EU History & Policies (School PDF)

I. Introduction "Europe" – what does it mean to you ? Key challenges? "Europe" – its present Economist Intelligence Unit (EIU) 2023: "Europe" – multiple challenges From within: Covid-19, economic-financial crisis, social tensions and rising inequality, populism / extremism, politica...

I. Introduction "Europe" – what does it mean to you ? Key challenges? "Europe" – its present Economist Intelligence Unit (EIU) 2023: "Europe" – multiple challenges From within: Covid-19, economic-financial crisis, social tensions and rising inequality, populism / extremism, political fragmentation, challenge to rule of law, Brexit, demographic decline, migration, terrorism, etc. From outside: - US (nationalist turn with Trump; now: Biden…, who’s next?) - Russia (war in Ukraine, spheres of influence, disinformation) - China (assertive: partner, competitor, “systemic rival”) - Middle East/Iran, Libya, Syria, Belarus, North Corea, etc. "Europe" – its future ? Soft power versus Hard power Widening versus Deepening Policies versus Politics II. Origins, treaties and enlargement Pioneers – some of the architects of the European project Their contribution to lasting peace and prosperity… Konrad Adenauer Alcide De Gasperi Winston Churchill Robert Schuman Jean Monnet Treaties: fundament of democratic cooperation based on law 1952 La Comunidad europea del acero y el carbón 1958 Tratados de Roma: Comunidad Económica Europea Comunidad Europea de la Energía Atómica (EURATOM) 1987 Acta Única Europea: mercado único 1993 Tratado de la Unión Europea - Maastricht 1999 Tratado de Amsterdam 2003 Tratado de Niza 2009 Tratado de Lisboa Source: European Commission  Post-war Settlement - Germany recover rapidly as a result of the implementation of Marshall Plan - US applied the Marshall Plan to reduce occupation cost and promote recovery in Europe - France wanted to modernize its economy before allowing Germany to recover - Agrees, on the condition that the German coal mines and steel industry continued to be controlled internationally - US acted as a mediator between France and Germany to minimize tensions 30  Schuman Plan - Drafted by Jean Monnet - Presented the 9 May 1950 in Paris - Franco-German interest under the supervision of a supranational High Authority - The production of coal and steel - Countries economically tied to France + Germany agree - Belgium, the Netherlands and Luxembourg - Italy agree in order to restore its international legitimacy - The Treaty of Paris was signed in 1951 conforming the ECSC (European Coal and Steel Community) 31  European Defence Community - The same 6 countries signed a treaty for the European Defence Community in 1952 - Support to German remilitarization - This was unpopular in France and ended up defeating the treaty in 1954 - Germany formed an army and joined the NATO in 1955 - Monnet left his charge of president of the High Authority to insist on the issue of European integration 32  European Communities (EC) - Liberalization measures in the Organization for European Economic Cooperation (OEEC) and the General Agreement on Tariffs and Trade (GATT) made intra-European trade increment Rome Treaties - Signed on 25 March 1957 and they were implemented on 1 January 1958 (European Communities – EC) - - Abolition of tariffs between member states - - The negotiation of an agriculture treaty in a near future - - Reorder economic and political relations between the states 33 - Euratom - Create a market for nuclear power  Consolidation (European Communities) - De Gaulle returned to power after the collapse of the fourth republic of France - Helped to consolidate the new Community - Stabilizing the political and financial situation of France - Precursor of the CAP (Common Agricultural Policy) - Establishing a single farming market 34  The Emerging European Union - Intergovernmental conference - Single market programme - With a target date of 1992 was a success - Cohesion policy - New entrants : Spain, Portugal and Greece - Cooperation procedure: to improve democratic accountability - France and Germany agreed in 1984 the abolition of borders check - Schengen agreement for the free movement of people 35  Economic and Monetary Union - Commision President Delors advocated the EMU - This focuses on the economic integration of the members - France agree for economic and political reasons - Thatcher saw it as economically unnecessary and politically unwise - The Berlin Wall came down in 1989, incrementing the power of the EMU proposal - In 1992, Treaty of Maastricht establishes the 36 achievement of the EMU and set a criteria, being enforced in 1993 The treaties: from Rome to Lisbon Deepening of EU integration Enlargement: from 6 to 28 Widening of EU Integration  Accession framework includes 3 stages Step n°1 Step n°2 Step n°3 Association Pre-association Accession agreement preparation negotiations The big enlargement: uniting east and west 1989 Fall of Berlin Wall – end of Communism EU economic help begins: Phare programme 1992 Criteria set for a country to join the EU: democracy and rule of law functioning market economy ability to implement EU laws 1998 Formal negotiations on enlargement begin 2002 Copenhagen summit agrees to a big enlargement of 10 new countries 2004 Ten new EU members: Cyprus, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia, Slovenia 2007 Bulgaria and Romania join the EU 2013 Croatia joins on 1 July Candidate countries and potential candidates Enlargement – European Neighbourhood Policy (ENP)  Enlargement Review Momentum of EU integration vs. Absorption capacity Widening vs. Deepening debate (Norway: 1972 + 1994 , Greenland: 1985, Iceland: 2015, UK: 2016-20-21) Constructive ambiguity is likely to prevail as the EU’s enlargement policy. The EU symbols EU Symbols The motto: United in diversity The European anthem The euro The European flag Europe Day, 9 May 24 official languages Български English latviešu valoda português Čeština español lietuvių kalba Română dansk français magyar slovenčina Deutsch Gaeilge Malti slovenščina eesti keel hrvatski Nederlands suomi Ελληνικά Italiano polski svenska Charter of Fundamental Rights Binding for all the EU's activities - 54 articles under 6 titles: Dignity Freedoms Equality Solidarity Citizens’ rights Justice III. The EU's budget and key policies How does the EU spend its money? 2024 EU budget: € 186.6 billion = 1.11 % of GDP The single market: freedom of choice Four freedoms of movement: goods services people capital The single market has led to: significant reductions in the price of many products and services, including airfares and phone calls more choice for consumers millions of new jobs more opportunities for businesses  Free to move Schengen No police or customs checks at borders between most EU countries, and Norway, Liechtenstein, Switzerland and Iceland. Controls strengthened at the EU’s external borders More cooperation between police and immigration authorities from different EU countries Buy and bring back any goods for personal use when you travel between EU countries Going abroad to learn or volunteer Erasmus+ Every year, more than 400 000 young people study or pursue personal development in other European countries with the support of the EU’s Erasmus+ programme for education, training, youth and sport. In addition, Erasmus+ supports the European Solidarity Corps and the European Voluntary Service. Cheaper mobile abroad The EU has reduced the cost of phone calls, text messaging and data roaming abroad by over 80 % since 2007 Euro cent, excluding VAT 300 Downloading data when abroad 250 200 150 Calling from abroad (per minute) 100 50 Sending an SMS when abroad 0 2007 2008 2009 2010 2011 2012 2013 2014 An area of freedom, security and justice EU Charter of Fundamental Rights Joint fight against terrorism Cooperation between police and law- enforcers in different EU countries Coordinated asylum and immigration policies Civil law cooperation Solidarity in practice: the EU cohesion policy 2021-2027: € 392 billion invested in infrastructure, business, environment and training of workers for the benefit of poorer regions and citizens Regional fund Social fund Cohesion fund Less-developed regions: GDP per capita under 75 % of the EU average Transition regions: GDP per capita between 75 % and 90 % of the EU average More-developed regions: GDP per capita over 90 % of the EU average The euro – a single currency for Europeans Why the euro? No fluctuation risk and foreign exchange cost More choice and stable prices for consumers Closer economic cooperation between EU countries EU countries using the euro EU countries not using the euro Can be used everywhere in the euro area Coins: one side with national symbols, one side common Notes: no national side The European economy: stronger together 2008: Worldwide financial crisis starts in the United States. Coordinated response from European leaders: Commitment to the euro and to financial stability New crisis management tools and reforms of rules: European Stability Mechanism: fund to help countries in extraordinary economic difficulties New laws for stability of banks Banking Union: EU-wide supervision of banks and a mechanism to close down failing banks Better economic governance: European Semester: annual procedure to coordinate public budgets Euro+ pact, ‘Fiscal compact treaty’: mutual commitments to sound public finances Banking union: safe and reliable banks The EU’s response to the financial crisis: Rulebook: New laws to ensure that banks have adequate capital and better risk control Supervision: The European Central Bank supervises the +/- 130 of the most important banks National bank supervisors work closely together Resolution: A Europe-wide Single Resolution Board can decide to wind down a failing bank Backed by a fund that banks themselves pay into, thus ensuring that taxpayers do not have to pick up the bill. Common Deposit Insurance Scheme (missing !) Social Europe Europe has the best levels of social protection in the world and ranks highly in terms of quality of life and wellbeing. It maintains these through a number of initiatives: The European Social Charter guarantees fundamental social and economic rights. It guarantees a broad range of everyday human rights related to employment, housing, health, education, social protection and welfare Directive for a Minimum Wage The European Social Fund is Europe’s main instrument for supporting jobs, helping people get better jobs and ensuring fairer job opportunities for all EU citizens. Investment of €10 billion a year improves job prospects for millions of Europeans, in particular those who find it difficult to get work The European Employment Strategy's main aim is the creation of more and better jobs throughout the EU The Youth Guarantee is a commitment by all Member States to ensure that all young people under the age of 25 years receive a good quality offer of: employment continued education apprenticeship traineeship within a period of four months of becoming unemployed or leaving formal education. Gender equality Equality between women and men is a fundamental value of the EU The EU aims to help women get the jobs they want and the same pay as men, and help them strike a better balance between work and other areas of life: Employment: In 2017, the share of women in work in the EU went up to 66.6%, compared to nearly 80% of men Equal pay: On average, women earn 16% less than men in the EU. In November 2017, the EU presented New Start, an Action Plan to close the gap between what women and men are paid Funding: Investing in specific actions to help get women into work include schemes to retrain and improve skills; helping women return to work after a career break, by providing quality childcare, providing individual guidance to women improving employers’ awareness of the challenges faced by women The Economy: The gap in employment between men and women costs the EU economy €370 billion per year. Improving gender equality could create 10.5 million jobs by 2050 and boost the EU economy by between €1.95 and €3.15 trillion Another major priority is to stop violence against women and girls. The EU- funded NON.NO.NEIN campaign, encourages men and women to take a stand on violence against women. Research - investing in the knowledge society Spending on research and development (% of GDP) 3.3% 3.0% 2.7% 2.1% 1.8% EU EU objective China Japan United States 2020 The EU: an exporter of peace and prosperity World trade rules Common foreign and security policy Development assistance and humanitarian aid Protecting consumers' rights As a consumer you are protected by basic laws all over the EU, even when you travel or shop online Clear labelling Health and safety standards Unfair practice in contracts prohibited Passengers’ rights, such as compensation for long delays Help to resolve problems Improving health and the environment Pollution knows no borders – joint action needed EU action has helped bring about: cleaner bathing water much less acid rain lead-free petrol easy and safe disposal of old electronic equipment strict rules on food safety from farm to fork more organic and quality farming more effective health warnings on cigarettes registration and control of all chemicals (REACH) EU Health Union – COVID19 Improving health and the environment Pollution knows no borders – joint action needed EU action has helped bring about: cleaner bathing water much less acid rain lead-free petrol easy and safe disposal of old electronic equipment strict rules on food safety from farm to fork more organic and quality farming more effective health warnings on cigarettes registration and control of all chemicals (REACH) EU Health Union – COVID19  COVID19 response: NextGenerationEU within the EU budget – a breakdown Recovery and Resilience Facility 672.5 / 673.3 Next Generation EU Of which GRANTS 312.5 / 313.3 € Of which LOANS 360.0 / 360.0 Grants 390.0 REACT-EU 47.5 / 47.5 of which provisioning for Rural development 7.5 / 85.4 5.6 guarantees € Just Transition Fund 10.0 / 17.5 Loans 360.0 InvestEU 5.6 / 8.4 TOTAL 750.0 EU4Health 0.0 / 1.7 Next Generation EU rescEU 1.9 / 3.0 TOTAL (including possible EU budget financing) Horizon Europe 5.0 / 80.9 ------ Total with MFF 2018 prices, EUR billion in commitments  Objectives I: Supporting the green transition Member States should focus on reforms and investments that: Decarbonise the industry Promote a more circular economy Protect and restore biodiversity Strengthen sustainable mobility Each recovery and resilience plan has to include a minimum of 37% of climate-related expenditure. Do no significant harm principle governing all expenditure  Objectives II: Supporting the Digital transition Member State should focus on reforms and investments that: Improve connectivity Help citizens develop digital skills Deploy cutting edge technologies such as artificial intelligence and high performance computing Improve cyber security The Commission proposes that each recovery and resilience plan includes a minimum level of 20% of expenditure related to digital.  Objectives III: Strengthening social and economic resilience The recovery and transition process needs to be fair for all Europeans. Member States are encouraged to: take measures to ensure equal opportunities, inclusive education, fair working conditions and adequate social protection, ensure the provision of high quality health care services. Improving the quality of public finances will be important to boost growth potential and support the economic transformation.  GOVERNMENT SPENDING: Comparison between EU budget and government spending 60% 51.1% 49.2% 50% 47.1% 43.2% 43.3% 40% 30% 20% 10% 1.11% 0% Commission proposal for EU 27 average Germany The Netherlands Denmark Sweden EU budget 2021-2027 Total government spending (% GNI for 2014-2020) 70 Questions?