Evolution and Structure of the European Union

Posted on Nov 21, 2024 in Geography

Formation of the EU

Post-War Initiatives

  1. Marshall Plan (1945): Revitalize the European economy.
  2. Benelux (1948): Economic Union of Belgium, Netherlands, and Luxembourg.
  3. ECSC (1951): Regulate coal and steel production (France, Germany, Benelux).
  4. Spaak Report: Led to the Treaty of Rome (1957).
  5. Treaty of Rome: Created the EEC (European Economic Community) and Euratom (European Atomic Energy Community).
  6. Treaty on European Union (TEU) (1993): Transformed the EEC into the European Union, fostering broader cooperation.

EU Institutions

European Parliament

  • Elected every 5 years.
  • Located in Strasbourg.
  • 785 MEPs (Members of the European Parliament), primarily from EPP and PSE.
  • Objective: Reach agreements, not direct legislation.
  • Regressive proportionality: Representation based on population.

Council (Cabinet)

  • Headquarters in Brussels.
  • Manages international agreements.
  • Responsible for budgets, law approval, judicial cooperation, and economic policies.
  • Rotating presidency every 6 months.

European Commission

  • Executive body for daily EU affairs.
  • Proposes legislation, manages budgets, enforces laws, and represents the EU internationally.
  • Composed of 27 Commissioners (one per state).
  • Nomination approved by the European Parliament and the Council of Ministers every 5 years.

European Central Bank (ECB)

  • Headquarters in Frankfurt.
  • Manages European monetary policy.

Court of Justice

  • Located in The Hague.
  • Accessible to individuals and collectives.
  • Composed of one judge from each country, with a rotating system.

Economic Aspects

Economic Integration

Problems: Varying product rates, economic disparities, differing tax interests.

Advantages: Single currency, price stability, low inflation.

Disadvantages: Loss of economic independence.

Structural Funds

Key Funds

  • ESF (European Social Fund): Improves employment and living standards (since 1960).
  • EAGGF (European Agricultural Guidance and Guarantee Fund): Enhances agricultural structures (since 1964).
  • ERDF (European Regional Development Fund): Corrects socio-economic imbalances (since 1975).
  • FIFG (Financial Instrument for Fisheries Guidance): Finances fisheries and aquaculture (since 1993).
  • Cohesion Fund: Improves infrastructure.

Objectives

  • Objective 1: Regions with GDP below 75% of the EU average (all structural funds).
  • Objective 2: Economic and social conversion of areas with structural issues (ERDF and ESF).
    • Industrial sector transformation.
    • Rural areas in decline.
    • Urban areas in difficulty.
    • Areas dependent on fisheries.
  • Objective 3: Modernization of education and training.

Agricultural Policy (CAP)

Objectives

  • Increase productivity.
  • Ensure a fair standard of living for farmers.
  • Stabilize markets.
  • Ensure supply at reasonable prices.
  • Prevent shortages.
  • Reduce rural-urban disparities.

Principles

  1. Single Market: Free circulation and competition of agricultural products.
  2. Community Preference: Protects internal production through tariffs.
  3. Financial Solidarity: Costs shared by all member states, financed through the EAGGF.
    • Guidance Section: Agricultural structural funds.
    • Guarantee Section: Price and market support.

The EAGGF historically accounts for 70% of the European budget, with 90% for guarantees and 10% for guidance.