4.6 Article

Did Austerity Cause Brexit?

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AMERICAN ECONOMIC REVIEW
卷 109, 期 11, 页码 3849-3886

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AMER ECONOMIC ASSOC
DOI: 10.1257/aer.20181164

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  1. ESRC [ES/L011719/1] Funding Source: UKRI

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This paper documents a significant association between the exposure of an individual or area to the UK government's austerity-induced welfare reforms begun in 2010, and the following: the subsequent rise in support for the UK Independence Party, an important correlate of Leave support in the 2016 UK referendum on European Union membership; broader individual-level measures of political dissatisfaction; and direct measures of support for Leave. Leveraging data from all UK electoral contests since 2000, along with detailed, individual-level panel data, the findings suggest that the EU referendum could have resulted in a Remain victory had it not been for austerity.

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