EU
In 1951 six countries signed the Treaty of Paris. That Treaty established the European Coal and Steel Community.
In 1956 the Treaty of Rome was signed by the same six countries. That become known as the ECC.
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In 1973 tree more countries joined.
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The Southern enlargement was in 1981 and in 1986.
In 1981 Greece joined the European Union and in 1986 Spain and Portugal joined.
That was a very courageous (brave) step, because these tree countries were poorer. They had a very weak economic performance. These twelve members were called “The Twelve”.
In 1991 the Treaty of Maastricht was signed.
- It provided for the gradual introduction of a single European currency.
- They decided that there would be an European citizenship for all people living in the EU.
- They decided that there would be a common foreign and security policy.
Until 1993 it was called the EEC (EG) then it turned into EU. In 1995
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joined the EU.
The European Union
Nowadays it consists of fifteen participating member states.
- Europe Day
The Europe Day is the 5 May, it is the anniversary of the founding of the Council of Europe.
- European Flag
The European Flag is a circle of 12 gold stars on a blue background. Twelve is the symbol of perfection.
- European Anthern
The European Anthern is a prelude to the “Ode of Joy” from Beethoven’s Ninth Symphony.
Euro
Twelve member states will participate to deal with the EURO.
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will not participate.
Greece is allowed to deal with the EURO.
1 EURO = 13,7603 it is divided into 100 cents.
Timetable for the introduction of the EURO
- On the 01.01.99 the EURO became the official currency of the twelve participating member states. But banknotes and coins have not been available. You can transfer money in EURO as scriptural currency.
- The exchange rates on that day between each of the national currencies and the EURO were irrevocably fixed.
- From 01.01.1999 to 31.12.2001 there has been a transition period (two currencies are valid). There has been an orderly changeover to the EURO by the whole economy.
- On the 01.01.2002 Euro-coins and banknotes will be in circulation. § A complete changeover should happen with them.
- There will be a short dual circulation period of two months from the 01.01.2002 to 30.06.2002. Two currencies will be valid.
- On the 01.01.2002 the national coins and banknotes start being withdrawn.
- From 01.02.2002 all transactions must be made in EURO.
7 EURO notes and there would be 8 EURO coins. They are denominated in
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and
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EURO and
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Cents
To avoid forgery, they will carry advanced security features.
Every EURO coin will carry the same European site everywhere but on the reverse site, each member state will have its own motif.
Austria will have
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EMU= Economic and Monetary Union. It is one of the European goals.
Goals
The goals of the EU include
- The creation of an economic and monetary union (EMU), including a stable single currency.
EMU = a single currency area within the EU-single market in which goods, services, people and capital move without restrictions.
- the promotion of social and economic progress
- the establishment of a common citizenship
- the development of a common foreign and security policy
- co-operation in the fields of justice and home affairs § solidarity between the Union’s peoples
- the defence of freedom, democracy, respect for human rights.
Why do we need the EMU?
- It’s easier to cross borders without having to change currencies.
There is no more currency conversion when crossing borders within the EMU.
- The costs associated with currency exchange will be eliminated. That’s good for consumers and good for people who travel.
- There will be an easier price comparison across the participating states
- If there is more competition there might be lower prices for the consumer
- The exchange risks will be eliminated (they vary from day to day)
- A single currency will strengthen the EU.
European Central Bank
- The members meet in Frankfurt
- It is responsible for the monetary policy in the Euro-area.
- It implements European Monetary Policy.
Reasons for Austria’s joining EU
- Because of economic reasons (the falling of consumer goods prices). Price reductions occurred with dairy products and flour but on the other hand the prices of bananas and rice went up.
- There is a abolition of border controls, trade barriers have been removed. The trucks are usually no longer controlled.
- Austria has become more attractive for foreign countries, because the EU brings more employment and many companies transferred their production sites to Austria.
There was a referendum in 1994. 2/3 voted for the EU.
80 % of the Swiss population voted against joining the EU.
European Parliament
- It consists of 626 members.
- They are elected by the peoples of the different member states.
- The members are elected every 5 years.
- There is a direct vote.
European council
- The 15 members meet in Brussels regularly to plan the policy of the EU.
- It represents the government of the member states.
- There is one member for each state.
- It is the main decision making body of the EU.
European Commission
- It is the executive organ of the EU.
European Court of Justice
- They meet in Strasbourg.
The EU East Enlargement
- There are official accession negotiations with
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- There are preparatory talks at the same time with
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- It is expected that these accession negotiations will last for at least two or three more years and the ratification process will take another two years.
- No dead-line has been set for an end of these talks and the enlargement will not happen before 2005/2006.
- Until 1989 the applicant states were separated from Western European States by the Iron Curtain.
- The CEE-countries are the Central and Eastern European Countries. These countries belong to Communism.
- There is a kind of Paper Curtain behind these countries (They are not fully accepted and a step behind).
- Austria borders of three of the applicant states namely
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- COMECON was the former Communist trading bloc. Most of the applicant states belong it. The economic situation is not good as it could be.
- Hungary and Poland can meet the crite ria.
Fears of the East enlargement
- change in the job situation
we fear a wave of immigrants
unemployment rate could increase
we might lose our jobs
- fear of the sinking wage levels
sinking of social security levels (Trade Union rents)
some sectors rely on migrant workers (service sector)
- security
we are afraid of a rise of organised crime (drug dealing, drugsmuggling) possibility for Eurowide co-operation in preventing crime central position could be positive for the security
- trade and commerce
retailers are afraid that the Austrian market will be swamped by cheap consumer goods
applying countries will have to adapt our standards, so there will be a rise in labour costs and prices
exports in these countries will be larger (have tripled in the past)
- Agriculture
we are afraid of competition by cheap agricultural products maybe the export will rise (in the new member states) we could provide a developed technology to those countries
prevention
- we could help the applicant countries to strengthen their own economy, so that there is no need for coming to Austria
The criteria for EU-Membership
- The EU-members met in Copenhagen in 1993 and they set up some criteria for EU-Membership.
- There are political criteria. § economic criteria
- Other obligations for member ship There must be institutions which guarantee democracy There must be a functioning market economy.
The applicant states must adhere to all the aims of the EU.
Would there have been an alternative?
- eg. Switzerland
- The negative effects of its outside role:
- Companies have been transferring their production sites to the EU - a move which has proved advantageous for Vorarlberg, for example. § Swiss citizens find it difficult to the work permits in EU countries.
- Companies complain about problems when trying to export to EU countries.
Frequently Asked Questions
What are the initial treaties related to the formation of the EU?
The Treaty of Paris (1951) established the European Coal and Steel Community, signed by six countries. The Treaty of Rome (1956) was also signed by the same six countries and became known as the ECC.
When did the first enlargement of the European Union occur?
In 1973, three more countries joined the initial six.
When did the Southern enlargement of the European Union occur?
The Southern enlargement happened in 1981 with Greece joining, and in 1986 with Spain and Portugal joining.
What were the key provisions of the Treaty of Maastricht (1991)?
The Treaty of Maastricht provided for the gradual introduction of a single European currency, established European citizenship for all EU residents, and defined a common foreign and security policy.
When did the EEC become the EU?
Until 1993, it was called the EEC (EG), and then it became the EU.
How is Europe Day celebrated?
Europe Day is celebrated on May 5th, the anniversary of the founding of the Council of Europe.
What is the symbol on the European Flag?
The European Flag features a circle of 12 gold stars on a blue background, where twelve symbolizes perfection.
What is the European Anthem?
The European Anthem is a prelude to the "Ode of Joy" from Beethoven's Ninth Symphony.
What is the Euro?
The Euro is the single European currency. Twelve member states will participate to deal with the EURO.
What was the timetable for the introduction of the Euro?
- 01.01.99: The EURO became the official currency for participating member states as scriptural currency.
- The exchange rates between national currencies and the EURO were irrevocably fixed.
- 01.01.1999 to 31.12.2001: A transition period where two currencies were valid.
- 01.01.2002: Euro-coins and banknotes were introduced into circulation.
- A short dual circulation period of two months from the 01.01.2002 to 30.06.2002
- 01.01.2002: Withdrawal of national coins and banknotes began.
- From 01.02.2002: All transactions were to be made in EURO.
What are the denominations of Euro notes and coins?
There are 7 EURO notes and 8 EURO coins. They are denominated in various amounts of EURO and cents.
What is EMU?
EMU stands for Economic and Monetary Union, a key goal of the EU.
What are the goals of the EU?
The goals of the EU include: the creation of an economic and monetary union, promotion of social and economic progress, establishment of a common citizenship, development of a common foreign and security policy, cooperation in justice and home affairs, solidarity between the Union’s peoples, and the defense of freedom, democracy, and respect for human rights.
Why is the EMU needed?
The EMU simplifies border crossing, eliminates currency conversion costs, enables easier price comparisons, increases competition, eliminates exchange risks, and strengthens the EU.
What is the role of the European Central Bank?
The European Central Bank, based in Frankfurt, is responsible for monetary policy in the Euro-area and implements European Monetary Policy.
Why did Austria join the EU?
Austria joined the EU for economic reasons, including the falling of consumer goods prices, the abolition of border controls, and increased attractiveness for foreign countries leading to more employment.
What is the role of the European Parliament?
The European Parliament consists of 626 members elected every 5 years by the people of the member states.
What is the role of the European Council?
The European Council is the main decision-making body of the EU. The 15 members meet regularly in Brussels to plan the policy of the EU.
What does the European Commission do?
The European Commission is the executive organ of the EU.
Where does the European Court of Justice meet?
The European Court of Justice meets in Strasbourg.
What is the EU East Enlargement?
The EU East Enlargement involves official accession negotiations and preparatory talks with various countries. No deadline has been set for these talks, and the enlargement is not expected before 2005/2006.
What are CEE countries?
The CEE-countries are the Central and Eastern European Countries. These countries used to belong to Communism.
What were some of the fears surrounding the East Enlargement?
Fears included changes in the job situation, sinking wage levels, security concerns related to organized crime, trade and commerce concerns about cheap consumer goods, and agricultural competition.
What are the criteria for EU-Membership?
The criteria for EU-Membership, established in Copenhagen in 1993, include political criteria (guaranteeing democracy), economic criteria (functioning market economy), and adherence to all the aims of the EU.
What are some negative effects if a country is outside the EU?
A country being outside of the EU can lead to companies transferring their production sites to the EU, difficulties for citizens obtaining work permits in EU countries, and problems exporting to EU countries.
- Arbeit zitieren
- Christina Wlaschitz (Autor:in), 2001, European Union, München, GRIN Verlag, https://www.grin.com/document/102110
