Handout 1 1/28/03 Government 431 Important Milestones in the Development of the European Union There are five major treaties you should familiarize yourself with. The full text of these treaties is available through the European Union website, and direct links can be found on the course website. I. THE TREATY OF PARIS Signed April 1951 Established the European Coal and Steel Community (ECSC) Created the first European supranational organization given significant authority and charged with monitoring the production and free movement of coal and steel; powers included control over tariffs, subsidies, prices, and levies Governed by four institutions: o The High Authority (which had administrative power and represented the interests of the ECSC, not any individual member state) o The Special Council of Ministers (to balance the High Authority and to represent the interests of member states) o The Common Assembly (the first international assembly in Europe; intended to provide democratic input and hold the High Authority responsible, although it was never directed elected) o The Court of Justice (to settle conflicts between members and rule on the legality of High Authority decisions). Members: France, Germany, Italy, Belgium, Netherlands, Luxembourg II. THE TREATY OF ROME Signed March 1957 Established the European Economic Community (EEC) and the European Atomic Energy Community (EURATOM) Furthered the task of economic integration. Provisions included: o The creation of a common market within 12 years o Removal of restrictions on internal trade o Creation of a common external tariff barrier o Reduction (but not yet complete elimination) of barriers to the movement of people, services, and capital o Development of common auxiliary policies (agriculture, transport) o First attempts at addressing cooperation in social areas; established a European Investment Bank and European Social Fund. Members: Original six from the ECSC 1 Handout 1 1/28/03 III. Government 431 SINGLE EUROPEAN ACT Signed February 1986 Completed the creation of a single market, which had been partial after the Treaty of Rome. Further integration seen as necessary and desirable in order to attain maximum economic benefits and to improve economic efficiencies, which had been hampered by the continued existence of nontariff barriers (NTBs) Also intended to beef up the powers of the Community to manage, coordinate, and enforce economic cooperation policies.\ SEA provisions included: o Eliminated NTBs, such as quotas, subsidies, and other regulations that hampered free and full trade o Removed all remaining barriers to the free movement of goods, persons, services, and capital o Made economic and monetary union a goal of the EC (but without specific timetables and steps) o Introduced new (many non-economic) areas for cooperation and regulation, such as the environment and regional development o Restructured the institutions of the EC and their powers. Most importantly, it gave new powers to the European Parliament, which would have some check on the more powerful institutions like the Council and Commission; and introduced the norm of qualified majority voting (QMV) for most decisions – thereby eliminating the need for unanimity in policymaking. Members: Original six, plus Great Britain, Ireland, Denmark, Spain, Portugal, Greece IV. TREATY ON THE EUROPEAN UNION (TEU) – also known as THE MAASTRICHT TREATY Signed February 1992 Intended to extend real integration to social and political arenas Introduced after much informal cooperation and coordination on political and social issues existed; but went beyond merely codifying existing practice – looked to develop a real political union of Europe; in this sense, Maastricht was more visionary – and more contentious – than the three prior treaties Provisions included: o Three “pillars” of cooperation. Pillar One: Economic (this included all the existing areas of cooperation under the EC) Pillar Two: Foreign and security policy (e.g., common foreign policy, European defense forces, etc.) 2 Handout 1 1/28/03 Government 431 Pillar Three: Justice and Home Affairs (e.g., policing, immigration, etc.) Not all three pillars are equally far along; pillars 2 & 3 are still contentious and the pace, direction, degree of cooperation is largely determined by the member states, and not by the institutions of the European Union o A concrete timetable for the creation of a single currency and single monetary policy o Extension of cooperation to additional (mostly non-economic) issue areas such as consumer protection, social policy, education o Gave additional power to the European Parliament (the power of “co-decision”) to make it a greater democratic check on the other, non-elected institutions o Promulgation of social rights for EU citizens o Changed the name to the “European Union” (from the prior “European Community”) Members: the previous 12, although Denmark and Great Britain opted out of the single currency provisions. Interesting factoid: four smaller, nonEU members have also decided to switch to the Euro – Andorra, Monaco, San Marino, and Vatican City. Lichtenstein, which does not officially use the Euro, will often accept it as legal tender, but informally. V. TREATY OF AMSTERDAM Signed October 1997 Intended to make the necessary political and economic adjustments in preparation for the EU’s expansion eastward, as well as move integration further along in its trajectory Continued to expand focus on non-economic issues and the 2nd and 3rd pillars from Maastricht Adjusted the powers of different institutions, most notably the weighting given to individual member states in the Council of Ministers; prior voting rules, which were roughly based on country population, overrepresented smaller countries and gave larger countries (France, Germany, Britain) less (relative) weight. With the prospect of expansion to the east, and the entry of numerous, mid-sized and smaller countries, existing larger states feared their interests would be trumped by coalitions of small states. Amsterdam re-adjusted the voting weights to assuage these fears (the technical changes are, well, quite technical. If interested, you can check out the sometimes mind-numbing passages in the treaty itself – links to the text on the course website…) Members: the previous 12, plus Sweden, Finland, and Austria 3