Brexit and Protectionism Amplify Trade Losses in Global Value Chains.
The study looked at how trade policies affect global value chains. They found that current models don't accurately represent how goods and inputs are traded between countries and industries. By using a more detailed model, they discovered that Brexit could lead to bigger trade and welfare losses than previously thought. This is because the UK and EU have closely integrated production networks, and tighter global value chains can make protectionist trade policies more harmful.