Unification isn’t an artificial work, made only by technocrats; it is the fruit
of a political decision which is supported by long intellectual, moral and
1950, May the 9th, Robert Schuman, the French Minister of the
Foreign Affairs announced that France
proposes the creation of a Coal and Steel European Community (CECO). Later,
this announcement were called “Schuman Declaration”, and it was the fundamental
stone of a European construction.
Declaration is based on four key elements and which represent the essence of
The guarantee of
a political peace and of economical reconstructions.
Common actions of France and Germany; historical reconciliation.
The guarantee of
cooperation between European countries.
unification of European people.The first principle refferes to the importance
of the common institutions and of the rulers which govern them for the
guarantee of political peace and economical reconstruction.
Europe has got a active Parlament, democratic
elected, a Commision, a Ministers Council which take common decisions for all
the citizens and a Justice Court.
contribution, which can bring an organized and functional Europe
to the civilization is indispensable for the mention of the peace relations.
second principle reflects the necessity to combine an ambitions vision with a
pragmatic and gradual progress.
essence of the political message consists of reconciliation spirit between the
former enemies France and Germany,
and the common objective of the six founder members of CECO: the construction
of an Europe of peace.
third principle is the recognize of the fact that the process of European
integration must be open, through the guarantee of cooperation between
fourth principle affirms that the European people represents more than a simple
common market; they form a community of interests.
The Institutions of
European Union consists of :
European Council is the name given to the high
level meetings of a leader of the Union members which take place beginning with
the 1975, twice a year.The Maastricht
Treatment officialized the role of the European Counsil to define general
directions of the political actions. At the meeting participate the leader of
the country and of the govern from the members countries, assisted by foreign
ministers and the president of the European Comunitee.Ministers Council consist
of the ministers of the members countries which are responsible for a certain
field.For example the ministers of agriculture will participate to the meetings
where they discussed agricultural problems, the transport ministers will
discussed transport problems. Each country has got a single representative, so
to the Council participate 15 persons. The Reunions take place, usually to
Bruxelles. The reunions from April, June and October take place to Luxemburg.
The Council is the main organ in taking
decisions. It coordonate general economical politics in European Union and
define the operations of the Commission general management.
member state hold the Presedency of the Council for six months. The Presedency
of the Minister Council changes twice a year (in January and in July). From
1999 the order is :Finland, Portugal, France,
Sweden, Belgium, Spain,
Denmark, Greece. The country which hold the
Presedency of the Council house the European Council meeting and preside the
representatives of the state which hold the Presedency become for six months
the representative of the Union in the relations with the other institutions of
the Union and with non- members countries. The
country which holds the Presedency organizes and orders the priorities and
decides the comunitar politics.
of the European Union consists of the Minister in fonction for the Presedency
before and the one who follows to holds it. The third Ministers act as a team
in the negations which they carry on. The decisions are taken with
unanimity,qualified majority and simply majority.
vote in unanimity is used when new members are received, constitutional
affairs, and penalty of the treaties. The vote with qualified majority is used
in the most of the situations.each country gives a certain number of votes,
depending on number of population. The vote with simple majority, calculated in
raport with the number of the Council members, is used for the Council
Council is supported by a secretary formed by 2000 persons, among them 400 are
translators and interpreters and
different committee as COREPER.
Representative Committee is the organ which prepare the Council meeting. It
consists of ambassadors of the member states and their counselor.
Commission is the executive organ of the European Union. It consists of 20
commissaries (two for France,Italy,
Spain, Great Britain, Germany and one from the other
states.) The commissary is elected for five year. The Commission has got the
to guarantee the respectation of the comunitar legislations. And when the
member states don’t respect it they can bring the member states in front of the
to initiate comunitar legislation.
to act as mediator when between countries appear some kind of problems.
Commission is ruled by a president, who is one of the commissaries. Each
commissary is responsible for a certain activity field.
European Parliament is
legislative organism. From 1970 it has its own budget. It has the right of Veto
against the Comission. It has 626 elected members for five years. The biggest
member of europarlamentarians are those of Germany
(99), then France, Italy and Great Britain(87)
European Justice Court was founded through “The Treaty from Rome”. It is placed in Luxembourg.
It consists of 13 lawyers assisted by 6 general advocates. A lawyer is elected
for 6 years and a president elected for 3 years. It is the supreme autority of
The Accounts Court was
founded in 1977 by the decision of “The Treaty from Bruxelles”. It consists of
15 representatives of the member states for 6 years. They elect their president
through secret vote. Their attribution is to check the legality of the budget
and the expenditure of it.
European Investments Bank is
the banking institution of the European Union, which gives money for the Union
projects. It is one of the most important bank in the world.
Central Investments Bank is the institution which realizes the monetary
politics of the European Union. It guarantee the stability of the prices, the
emission of the unic currency.
The European Integration
made up more than 30 countries and even more distinct cultures; it is now
trying to adjust to new economic systems throughout the world.
In this essay I shall attempt to show you
firstly the purpose behind the European
Union / advantages to have a united Europe to the people of Europe,
secondly Spain's accession to the European Community
and thirdly the effects of
Schemes for European integration are
almost as old as the idea of Europe as a distinct political and cultural entity
and much older than the conception of a Europe
of nation-states. The birth of idea of Europe
went hand in hand with the emergence of the first schemes for European
integration. Indeed, the conception of Europe
as a distinct entity presupposed or implied a potential basis for European
cohesion and integration. The term integration
can be understood, in context of the European Union, as a situation of
unification between individually sovereign nations into a collective body,
sufficient to make that body a workable whole. A fully integrated European
Union could be seen to have two possible outcomes. Either a)A Federalist or
‘stewed’ union, where all member states give up their individual sovereignty
and form a superstate that would be an economic world power, or b)A
Confederalist or ‘salad bar’ union, where each member state has its own place
in a continental alliance, maintaining national sovereignty and individually
contributing, through trade and cooperation, to form a greater whole. Sovereignty can be defined quite
simply as the supreme authority to not only declare law but create it, deriving
this power from a populace who have given up their personal sovereignty and
power and vested it in the sovereign.
Europeans have long disagreed as to which
states and poples should properly be included in Europe.
There have been long debates as to how far countries such as Russia, Turkey,
Albania, Georgia, Armenia,
Israel or Morocco should be included in Europe,
politically, militarily, culturally or economically. The factor that must
always be borne in mind in any consideration of Europe is that definitions of Europe and the configurations of European states are
fluids rather than solids. They are constantly changing.The idea of nation and
of European order based upon sovereign nation-states is of relatively recent
origin and is likely to be as ephemeral or short-lived as all previous European
state configurations. It is on the eternal fluidity of European states systems,
rather than on any deterministic belief in a teleogical progression towards a
preordained 'federal goal', that federalists should rest their hopes
for a federal Europe in the twenty-first
The EU has stated explicitly that its objectives are “to lay the foundations
of an ever closer union among the peoples of Europe
the constant improvement of the living and working conditions of the
people, and the reduction of differences in wealth between regions'.
The whole purpose behind the European Union is to maintain peace
between the European countries, and to integrate them. The founding gentlemen
of the EMS wanted to restore the integration
of the European Communities. In 1949, the Council of Europe was founder to
promote political and social unity in Europe.
Later in 1952, the European Coal and Steel Community was started to “allay
fears of a ‘military-industrial complex’ fuelling renascent German
nationalism”. Economic integration and unity was brought to a head in March of
1957 when the European Economic Community and
the European Atomic Energy Community were formed. These two treaties were used
to help stabilize and form the ECU. All three of these organizations/treaties
were essential to forming what is today called the European Union. The European
Union/European Monetary System failed for three basic reasons in the early
1990’s. First of all, it failed because it was inefficient due to the
low-inflation system and the recession in that time period. The recession
elaborated on the conflicts between the member countries of the European Union.
Second, it is not sufficiently competitive at the current rate of exchange.
Third, the real interest rate of the world would need to decline drastically in
order for the EU to work. Also in the early 1990’s there were “smaller
expectations of devaluations”. The current European Union has been a result of
recent treaties. The first treaty that was signed in February 1992 helped the
unification of Europe be that much closer. It
set the groundwork for one currency throughout Europe
called the euro. In order to update the current treaties the Amsterdam Treaty
was signed as a result of the Intergovernmental Conference. This treaty
resulted in a plan to listen to the citizens, get closer to a more secure
Europe, to make Europe more vocal throughout
the world, and to make the European Union more efficient. As of January of 1997
there were 15 countries belonging to the regional and economic European Union.
The countries currently involved are Austria,
Belgium, Denmark, Finland,
France, Germany, Ireland,
Italy, Luxembourg, Netherlands,
Portugal, Spain, Sweden,
and the United Kingdom.
In the future the European Union hopes to grow and add more countries to this
list. The banking system that the European Union uses is a Central Banking
System. With the evolvement of the Euro the economics of Europe
will be easier to maintain.
As of January 1, 1999 the national central banks and
the European Central Bank were formed to help institute the monetary policy
using the euro. The macroeconomics theory accompanied with the use of economic
analysis can illustrate the ideas behind the EMS.
The members of the EU have put a strong emphasis into the monetary and
macroeconomic policies. In order to ”reduce inflation the tried to have more
stable competitive conditions within in the EMS
which resulted in strict exchange rates”. The European Union has a long way to
go before it achieves 100% success. There are many advantages to having a
united Europe to the people of Europe. One
benefit is trade. There is now a free movement of goods, services, people and,
money within the countries belonging to the European Union. Having a united Europe, which will result in the euro, will benefit
information technology, administrative changes, and the information and
training of employees. The benefits of the EU on citizens, businesses, and
tourists will be determined by how much attention is paid by each particular
country to maintaining and promoting good relations with one another. American
businesses are affect by the united Europe.
For example, in 1980-85 there was an unpredicted increase in the value of the
dollar. As a result of the dollar appreciation many American industrial firms
that competed in the international market were more profitable than in the
past. The European Union also affects the business in the United States because the “cash
forward market liquidity tends to ‘dry up’ in the middle of the afternoon
because that is when the European currency traders are going home for the day.
Investors in the ECU are growing on a daily basis. Investors tend look at the Union as a risk-returning investment according to dollar
assets and the foreign alternatives that are available.
About Spain and European Integration we
can say that Spain's accesion to
European Community in January 1986 was the consummation of a political
and economic transformation that had been taking place since 1959, when a group
of Catholic Opus Dei technocrats began to open up the Spanish economy to
foreign trade and investment, reversing the autarkic and isolationist policies
pursued from 1939 to 1951, during the most fascist phase of Franco's
dictatorship. The more serious discussions which begun abortively in 1964 and
again in 1967 eventually led to a preferential trade agreement in 1970, but the
EC was unwilling to enter a closer liaison as long as Franco ruled Spain.
The reforming conservative colition
government of Adolfo Suárez (1976-1981) applied for full EC membership in july
1977, four months after Portugal
and one month after winning a sweeping victory in the first democratic
elections held since Franco's death. The government had hoped that entry terms
could have been negotiated and agreed by 1980, in time for admission soon after
But Franch, Italian and subsequently Greek fears of the economic consequences
of Spain entry - mainly for their own producers of Mediterranean farm products,
but also for the CAP and for EC industries such as steel, coal, cars, textiles
and footwear - and German concerns over the budgetary implications, dragged out
the negotiations from late 1979 until March 1985. When Spain finally entered the EC in
1986, it had a socialist government under Felipe González.
EC admission did indeed seem to pose a major challenge for its existing
members, especially France, Italy
accesion was to increase Ec territpry by nearly one third, total population by
14 per cent, cultivated area by 30 per cent, agricultural population by 25 per
cent and fishing fleet by 70 per cent. Spain then accounted for over 40
per cent of the world's olive-oil production and 20 per cent of world's
citru-fruit exports. It also had Europe's most extensive vineyards, although
its grape yields were well bellow those of France and Italy.By the early 1980s
Spain's industrial and agricultural exports exceeded those of all the other
Mediterranean states put together. Thus the admissionof Spain to the EC would
further disavantage those Mediterranean states which were not members and add
to EC surpluses of wine and olive-oil and to CAP costs, altough, as a net
importer of grain and dairy produce, it would help to reduce EC grain and milk
For Spain the importance of EC accession
was primarily political and psychological, marking a 'return' to a
Europe from wich it had stood apart for too long and a concern to consolidate
and enlist European support for the then still fragile restoration of
parliamentary democracy and the rule of law. Accession to the EC and the long
negotitions that preceded it provided Spain's
post-Francoist governments with additional leverage to push through
far-reaching measures of political and economic liberalization which brought Spain into line with the laws, procedures,
standards and commercial practices of Northwestern Europe.
In june 1989, just after three and a half
years after joining the EC, González decided to take spain into the Exchange Rate
Mechanism. Spain's decision
to join was facilitated by the stength at that time of the peseta, which was
buoyed up by the huge influx of foreign investment and private loan capital
after its accession in 1989 and by the high interest rates adopted from
mid-1988 onward in an attempt to restrain the ensuing economic boom and
inflationary pressures. Spain's
economy grew by 5 per cent annually from 1986 to 1989 inclusive and
approximately $30 bn of direct foreign investment was pemped into the economy.
However, while Spain
became a major recipient of EC 'structural' and 'cohesion'
funds, such transfers amounted to less than 1 per cent of its comparatively
large GDP in the early 1990s.
Table . The Spanish economy, 1985-1994 (%)
Awash with foreign capital, Spain's
per capita GDP rose from 72 per cent of the EC average in 1986 to 78 per cent
by 1991. However, while Spain's
real GDP trebled between 1964 and 1994, recorded employment remained almost
static at 11.7 million, despite a 25 per cent population increase over the same
period. This left 3.7 million people, or 24.2 per cent of the workforce,
without declared employment in June 1994. Even though up to a million of the
regitered unemployed were considered to have significant undeclared earnings
from the sizeable 'black economy', Spain nevertheless continued to
have the EU's highest unemployment levels and this in likely to remain the case
throughout the 1990s. The essential problem has been that the expanding
economic activities are mainly capital-intensive, whereas the declining ones
are mainly labour-intensive.
can be defined as the common monetary system by which the participating
members of the European Community will trade. Twelve Member States of the
European Union are participating in the common currency. They are: Belgium,
Germany, Greece, Spain,
France, Ireland, Italy,
Luxembourg, The Netherlands,
Austria, Portugal, Finland. Denmark, Sweden and the
United Kingdom are members of the European Union but are not currently
participating in the single currency.The combined countries, now more commonly
referred to as Euroland, will fall under one national bank. This bank, the
European Central Bank, will determine the economic fate of the entire “Union”. today trade using the Euro has begun. The
conversion rates have been set for the eleven nations that will partake. If
business outside of the EMU thinks that they will be unaffected by the Euro
they have a surprise in store. When it fully takes effect all trade for gods
and services will be conducted with the Euro. Companies that trade within the
EMU will no longer have to worry about costly conversion rates and delays that
is inherent when using different currency for business. As far as trade goes
there will be no boarders. Countries that refuse to trade in the Euro may have
difficulties. At some point in time they will receive payment for goods or
services from an EMU country. If they are not prepared to deal with the EURO
they will loose business to competitors that are prepared. Part of being
prepared is having the financial software that is compatible with the Euro and
opening bank accounts so they can transact with Euro currency. Traveling in Europe will be less of a hassle in regards to exchanging
does not have a centralized tax system to coincide wit the Euro so it may not
be so well suited for a single currency union. Maybe in the future as Europe becomes increasingly integrated will with its
economies will it become the new currency standard of the globe. Many see the
Euro as a positive development for Europe the United States and world economy.
The European Economic Union will be the most ambitious economic projects
undertaken in this century.
In conclusion the European Union is the name of the organization for the
countries that have to decide to co-operate on a great number of areas, ranging
from a single market economy, foreign policy's, same sets of environmental
laws, mutual recognition of school diplomas, to exchange of criminal records
are among the few. EU has noted that the current eleven official working
languages will be unworkable; an expansion to sixteen or more will be
The results of the first decade of Spanish
EC membership not only accelerated economic growth and structural change, but
also brought tangible welfare gains to most of their inhabitats and
'progressive' changes in thinking, attitudes, institutions and
practices. I think that more important than the programmes themselves was the
creation of political coalitions or crossparty consensuses with the necessary
degree of resolve to see such prograes through to fruition.
EU European Union
EC European Community
ERM Exchange Rate Mechanism
Robert Bideleux and Richard
Taylor. European Integration and Disintegration East and West, Routledge, 1995.
DeGrauwe, Paul. The Economics
of Monetary Integration.Oxford: Oxford
University Press, 1994.