How did Black Wednesday happen?
Len Shackleton quoted in the Yorkshire Times
Len Shackleton quoted by Business Leader
IEA Research quoted in IG
“A slightly cruel summary of it would be to say that we went into the ERM in despair and left in disgrace. Nevertheless, we are still enjoying the benefits of it.
“According to the Institute of Economic Affairs, the Treasury estimated the output gap in 1993 (the difference between actual and potential output) was around 4% of gross domestic product (GDP) and didn’t close until 1997. Although this helped to bring down inflation, it also held the UK economy back for five years.”
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