News Summary - Scotland

           Simply stated, Scotland is in the process of seeking independence from the rest of the United Kingdom.  The primary downfall is “contemporary Scotland is neither so successful that it can clearly afford to go it alone, nor so impoverished that it has much to rail against.”  Salmond promises full-time child care to get more women into work, a bigger employment-tax break for small businesses and cuts to corporation tax.  Salmond goes on to say that “an independent nation would struggle not because output is low but because public spending is so high.”

Article - http://www.economist.com/news/britain/21590899-pitch-independent-scotland-has-fundamental-problem-salmond-sets-out-his-stall

            By breaking off with the rest of the UK, Scotland may not continue to have a steady relationship with Britain.  Britain is the main consumer of renewable energy for Scotland, and if this bond is broken they may not receive the capital that they have been receiving in previous years.  In other words, the demand for renewable energy would decrease, which would cause the price and quantity to decrease as well.

            The corruption of the banks put Scotland in a bad financial position.  Alex Salmond is doing everything in his power to push for Scotland independence.  The rest of the Scottish citizens do not agree with Salmond’s decision.  Once the Scots run out of oil, they do not have any good to fall back on that will put them in an economically sound position.