to an economic boom.

• It will have no significant impact.

• It will cause a negative supply shock.

• It will improve productivity.

What might the Bank of England do in response to a negative supply shock from Brexit?

• Ignore the shock and focus on other issues.

• Immediately change policy to counteract the shock.

• Increase interest rates to boost the economy.

• Maintain current policy to allow the economy to adjust.