According to WIFO, “Öxit” would be costly for Austria

After Brexit, Great Britain leaves the European Union, some politicians in Europe are toying with a similar move. According to a study by the Institute for Economic Research (WIFO), losing EU membership would be costly for Austria.

Gabriel Felbermeyer and Inga Heiland, director of WIFO at the Norwegian University of Science and Technology, calculated that prices in 2022 would have been an average of 35 billion euros, or 7.8 percent lower. Calculated scenarios range from 5.3 percent to 10.4 percent of GDP, or between 24 and 47 billion euros per year.

Noteworthy with a few thousand euros

According to the study, Great Britain’s real GDP would be between 3.2 and 6.7 percent lower as a result of Brexit than it would have been had it remained in the EU. Austrians should expect an economic disadvantage of 3,860 euros on average each. Views range from 2,735 euros to 5,190 euros per person.

In the EU ranking, according to the simulation results of two experts, Austria will come in sixth place out of 27 countries. According to WIFO, a surprise “exit” can cause twice as much damage in a short period of time.

Costs and benefits

As Austria is a net contributor to the EU, according to WIFO, the costs of EU membership must be weighed against the economic benefits. However, annual costs are limited to between 113 and 184 euros per capita: Austria pays about three or four billion euros annually, with the highest payment to date of 3.55 billion euros in 2020. However, in recent years an average of around 2.3 billion euros has returned to Austria for agriculture and research.

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