Copyright 2007 – Biz/ed The European Union 2
Copyright 2007 – Biz/ed The European Union
Copyright 2007 – Biz/ed Enlargement
Copyright 2007 – Biz/ed Enlargement Increase in the membership of the EU, May 2004, from 15 – 25 members More states wanting to join – Turkey, Ukraine, Croatia, Romania Impact –Greater opportunities –Greater diversity –Greater challenges?
Copyright 2007 – Biz/ed Enlargement Enlargement brings new countries with new problems Poverty, unemployment, regional economic problems, different cultures and different employment regimes present problems to EU policy makers Turkey is a country seeking entry to the EU in the next wave of enlargement. Enlargement brings with it greater opportunities but also new challenges in integrating cultures and economies into the EU. Title: Turkish boy sells bread on the street. Copyright: Getty Images, available from Education Image Gallery
Copyright 2007 – Biz/ed Constitution The enlargement of the EU has necessitated negotiating a new Constitution – not just for now but to cater for future expansion of the EU Decision making – how should it be made and by who? Voting rights of members? Majority voting? Vetoes? Subsidiarity – the principle that decision making should be made as far as possible at local level rather than the EU legislating for all But: Economic impact – EU already dominates legislation in a wide variety of areas
Copyright 2007 – Biz/ed The Role of the EU
Copyright 2007 – Biz/ed The Role of the EU What should the role of the EU be? –Enabling economies and the free market to operate more efficiently? –Legislating to correct market failure? –Acting as a benevolent dictator for the common European good? Two key areas of EU policy with regard to the Social Agenda:
Copyright 2007 – Biz/ed Poverty
Copyright 2007 – Biz/ed Poverty in the EU Impact of a Europe-wide ageing population – pensions, health care Discrimination – against ethnic minorities, women, the elderly, disabled Establishing the extent of welfare provision – incentives v protection (safety net) Establishing a minimum income scheme – the lessons of the CAP? The Common Agricultural Policy (CAP) was successful in raising agricultural output across Europe but at a huge cost to EU taxpayers. Could intervention by the EU in relation to minimum income schemes have the same results; is such intervention desirable and do the ends justify the means? Title: Combine harvester. Copyright: Getty Images, available from Education Image Gallery.
Copyright 2007 – Biz/ed Unemployment
Copyright 2007 – Biz/ed Unemployment in the EU Several members with unemployment problems Fiscal, supply side and monetary policies can be used by the EU to combat such problems What are the consequences?
Copyright 2007 – Biz/ed Unemployment in the EU Policies that affect the labour market could help protect some but cause problems to others Will such intervention lead to a less flexible labour market? Will this limit the freedoms provided by the single market to encourage free movement of labour across the Union? Will it lead to government failure on a Europe-wide scale?