European Union - Purpose and Functioning
European Union was created on 1st November, 1993 by Maastricht Treaty between European countries in Netherlands. Six founding member countries of European Union are Belgium, France, Germany, Italy, Luxembourg and Netherlands, with U.K., Denmark and Ireland joining in 1973.
As of now, European Union is a union of 28 European countries sharing Political and Economic relations. It was set up to end frequent wars between Neighbours which culminated into second world war. It has four institutions which work together- European Union, European parliament, Council of European Union and Court of Justice. It was awarded Nobel Peace Prize in 2012 for promoting Peace, Human Rights and Democracy in Europe.
The Maastricht treaty officially known as Treaty on European Union sets out beginning of a new era of starting process of creating closer union among the people of Europe. It laid foundation of a single currency - Euro - and expanded co-operation between European countries. It was signed on 7th Feb. 1992 and came into force from 1st November,1993. The purpose of rules for to ensure that price stability is maintained in Euro. The rules work to ensure that countries joining EU is stable in -
i) Inflation, ii) Interest rates, iii) Levels of public debt, iv) Exchange rates.
Since world war II, USA protected Europe, help to rebuild and with NATO work still continues. Europe being a market for exports and demand for US dollars constitutes an important component of U.S power. As such, EU is important for USA. U.S. diplomatic mission with European Union is in Brussels (Belgium) - transatlantic economic council is a bilateral forum for economic co-operation.
It was established between USA and EU summit when it became biggest economy in the world for a brief time in 2007.
Advantages of European Union - Tax free trading among members, Opens up to more opportunities, Common currency, No conflict between nations and culture is not lost.
Disadvantages of European Union - Communication barriers, shared wealth between wealthy and smaller & poorer countries, Leaving is a problem, Takes power from the Governments to change the leader they not like due to corruption & cause major problems in Govt. sectors, Discrimination against potential members. Europe borders largely undefined & this gives powers to pick and choose who they like to join.
As of now, European Union is a union of 28 European countries sharing Political and Economic relations. It was set up to end frequent wars between Neighbours which culminated into second world war. It has four institutions which work together- European Union, European parliament, Council of European Union and Court of Justice. It was awarded Nobel Peace Prize in 2012 for promoting Peace, Human Rights and Democracy in Europe.
The Maastricht treaty officially known as Treaty on European Union sets out beginning of a new era of starting process of creating closer union among the people of Europe. It laid foundation of a single currency - Euro - and expanded co-operation between European countries. It was signed on 7th Feb. 1992 and came into force from 1st November,1993. The purpose of rules for to ensure that price stability is maintained in Euro. The rules work to ensure that countries joining EU is stable in -
i) Inflation, ii) Interest rates, iii) Levels of public debt, iv) Exchange rates.
Since world war II, USA protected Europe, help to rebuild and with NATO work still continues. Europe being a market for exports and demand for US dollars constitutes an important component of U.S power. As such, EU is important for USA. U.S. diplomatic mission with European Union is in Brussels (Belgium) - transatlantic economic council is a bilateral forum for economic co-operation.
It was established between USA and EU summit when it became biggest economy in the world for a brief time in 2007.
Advantages of European Union - Tax free trading among members, Opens up to more opportunities, Common currency, No conflict between nations and culture is not lost.
Disadvantages of European Union - Communication barriers, shared wealth between wealthy and smaller & poorer countries, Leaving is a problem, Takes power from the Governments to change the leader they not like due to corruption & cause major problems in Govt. sectors, Discrimination against potential members. Europe borders largely undefined & this gives powers to pick and choose who they like to join.
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