Grand Orange Lodge of Ireland
  Youth Section

The European Union

June 2007

As part of an ongoing series of articles looking at the various topics contained within Citizenship Learning for Life and Works, this month we want to look at some aspects of the European Union.

Twenty-five countries are currently members of the European Union (EU) which include, Austria, Belgium, Cyprus, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Poland, Portugal, Slovakia, Slovenia, Spain, Sweden, and the United Kingdom, Bulgaria and Romania.

Origins

After the end of the Second World War, governments throughout Europe were determined not to repeat the horrors of the War, in which 50 million people had died.

In 1951, France, Belgium, Italy, Luxembourg, the Netherlands, and West Germany signed an agreement setting up the European Coal and Steel Community through which the coal and steel production of all six countries came under the control of a single European authority.

The architects of this plan believed that placing coal and steel production outside the control of individual states would greatly reduce the likelihood of another war. Britain was invited to join the ECSC, but declined.

In the early years co-operation was mainly designed to make it easier for member states to trade with one another. Gradually, the scope of the union has widened, and covers many areas today, including employment, the environment, transport, travel, foreign policy - and for twelve of the member states a common currency - the euro.

The idea of European states forming a single market has always been central to the development of the European Union.

A single market means that goods, services, people, and money must be able to move freely between member states.

Over the last 30 years member states have agreed all kinds of measures to make this possible:

  • taxes and duties on products have been made broadly similar between member states,
  • technical and safety specifications of goods have been standardised, so that goods made in one state meet the standards required in another,
  • people are allowed to travel, live, study, and work more-or-less wherever they wish.


A Single Currency

The EU has also eased the movement of goods and people through the creation of a single currency, also sometimes called economic and monetary union (EMU).

The idea was first proposed in 1969, but the first significant steps were not taken until around 1990 when member states interested in moving towards a single currency began to prepare their economies for this process.

They were required to meet a number of conditions - usually described as convergence criteria - such as having low interest rates, keeping currency rates and prices stable and keeping government expenditure within certain limits.

The Euro

On 1st January 2002, after, a transition period of two years, twelve of the then fifteen EU member states moved to a single currency - the euro (€) .

Since 28th February 2002, euro banknotes and coins have been the sole legal tender within these twelve countries.

The seven euro notes, from €5 - €500 are the same throughout the single currency area. Each country produces its own coins, of smaller value, although these can be used anywhere within the euro area, regardless of national origin.

The UK and the Euro

The United Kingdom, Denmark, and Sweden decided not to proceed with the single currency. Denmark has held two national referendums on joining the euro, rejecting the idea on both occasions. In 2003, the people of Sweden voted against the euro.

The UK government has also undertaken to hold a referendum on the issue when the government believes that its own five convergence criteria have been met.

Next month we will continue to look at other aspects of the European Union, which will include health care, travel and work.

 

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