Introduction to the European Union

Ideas motivating European integration:

1)      Need to establish a workable framework for Europe in the post World War II period, one with a place for Germany but one in which the other states are also permitted their freedom of action.   Overcome past history of conflict, make it inconceivable that the states of Europe would ever take up arms against one another again.

2)      Countries have many different motivations in pursuing and developing regional cooperation. A post-Hitler Germany seeks to show that it is willing and able to be a normal nation, come back from wartime occupation, contribute energy of the German people not to conquest but to development and cooperation.  France seeks to preserve a leadership role for itself on the continent.  Italy, like Germany, wanted respectability and also path back from economic devastation of the war.  Benelux small and vulnerable. Tie the large countries into cooperative arrangements.

3)      Culturally similar: Europe, despite divisions, has been one cultural unit for more than a thousand years.  Common religion (despite divisiveness this caused in the past).  Common experiences: Napoleon’s invasions, bourgeois democratic revolutions, industrialization, etc.

4)      Also, common challenges in rebuilding from World War II and dealing with eclipse of Europe, decline of empires, and rise of new “superpowers.”  Combine in order to remain relevant.  Combine in order to protect from Communism but also to protect from the US.

5)      Desire to overcome narrow nationalism (most evidenced in Hitler’s Germany) which was seen to be a primary cause of conflict.  Architects of the EU sought to establish a common European identity.  Various levels of EU cooperation have moved in the direction of a common European identity. There is now a common EU passport, a common currency, easy transit across borders. 

6)      Also, functionalism (thinker: David Mitrany).  Start cooperating in easy socio-economic areas and "sneak up on peace."

The Basics:

MEMBERSHIP:

http://europa.eu/abc/european_countries/index_en.htm

Founder members were: France, Germany, Belgium, Netherlands, Luxembourg, and Italy

1970s added: Britain, Denmark, Ireland

1980s: Greece, Spain, Portugal

1990s: Austria, Sweden, and Finland

2004: Estonia, Lavia, Lithuania, Poland, Hungary, Czech Republic, Slovakia, Slovenia, Malta, Cyprus

2007: Bulgaria, Romania

Get a European Union of 27 members.

THE GERM OF THE IDEA:  1950—Europe seemed as if it were on the “abyss” (EU website).  Onset of the Cold War, real threat to Europe of fighting between Eastern and Western parts of Europe, in fighting that would take place across the fields of Europe, just a few years after the devastation of World War II.

Jean Monnet of France and French Foreign Minister Schuman (48-53) sought to tie Germany to France and the West.  Idea of cooperating in specific area to foster further collaboration and alignment of interests.  Build on other ideas working at the time 1948 Brussels Treaty: agree on military assistance, economic and social cooperation.  1949 founding of the Council of Europe, supposed to engage in common action on economic, social, cultural, scientific, legal, and administrative matters (but not defense). Grand plans for integration not as successful as starting small.  Failure of the European Political Union and the European Defense Community (early 50s).  Perhaps too soon for such grand projects.

The area that was settled on for cooperation was coal and steel. These commodities, cornerstones of modern industrial economies at the time, seemed to be a good starting point.  Also, makes economic sense since supranational planning could lead to more efficient use of scarce resources.  In keeping with socialist economic ideas current at the time, particularly the idea that economic planning would be preferable and more effective than leaving allocation decisions to the market.  Further, conflict between France and Germany over the Ruhr, an industrial area of Germany, had been a cause of World War II.  Cooperation in this area, then, was seen to help to mitigate against the possibility of future conflict.  Also, use the trade to tie Germany into cooperative relations with Europe, interdependent to the point where cannot engage in warlike behavior.

The proposal was tabled by Schuman on 9 May 1950. Discussed briefly with German Chancellor Konrad Adenauer who agreed.  After announcement, the concept was endorsed by Italy, Netherlands, Belgium, and Luxembourg (with France and Germany), “the six” founders of the European Union.  The treaty establishing the European Coal and Steel Community (ECSC) was signed in April 1951 (Paris Treaty). The Community came into existence in 1952.

THE EUROPEAN ECONOMIC COMMUNITY (EEC): The next landmark in Europe’s political development was the signing of the Treaty of Rome on March 25, 1957.  After a few years with the Coal and Steel Community, leaders sought to aim higher, toward "ever-closer union," toward the creation of a common market.    Also trying to overcome some problems that had become apparent with ECSC: hard to develop these sectors on their own.  The Rome Treaty added the EEC to the Coal and Steel Community.  The goal of the Common Market, gradually phased in from 1958 to 1970, was the abolition of customs duties among member countries, common external tariff.  Dropping of borders to trade helped to spur intra-European trade, though there is no consensus that this step was entirely responsible for the post-war European economic boom.  Other organizations date from this time, like Euratom (separate treaty, same process).  Other prominent European programs date from this time, such as the Common Agricultural Policy (1962), the big money spender of EU funds, about Euro$41.5 billion (2000) per year subsidizing European agriculture.

NEW AREAS: FOREIGN AFFAIRS, TRADE, AND AID—As a step into a common European approach to foreign affairs, in 1960s and 1970s, Europeans were dealing with the problems of colonies, wars of independence, former colonies, and the problems of underdevelopment in the Third World, threat of Communism in the developing world.  Confronting these problems together, the nations of the EEC agreed on a series of agreements, known as the Lomé Conventions (first covered the period 1975-80), now covering more than 70 African, Caribbean and Pacific countries.  Dealt with issues of both trade access and aid provision.  Trend toward the use of soft power rather than hard power (left to the US).

EXPANSION BEGINS: 1973 the European Union saw its first expansion when Denmark, Ireland and the UK became members (UK membership had in 1963/67 been vetoed by De Gaulle, too Atlanticist, too close to the US/would give US a leg in Europe, would slow down the European project and, covertly, dilute France’s power, book mentions resentful at exclusion from biggie summits of WWII years and De Gaulle’s perception of Britain’s lack of enthusiasm for the European integration project). Norway also planning to join in the 1973 round but in a 1972 referendum, this was opposed by the Norwegian people, still out.  Those countries were followed in the 1980s by Greece ('81), Spain ('86), and Portugal ('86) and in the 1990s Austria, Sweden, and Finland (1995).  Increase in membership makes decision-making more cumbersome, overwhelms institutions, altered economic balance with poorer states, reduced Franco-German control.  Enlargements in 2004, 2007 almost double size of EU to 27 nations.

DEMOCRATIZATION OF EUROPE: In June 1979, the first direct elections to the European parliament were held.  This replaced parliamentarians, members of national parliaments delegated by home country to represent the latter at Strasbourg, with parliamentarians who would represent the people of Europe in European decision-making.  This represented an important change in the nature of the EEC, more towards a supranational, as opposed to intergovernmental, body. 

FROM CUSTOMS UNION TO SINGLE EUROPE:  Problems had become apparent in the implementation of the earlier customs union. While nominal barriers had come down, different national standards, labeling requirements, languages, laws, and customs and passport controls all provided significant non-tariff barriers to trade and the free movement of goods, services, and people.  In 1986 with the passage of the Single European Act, Europe moved further toward the creation of a single market, target date 1993. 

SINGLE EUROPE WITH COHESION.  The Single European Act strengthens the Commission’s powers, introduces qualified majority voting on some issues (rescinding effective vetoes when unanimity demanded).  In the Single European Act, equal emphasis was put on economic and social cohesion.  Just taking in poorer countries: Greece, Spain, Portugal, but also parts of Italy, Ireland backward.  Need to help backward regions to catch up with the richer parts of Northern Europe.  Implicit idea here that increased living standards, lack of want will increase European-ness of all.  As the program has developed, also some money for wealthier countries to improve brown areas, former industrial zones blighted with passing of hardcore industry.  Regional aid is the second-largest item in the European Union budget, about Euro$32.8 billion in 2000.  Also, keep in tune with social agenda defined by Europe’s left-leaning governments: improved conditions for workers, equal pay for equal work for men and women.  Further, cohesion funds used to help offset costs to less advanced countries of complying with advanced European legislation on the environment.  The EEC becomes just the EC.

THE EUROPEAN UNION: With the signing of the Maastricht Treaty (Treaty on European Union) in February 1992 (in force November 1993), Europe launched onto a higher plane of cooperation.  The European Community, essentially economic in its aspiration and content, was transformed into the European Union.  Three pillars of the EU:

Community pillar: traditional institutional procedures and governs the operation of the Commission, parliament, the Council and the Court of Justice.  This is concerned with managing the internal market and the common policies.  Economic integration was taken to a higher level with the plan to pursue economic and monetary union, single currency by 1999.  This is a decided step away from the socialist/planning architecture of the earlier economic cooperation agreements.  Single Europe will be a trade zone in which individual countries’ abilities to plan their economies on their own will disappear.  One scholar calls this process “Hayek’s revenge,” referring to the Austrian economist.  Creation of a single European market in which capital, goods, and labor would all be able to move freely (aspiration of earlier projects but only with Maastricht, Schengen—movement of people—does this become really possible).  EU also moved into new areas: consumer protection, public health, transport, education, and social policy (except in Britain). 1999/2002: Creation of common currency for most members, the Euro.

The other two pillars involve member states in areas hitherto regarded as being matters over which the national governments alone had power: on the one hand, foreign and security policy (CFSP) and on the other, home affairs, including immigration and asylum policy, the police, and justice, drugs, and terrorism.

Maastricht also makes the people of the member countries European citizens for the first time giving them the right to move freely and live in any member state and to vote in local and European elections in any EU country.

Europe also begins work on one of the major challenges that will preoccupy it for the next decade - its eastwards enlargement into the former Soviet bloc. In December 1991, Europe Agreements with Poland, Hungary and the Czechoslovakia.

The Maastricht negotiations were difficult.  Many themes then still themes now: how much sovereignty to give up to the Union, how far to proceed in “ever closer union”  (Rome) how voluntary should the cooperation be (or can you be forced by majority voting)?  Can states opt out of parts they don’t like?  The Maastricht treaty was initially rejected by Danish voters only to later scrape by there (when promised ability to opt out), as it did in a referendum in France.  The British did not go to referendum. Difficult enough getting the treaty through parliament.

Main bodies:

European Parliament (Strasbourg/Brussels/Luxembourg, 736): Only directly elected body in the EU and uses that in dealing with other EU bodies to try to get more power.  Parliament’s powers include control of the executive (only body with power to fire the Commissioners), the right to be consulted on items of community legislation—which has gradually expanded to a power of co-decision (accepted Maastricht, but does not have power of initiation). Parliament also shares budgetary power with the Council.  Parliament is not the most influential body among the various European bodies, media rarely covers.

Interesting: coalitions across nations along party lines.  Find the European Parliament at http://www.europarl.europa.eu/.

The European Commission (Brussels, 27):  The European Commission functions as the ministries of the European Union and includes, under the commissioners, a Europe-wide civil service.  The Commission is the only EU institution which can initiate legislation. Before it can propose new laws, it has a duty to consult with interest groups and experts to ensure the interests of the European Union as a whole are served.  Once the commission has formed a proposal, either for a new law or for the annual budget, it submits it to the European Parliament and the Council of Ministers to pass or reject it.  Commission also charged with overseeing implementation of EU law and policy by the member states.  Commissioners are appointed by the Council of Ministers and then approved by Parliament, serve five-year collective terms.  Each Commissioner serves as head of a given functional area: like agriculture or enlargement, for example.  Each state has one commissioner for the time being, but in the coming years, this will be pared down.

http://ec.europa.eu/index_en.htm. There is a president of the European Commission.

The Council of Ministers (one per member state):

The council is made up of ministers from the European Union's member states.  Together with the European Parliament, the council has the power to make EU laws and decide the budget.  Actually, a big decision maker in the EU scheme, important power retained by member states acting together through their respective political leaderships.  Decision-making methods vary by issues.  Most often voting, so can be subject to something you do not agree to.  Voting Nice to new post-Lisbon system will be phased in over time. See http://europa.eu/institutions/inst/council/index_en.htm for the Council.

The European Presidency, part of the Council of Ministers:

Countries have historically rotated the EU presidency.  The president is in charge of Council work for a period of six months.  Sets an agenda for Council meetings, chairs Council meetings, oversees Council relations with other EU institutions, runs EU foreign policy for six month term, oversees getting agreement by member states.

With Lisbon Treaty (2007), this has changed. Election of Herman von Rompuy.  President to be elected from among former heads of state/government in the member states, and he or she will serve a two-and-a-half year term, renewable once.  The election will be by qualified majority vote of Council members (same vote can remove from office).  Duties: The president shall: chair the European Council and drive its work, report to parliament on council's work, ensure the external representation of the union. The rest to be fleshed out.  Qualifications: Not currently holding national office.

The European Court of Justice (27 judges):

Supreme Court of Europe.

1) Has the power to ensure that EU legislation is in conformity with European treaties, eventually, most likely, the European Constitution as well. 

2) Also has the power to make sure that national legislation is in conformity with Europe in areas of authority

3) And power to make sure that international agreements to which EU will be party in keeping with treaties as well.  Also dates from ECSC.

4) Judges all effectively national appointees, can only be removed by unanimous decision of fellow judges that job no longer being performed adequately.  Decisions supposed to be unanimous but in fact operate by voting. Don’t publish opinions so balance of opinion on the court over various issues not known.

5)1989 to take some of work load, created a subsidiary Court of First Instance to handle less complicated cases.

See http://curia.europa.eu/jcms/jcms/j_6/ for the European Court of Justice.

The European Central Bank (Frankfurt):

The bank is responsible for setting interest rates among the 16 EU countries who have joined the euro, Europe's single currency, and managing its value in relation to other currencies.  The euro's homepage is http://ec.europa.eu/economy_finance/the_euro/index_en.htm?cs_mid=2946.

Note:  See http://europa.eu/abc/treaties/index_en.htm for a list of the most important EU treaties.

Last updated: October 20, 2011.

Author: tanp@Uncw.edu

Return to Dr. Tan's homepage: http://people.uncw.edu/tanp/

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