EURR 2002 Lecture : EURR 2002 - Lecture 2

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carletonstudent378

5 Apr 2023

School

Carleton University

Department

European, Russian and Eurasian Studies

Course

EURR 2002

Professor

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Document Summary

Week 2: the eu as a global and regional actor. Should europe become like a federal state (like canada?) Or should nations retain all sovereignty and decide together unanimously. Reflects differing degrees of closeness to the us on the part of eu countries (see k and d) Civilian power and military power (see k & d) External vs. internal objectives of policy (see k & d) Deepening expanding the range of authority of european institutions. Widening increasing the geographic scope of the eu by adding more members. Some countries, like the uk, may have seen widening as a hedge against deepening. Original members: germany, france, italy, belgium, luxembourg, netherlands (6 total) 2004: 8 post communist countries (czech republic, hungary, poland, slovakia, slovenia, Estonia, latvia, lithuania), plus cyprus and malta join (25) 2007: 2 more post-communist countries (bulgaria, romania) (27) Eu institutions reflect a combination of a supranational principle (community matters) and an intergovernmental principle + subsidiarity.

Related Questions

Is the expanding European project a challenge for the United States and, if so, in what way? Is the expanding Chinese economy a challenge for the United States and, if so, in what way? How might the European challenge differ from China's challenge? What lessons may be learned from the European Integration project? What lessons may be learned from the Chinese economic expansion?

plumeagle671

How does the current political/economic situation in the world impacts regional integration? Consider any of the factors, such as financial crisis worldwide and specifically in some European countries (Greece, Spain, Portugal, Ireland), wars in Iraq and Syria, rising superpowers of BRIC countries (Brazil, Russia, India, and China), increased conflict over such resources as oil, enlarged European Union, Brexit, weakening dollar, or any other.

sangriagnat961

Debt Crisis
With the creation of the European Monetary System and the birth of the euro in 1999, the U.S dollar is facing challenges to its position as the key reserve currency in international financial transactions. However, for the euro to keep its international position as a reserve currency, the European Union must function as a cohesive political entity that can exert its influence on the world stage. There are numerous challenges facing euro-zone countries now, with debt crisis in several countries.
The euro, common currency among seventeen euro-zone countries is facing numerous challenges. Germany's finance minister said âhis country is prepared to pursue bold action to preserve Europe's common currency, including deeper economic integration with its neighbors, and issued a warning to markets not to underestimate Berlin's resolve to protect the euro (Wall Street Journal, Dec. 11, 2010). Germany could accept steps toward fiscal union if current attempts to improve the euro zone's governance proved insufficient to end the year-old debt crisis. All European countries are determined to keep this European currency stable, so Europe will find steps toward further unification.
Many Germans, including leading members of the government, oppose further economic integration within the 17-nation euro zone over fears that Germany would be forced to pay the debt of others. Proponents of such steps warn that not only the euro but the EU itself could fall apart if governments fail to act. So far, Germany, the euro zone's economic motor, has vociferously opposed such proposals, sparking accusations from some of its neighbors that Berlin isn't acting in Europe's best interest. This is addressing fears that the debt crisis could spread from small countries such as Greece, Ireland, and Portugal to major economies such as Spain and Italy. It is argued that there will be no domino effect, as long as big economies like Germany defend the common currency.
Europe should concentrate on explaining to markets the decisions it has made so far, including the move to set up a European Stability Mechanism in 2013 that could impose losses on bond investors if euro members run up excessive debts.
Under the present structure, with unified monetary policy but not fiscal policy, different interest rates [on government bonds] are the mechanism that makes member states adhere to solid public finances. There is a need to improve the existing structure, and if this structure doesn't work, then they must indeed talk about alternatives.

1. Will increasing the size of the bailout fund (from which troubled countries can draw in times of crisis) help to prevent future crises? Why or why not? What is the downside of increasing this fund?

raspberrychimpanzee722

EURR 2002 Lecture : EURR 2002 - Lecture 2

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