After Brexit, Signs Point to Recession for Britain

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The latest survey of purchasing managers suggests bad news for Britain:

The U.K. economy likely contracted in July as businesses responded to the uncertainty created by a vote to leave the European Union by cutting output and payrolls, according to a survey of purchasing managers at manufacturers and service providers….The U.K. PMI is a measure of activity based on monthly questioning of 600 manufacturing companies and 650 service providers since 1998. It has a close correlation with official measures of economic growth.

….Markit said the measure fell to 47.7 in July from 52.4 in June, the sharpest one-month drop on record. A reading below 50.0 signals a decline in activity, and a reading above that level indicates an expansion.

Is this a temporary dip, or a sign of things to come? Obviously we don’t know yet. But that’s a helluva big drop for a single month.

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DEMOCRACY DOES NOT EXIST...

without free and fair elections, a vigorous free press, and engaged citizens to reclaim power from those who abuse it.

In this election year unlike any other—against a backdrop of a pandemic, an economic crisis, racial reckoning, and so much daily crazy—Mother Jones' journalism is driven by one simple question: Will America move closer to, or further from, justice and equity in the years to come?

If you're able to, please join us in this mission with a donation today. Our reporting right now is focused on voting rights and election security, corruption, disinformation, racial and gender equity, and the climate crisis. We can’t do it without the support of readers like you, and we need to give it everything we've got between now and November. Thank you.

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