Thiemo Fetzer. 2019. “Did Austerity Cause Brexit?” American Economic Review 109 (11): 3849-86.
[Copyright American Economic Association; reproduced with permission of the American Economic Review]

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The Brexit referendum in June 2016 marked an end to 70 years of economic and political integration across Europe. What led to this moment? Why was there so much pressure within the UK to hold an EU referendum, and why did so many voters choose Leave? This paper studies the role of one potentially important factor: the UK government’s austerity measures and the subsequent shrinking of the welfare state.

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