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EUROPEAN UNIION.
Term Paper ID:30737
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Essay Subject:
Formation of the European community.... More...
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6 Pages / 1350 Words
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Paper Abstract: Discussion of the history of the EU. The need to link distinct political communities to achieve common objectives. Founding members. Theory of social federalism. Characteristics of a federal union. Background of the plan to create a single market. Implementation. Single currency & a European central bank. Future developments; economic, political.
Paper Introduction: THE EUROPEAN UNION AND ECONOMIC INTEGRATION
INTRODUCTION:
The signing of the two Treaties of Rome in 1957 added two new "communities" to the European Coal and Steel Community (ECSC), established by the 1951 Treaty of Paris: the European Atomic Energy Community (EURATOM) and the European Economic Community (EEC). These were merged in 1967 into a single framework referred to as the European Community or European Communities (EC). (Sidjanski, 2000, 88)
The six founding members of what is now known as the European Union were Belgium, France, Germany, Italy, Luxembourg and the Netherlands. They were joined in 1973 by Denmark, Ireland and the United Kingdom, followed by Greece in 1981, and Portugal and Spain in 1986. On January 1, 1995, EU membership grew to 15 with the a
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Some of the better known examplesare alliances of Greek city-states or mediaeval Italian towns.Unions that are more permanent were not easily created. (Harvard, 1996, 55) BIBLIOGRAPHY:----: "A People's Europe - The Future of the European Union;"_HarvardInternational Review; July 1996; Vol. The market was defined as an area withoutinternal borders, where people, goods, services and capital are free tocirculate. While similarin some respects, it is in other ways profoundly different. The European Union is following an unprecedented path. This movement split in the late 195 s over attitudesto the European Community but reunited in the early l97 s to campaign forits reform. However, delays anddiffering interpretations in the adoption of directives, as well asresilient technical barriers to trade, still require vigilance on the partof the Commission, which is charged with monitoring implementation.(Burgess, 2 , 182) The Treaty of Maastricht set the timetable for the introduction of asingle currency and a European central bank, as well as the development ofcommon economic and monetary policies; provided for the implementation ofa common foreign and security policy, which could eventually lead to acommon defense policy;provided for police and judicial cooperation among EU members on mattersranging from immigration policy to criminal justice;emphasized the notion of "subsidiary": a principle that decisions should betaken at the European level only when they cannot be achieved efficientlyat the member-state level;described specific rights of citizens of the Union; required the conveningin 1996 of an Intergovernmental Conference (IGC) to review the MaastrichtTreaty. The Union is also faced with thechallenge of financing the Common Agricultural Policy and the Cohesion andStructural Funds for the benefit of new members.(Baltas, 2 1, 3 2)CONCLUSIONS: With the implementation of the Maastricht Treaty Europe is close tocompleting its federal union. Applicability: The law of the union is applicable both to itsmember states and crucially to its individual citizens living withinits borders. Theywere joined in 1973 by Denmark, Ireland and the United Kingdom, followed byGreece in 1981, and Portugal and Spain in 1986. 5. The process should in fact be completed bythe establishment of a European monetary union as foreseen by this Treaty,and the reforms envisaged by many: i.e. The areas to beaddressed in common would normally include commercial policy, monetaryunion, and security issues. Independent legislative & policy-making institutions: Thesecommon institutions have their own independent legislative process thatis distinct from those of the member states. Winston Churchill had beenaware of plans for imperial federation, had welcomed the Briand project andhad endorsed plans for an Anglo-French Union in 194 . Various leagues for specificpurposes were created normally for short, identifiable periods with a clearobjective such as military protection. A new kind offederal union is being created where established states, many with longhistories, are trying work together in shared institutions which aredemocratic and effective to ensure peace between them and to provide thestrength to face shared problems together. 46-55.Baltas, N.A.: "European Union Enlargement: An Historic Milestone in theProcess of European Integration;" Atlantic Economic Journal; October2 1; Vol. (Burgess, 2 , 188)CONTEMPORARY ISSUES:The Single Currency: Introducing a single currency is one of the most significantchallenges currently facing the European Union. Democracy: The common institutions, as well as those ofthe member states, are democratic. (Fransen, 2 1, 44)BACKGROUND: In 1985, member countries approved an ambitious plan to create asingle market by the end of 1992. 6. 2. THE EUROPEAN UNION AND ECONOMIC INTEGRATIONINTRODUCTION: The signing of the two Treaties of Rome in 1957 added two new"communities" to the European Coal and Steel Community (ECSC), establishedby the 1951 Treaty of Paris: the European Atomic Energy Community (EURATOM)and the European Economic Community (EEC). Employment continues to bethe EU's most important challenge. Ten Central and EasternEuropean countries - Bulgaria, the Czech Republic, Estonia, Hungary,Latvia, Lithuania, Romania, Poland, Slovakia and Slovenia - as well asCyprus have formally applied and are considered prospective EU members.The conditions for accession are: stability of institutions guaranteeingdemocracy, the rule of law, human rights, and respect for and protection ofminorities; the existence of a functioning market economy; capacity tocope with competitive pressure and market forces within the Union; abilityto take on the obligations of membership including adherence to the aims ofpolitical, economic and monetary union. Once this is done a constitutionlinking all the components should be written and the Union will need to beenlarged to include many new members from all of Europe.Nevertheless, the conclusion of this process is not inevitable. The ERM allows currencies tofluctuate within 15 percent bands in either direction of their fixedcentral rates, except for the German mark and the Dutch guilder whichobserve a tighter range. Rule of Law: Anarchic relations between them are replaced bythe rule of law that is guaranteed by common institutions. federalexperience into European thought, particularly in Germany and France.Proudhon developed federalist thought as a decentralized alternative to thecentralization of the nation state and inspired a theory of socialfederalism known asintegral federalism which won many converts in the 193 s. Accepting additional members willcomplicate EU decision-making procedures. (Baltas, 2 1, 255)Enlargement and Institutional Issues The Union is considering the candidacy of several potential newmembers and has set up a pre-accession strategy. Implementation of the single market is already evident with theelimination of border controls on transport of goods, the removal of taxbarriers and the elimination of customs formalities. The law ofthe union is superior to the law of its member states in the fieldsdefined by its constitution. First of the modernera would include Switzerland, followed by the Netherlands, but they wereoriginally very loose unions with weak central authorities. 3; p. Their laws do not requireratification in the parliaments of its member states. Europe hascome a long way but the fact that the end of this process is in sight doesnot mean it is certain to be completed. On January 1, 1995, EUmembership grew to 15 with the accession of Austria, Finland and Sweden.(Sidjanski, 2 , 88)A BRIEF HISTORY OF EUROPEAN UNION: The need to link separate distinct political communities in order toachieve common objectives is an ancient one. 3 Pg. Law enforcement: To ensure the rule of law these commoninstitutions include law-enforcement bodies such as an Executive andCourts that have independent law-enforcement powers andresponsibilities. He crucially helpedlaunch moves towards European union in a speech calling for the creation ofa "kind of United States of Europe". the democratic reform of theUnion's institutions, and the development of common foreign policiesparticularly in the field of defense. 3. De Tocqueville brought the U.S. The Maastricht Treatycontains "convergence criteria" that countries must satisfy to join theEconomic and Monetary Union (EMU): the annual inflation rate must be nohigher than 1.5 percent above the average rate of the three countries withthe lowest inflation; the annual budget deficit must be no more than threepercent of GDP; outstanding government debt must not exceed 6 percentof GDP; long-term interest rates must be no more than two percent above theaverage rate on 1 -year government bonds in the three countries with thelowest inflation; and exchange rates must have been stable within theExchange Rate Mechanism during the preceding two years. Constitutionally defined responsibilities: The commoninstitutions are asked to implement common policies where problems areshared in order that these problems may be addressed jointly, but nomore. 18, No. Under the terms of the Maastricht Treaty, theEuropean Monetary Institute-forerunner of a European Central Bank-is toestablish a framework for monetary policy, promote monetary cooperation,and coordinate economic convergence with the goal of introducing a singlecurrency within the EU.(Baltas, 2 1, 262)Economic Growth and Unemployment: The Commission continues to encourage member states to boostcompetitiveness and create jobs by promoting investment in training andinnovation; developing industrial cooperation; ensuring fair competition;and modernizing the role of public authorities. While primary responsibility in thefight against unemployment rests with individual member states, the EUCouncil reaffirmed its commitment to developing the employment strategy,which it has pursued since the Essen Summit. Theseforces came together in the post-war period to forge a broad Europeanfederalist Movement. (Sidjanski, 2 , 88) The six founding members of what is now known as the European Unionwere Belgium, France, Germany, Italy, Luxembourg and the Netherlands. 29 No. The work ofCoudenhove-Kalergi, a constitutional federalist, lead to the creation ofPan-Europa and to the Briand project for European Federal Union in 193 .(Burgess, 2 , 39) Jean Monnet was influenced by his experience of the failure of Leagueof Nations, his work for the allies in two world wars, his reading of TheFederalist Papers and living in London in 194 . (Burgess, 2 ,37) In the late 18th century, both Saint-Simon and Kant had seen the needto unite Europe to achieve peace. (Fransen, 2 1, 34) The essential characteristics of a federal union bringing togetherindependent states are as follows: 1. These were merged in 1967 into asingle framework referred to as the European Community or EuropeanCommunities (EC). Other levels of government would do everything else. 4. (Burgess, 2 ,197) The European Monetary System (EMS) created in early 1979, is based onthe European Currency Unit (ECU), which until 1992 tied the currencies ofall the member states (except Greece) to one another in a parity gridcalled the Exchange Rate Mechanism (ERM). 254-3 5Burgess, M.: "Federalism and European Union: the Building of Europe, 195 -2 ;" London: Routledge, 2 .Fransen, F.: "The Supranational Politics of Jean Monnet: Ideas andOrigins of the European Community;" Chapel Hill: Greenwood Press, 2 1.Sidjanski, D.: "The Federal Future of Europe: From the EuropeanCommunity to the European Union;" Ann Arbor: University of MichiganPress, 2 .----------------------- 8
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