European Economic Community

The initial discussion following this introduction traces the major developments within the EEC since the Community was created by the Treaty of Rome in 1957, became a functioning reality in 1958, and the first internal trade barriers actually were removed in 1959. Following this discussion of the development of the EEC, (1) the essentials of the Single Act of Luxembourg are explained, together with the goals they are intended to attain, (2) an assessment is made of the EEC's contention that the Single Act will not result in a "fortress Europe," but will, instead, create a "partnership of Europe," and (3) specific sticky internal issues, such as textile and automobile protection, product standards, and so forth, affecting integration are examined.

The EEC was created with the signing of a treaty in Rome in 1957, by Belgium, France, the Federal Republic of Germany, Italy, Luxembourg, and the Netherlands (Paxton, 1988, p. 41). The European Atomic Energy Community (EURATOM) was created at the same time, by the same treaty, and with the same membership (p. 45). Each of these orga

. . .
of + 2.5 percent; the lira is permitted to fluxuate within a range of + 6.0 percent (p. 188). The countries participating in the ERM are obligated to act to preclude the movement of rates outside of the prescribed ranges. The rates are adjustable, in that the fixed bilateral rates may be changed, when economic conditions warrant such changes (David, 1985, p. 18). Adjustment of the rates, even if only between two of the participating countries, however, requires the unanimous consent of all of the countries participating in the ERM. Thus, adjustments to the fixed bilateral currency exchange rates within the EMS require (1) the presence of significant changes in the economic environment, and (2) a convergence of opinion among the countries participating in the ERM. A major accomplishment of the EMS action has been a containment of currency exchange rate changes. The effective rate change indices of ERM participants are much less volatile that were those of the currencies of major non ERM countries, such as the United States, the UK, and Japan, although the volatility of the yen was much less than that of either the dollar or of the British pound (Artis, 1987, p. 34). A major benefit "of EMS is to have reduced for i
. . .

Some common words found in the essay are:
Single Act, EURATOM ECSCfunctioned, EMS Scott, ACT LUXEMBOURG, ECU EMS, Padoa Schioppa, Act Luxembourg, France Germany, European Communities, UK Japan, single act, paxton 1988, european communities, economic integration, exchange rate, establishment common, european monetary, european monetary system, fortress europe, 1 january, 1988 41, paxton 1988 41, countries participating erm, single act luxembourg, european currency unit,
Approximate Word count = 2013
Approximate Pages = 8 (250 words per page)

More Essays on European Economic Community