The European Union: History, Formation, and Structure
1. Origins and Evolution of the EU
1.1. Preventing Confrontation
The EU originated from a desire to avoid further conflict between France and Germany. Robert Schuman’s idea led to the establishment of the European Coal and Steel Community (ECSC) in 1951. The ECSC consisted of France, West Germany, the Benelux countries (Belgium, Netherlands, Luxembourg), and Italy.
1.2. The Treaty of Rome (1957)
The Treaty of Rome in 1957 created:
- EURATOM: The European Atomic Energy Community.
- EEC: The European Economic Community (Common Market), formed by the original six states with the intention of expanding. Its goal was to eliminate borders between member states.
1.3. The Maastricht Treaty (1993)
The Maastricht Treaty, effective November 1, 1993, dissolved the EEC and created the EU. Key agreements included:
- Increased power to the European Parliament.
- Creation of European citizenship, granting:
- The right to reside freely in any EU territory.
- The right to vote in European Parliament and municipal elections.
- The right to contact the Ombudsman regarding European rights violations.
- Establishment of a common foreign and security policy.
- Creation of an economic and monetary union, leading to the euro’s introduction in 2002.
1.4. The Treaty of Lisbon (2007)
Signed in 2007 (intended for 2009 but delayed by Ireland’s initial rejection), the Lisbon Treaty established:
- 750 Members of European Parliament (MEPs).
- A renewable 2.5-year term for the European Council President.
- Qualified majority voting for European Council decisions (55% of member states representing 65% of the population).
- A limit on European Commission members.
1.5. Key EU Institutions
- European Council: Composed of heads of government, meeting twice yearly, with a rotating presidency. It holds ultimate authority and sets the EU’s overall direction.
- European Commission: Represents member states (typically two representatives from larger countries and one from smaller countries). Commissioners, with a Parliament-elected president, manage the EU’s day-to-day operations and ensure adherence to agreements. Based in Brussels, it prioritizes EU interests.
- European Parliament: Elected by EU citizens, its powers are somewhat limited by the Council. Key roles include electing the Commission President, approving budgets, and issuing reports (often binding on the Commission). It also approves new member states and oversees the Commission.
- Court of Justice: Interprets EU treaties and laws. Based in Luxembourg, its decisions are binding on all member states.
- European Central Bank: Manages the euro and sets EU economic policy. It is based in Frankfurt.
2. EU Expansion and Membership
Initially comprising six states, the EEC/EU has expanded to 27 members, with more seeking accession. Candidate countries must meet specific criteria:
- Political: Democratic governance respecting rights and freedoms.
- Economic: A market economy capable of competing within the EU.
- Legislative: Acceptance of existing EU laws and regulations.
3. Power Dynamics and Regional Divisions
3.1. Principle of Subsidiarity
To address member states’ concerns about power loss, the principle of subsidiarity dictates that decisions should be made at the closest level possible to citizens. This principle remains fundamental to the EU’s operation.
3.2. NUTS Regions
The EU uses the Nomenclature of Territorial Units for Statistics (NUTS) for regional divisions:
- NUTS 1: Large socio-economic regions.
- NUTS 2: Basic administrative units (often corresponding to autonomous communities in Spain).
- NUTS 3: Smaller divisions (provinces in Spain).
- NUTS 4 & 5: Less commonly used, corresponding to municipalities.
3.3. Structural and Cohesion Funds
To reduce regional disparities, the EU established:
- ERDF (European Regional Development Fund): Supports less developed regions.
- ESF (European Social Fund): Supports training for the unemployed and disadvantaged.
- Cohesion Fund: Aids less developed countries (previously Spain, Greece, Ireland, and Portugal).
4. Economic and Monetary Union
4.1. The Euro
Initially, each country retained its currency. However, the European Monetary System (EMS) and the European Currency Unit (ECU) paved the way for the euro, launched in 2002.
4.2. The Eurozone
The eurozone comprises countries using the euro. Some EU members (like the UK and Denmark) retain their currencies, while others are committed to adopting the euro when they meet the necessary conditions. Some non-EU countries also use the euro.
4.3. Economic Sectors
The EU is a post-industrial society:
- Tertiary (Services): 70% of GDP.
- Primary (Agriculture, Fisheries, Forestry): 2% of GDP.
- Secondary (Industry, Construction): 28% of GDP.
- Quaternary (Research, Management): Significant in developed economies.
4.3.1. Common Agricultural Policy (CAP)
The CAP aims to increase agricultural production, ensure decent living standards for farmers, and promote environmentally friendly practices and rural development.
4.3.2. Common Fisheries Policy (CFP)
The CFP sets fishing quotas to prevent overfishing, promotes aquaculture, and negotiates fishing agreements with non-EU countries.
4.3.3. Industrial Policy
The EU’s industrial policy focuses on upgrading infrastructure, preventing counterfeiting, reducing regional disparities, and combating unemployment.
4.3.4. Tertiary Sector Policies
EU policies emphasize free movement of people, capital, and goods, making Europe a major global trading hub.
5. Population Dynamics
The study of population dynamics considers birth rates, mortality rates, fertility rates, natural growth, net migration, and total population growth. Population pyramids illustrate population structure by age and sex.