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UK political resignations: the current uncertainty could affect the economy for nearly two years

By Costas Milas, Professor of Finance, University of Liverpool

The recent dramatic events that led to the resignation of UK prime minister, Boris Johnson, on July 7 2022 raise the issue of how politics – and economic policy uncertainty more specifically – affects the UK economy. The answer, of course, is that it does, and sometimes for as much as two years.

News of Johnson’s resignation produced a small rally…

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