Posen: Theresa May Should Reconsider Brexit

The transcript discusses the Bank of England's cautious stance due to insufficient data, highlighting the slow wage growth and rising inflation in the UK. It examines the impact of Brexit on productivity and the economic challenges posed by the UK's trade deficit with the EU. The relationship between currency movements and interest rates is analyzed, emphasizing the need for careful policy decisions. Finally, strategic advice is offered for the UK government regarding Brexit negotiations, focusing on immigration control and reconsidering Brexit.

What is the significance of the trade deficit mentioned in the text?

What advice would the speaker give to Theresa May regarding her negotiating strategy?