In the piece, "Brexit ripples" (June 25), Shekhar Gupta has rightly stated that we shouldn't take a one-dimensional view of Britain's decision to exit the European Union (EU) by limiting our concern to its impact on financial markets.
The financial implications of Brexit are not yet known; it is not clear what kind of trading rules will govern Britain's economic relationship with Europe and the rest of the world. It may turn out that even after leaving the EU, Britain will get access to Europe's market on friendly terms, similar to those enjoyed by Norway. Even if Britain get a raw deal in Europe, it is the fifth-largest economy in the world and can survive of its own.
It is the political fallout of Brexit that may have far-reaching consequences. Brexit reflects the current socio-political unrest experienced by Europe at present. The birth of EU was seen as a symbol of a unified Europe, which for most part of its history was torn apart by war and cultural differences. Post Brexit the very fundamentals of EU and an integrated Europe are in question.
At a time when terrorism is at a peak and immigration has become a big issue, the need for global involvement and cooperation is greater than ever before. What is worrying is that if other countries follow the same path as Britain, it may lead to global turmoil.
Towards the end of the piece, Gupta makes an interesting point on direct democracy and referendum. Brexit may have a deeper impact on how sovereign democratic countries function. Even in India, there are talks of referendums on important social issues.
The question is: Should we follow the example of Britain and let the public decide policymaking? When many of us can't even decide on matters that govern our daily personal lives, what makes us competent enough to decide on issues that have larger social and economic consequences? What is the purpose of elected representatives then? What is the purpose of a government if it needs public opinion on everything? Then again how competent are our elected representatives?
These are difficult questions that may have to be dealt with in the future. It may take a long time to find the right answers. Until then, we have no choice but to familiarise ourselves with complex changes and grave uncertainties.
Nilabh Mahanta, New Delhi
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