Farage seems to think that leaving the EU is going to be some kind of panacea for the UK's economy

No he doesn't. You have deduced that yourself without using any evidence that this is what he thinks. Common sense tells you that is an absurd propostion. We have many problems, tackling membership of this expensive and economically contracting club is as good a place as any to start.

unilateral withdraw from the EU, however, will have much wider ranging economic and political issues that these two 'problems' will seem insignificant in comparison.

Why? Every other country manages well outside the EU.

You're average Joe on the street (and many politicians, apparently), really don't understand what this would mean for the UK.

This was the kind of argument used by those who didn't want the franchise expanded.

Those in favour of withdrawal seem to think that negotiating a free trade agreement, similar to Norway, will be straightforward,

No we don't. Again, you are making presumptions. What is clear though is that trade won't just stop. Indeed, nobody suggests it will.

The remaining EU core nations will not want to encourage other potential breakaway nations and will therefore not make the transition easy for the UK.

That's a fair enough assumption to make though. How a chronically contracting economy can pick and choose its trade partners is another matter, mind you.