Almost all economists support free trade. Yet the logic is often counterintuitive, even to prominent business leaders and politicians. Yesterday, amid speculation that Tony Abbott might be appointed to a role in Brexit negotiations, ministers hailed the former Australian prime minister as an “expert in trade”.
Whether or not Mr Abbott is the right person for the job, Britain needs trade expertise. At the heart of that expertise should be an understanding of trade economics. It will lead to the conclusion that, as a medium-sized economy with a persistent current account deficit, Britain does not hold all the cards. Our negotiators should prize the goal of a deep and wide free trade agreement encompassing not only tariffs but also non-tariff barriers, such as rules
