Uncertainty is bad for business but can have positives
Research shows uncertainty is a brake on economic activity, but with Brexit looming firms seeking to lift output are hiring more workers instead of making big investments
The one certainty in politics at the moment is that it is uncertain. From a British point of view, there is the apparently endless game-playing over Brexit — coupled with the looming prospect of an unpredictable and consequential general election. I’m sure I don’t need to elaborate on the situation in the US.
The received wisdom is that political uncertainty is bad news, at least for the economy. Is that really true? And, if so, why? If we understand the problem a little better we may also have a sense of whether there is any chance of improvement.