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Home > Britain Benefited from ERM Experience Argues Sir Alan Budd

Britain Benefited from ERM Experience Argues Sir Alan Budd

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27 April 2005

In a new study published by the IEA, former Chief Economic Advisor to the Treasury, Sir Alan Budd, argues that Britain's ERM experience paved the way to a low inflation, low unemployment economy

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ERM had positive impact on UK economy claims leading economist

Britain’s membership of the ERM had a highly positive long-term impact on the British economy, according to leading economist Sir Alan Budd, Chief Economic Adviser to the Treasury at the time of Britain’s unceremonious exit from the ERM on Black Wednesday.

In a new book published by the IEA, Black Wednesday: A Re-examination of Britain's Experience in the Exchange Rate Mechanism,* Budd rejects the widely-held view that British membership of the ERM was an unmitigated disaster.