1. ©The McGraw-Hill Companies, 2004 The changing terminology The term European Economic Community dates from the Treaty of Rome of 1958. Use of the term European Community dates from a European Parliament resolution of 1975. The Treaty of Maastricht (which came into operation from 1993) created the European Union.

2. ©The McGraw-Hill Companies, 2004 The First Pillar The European Community The Single Market The Common Agricultural Policy Economic and Monetary Union The Structural Funds The Common Commercial Policy Competition policy etc The European Union The Third Pillar Justice and Home Affairs, which became Police and Judicial Co- operation in Criminal Matters The Second Pillar The Common Foreign and Security Policy

3. ©The McGraw-Hill Companies, 2004 The changing membership The original 6 members of the EEC The three Benelux countries France Germany Italy The 1973 enlargement The UK Ireland Denmark

4. ©The McGraw-Hill Companies, 2004 The Mediterranean Enlargement Greece (1981) Spain (1986) Portugal (1986) The EFTA enlargement of 1995 Austria Sweden Finland The changing membership

5. ©The McGraw-Hill Companies, 2004 The May 2004 enlargement The Czech Republic Cyprus Estonia Hungary Latvia Lithuania Malta Poland Slovakia Slovenia

6. ©The McGraw-Hill Companies, 2004 The 2007 Enlargement Bulgaria and Romania The ongoing enlargement process: In October 2005 the EU decided to begin negotiations for membership with Croatia and Turkey. In december 2005 the Former Yugoslav Republic of Macedonia was declared a candidate country.

7. ©The McGraw-Hill Companies, 2004 The definition of integration Tinbergen (1954) made the distinction between negative integration (the removal of barriers) and positive integration or the introduction of common policies, and building of common institutions.

8. ©The McGraw-Hill Companies, 2004 The stages of integration 1. Free trade areas 2. Customs unions 3. Common markets 4. Economic and monetary union 5. Political union

9. ©The McGraw-Hill Companies, 2004 Approaches to integration 1. Pluralist approach 2. The functionalist approach 3. The neo-functionalist approach 4. The federalist approach

10. ©The McGraw-Hill Companies, 2004 The acquis communautaire The acquis communautaire is literally ‘what the Community has achieved’. It consists of the body (sometimes called ‘patrimony’) of EU legislation, practices, principles, and objectives accepted by the member states.

11. ©The McGraw-Hill Companies, 2004 The acquis communautaire The Treaties (the Treaties of Rome (1958), the Single European Act (1987), the Maastricht Treaty (1993), the Amsterdam Treaty (1999) and the Treaty of Nice (2003); Legislation enacted at the EU level and judgements of the European Court of Justice; Foreign and Security Policy; Justice and Home Affairs; and Treaties of the EU with third countries.

12. ©The McGraw-Hill Companies, 2004 Subsidiarity In practice difficulties may arise in determining whether a particular issue best decided at the EU, national, state, regional or local level. Subsidiarity is the principle that decisions should be taken at the lowest level possible that permits effective action. The idea of subsidiarity is linked to that of taking decisions ‘as closely as possible to the citizens’.

13. ©The McGraw-Hill Companies, 2004 The GATT/WTO The GATT (General Agreement on Trade and Tariffs) came into operation in 1948. In 1995 the WTO replaced the GATT, and differs from its predecessor in having full institutional status and legal personality, and reinforced powers to settle trade disputes. In 2007 150 countries were members of the WTO.

14. ©The McGraw-Hill Companies, 2004 Functions of the GATT/WTO setting out regulations governing the conduct of international trade; settlements of disputes; and providing the framework for multilateral negotiations to liberalise world trade. There are three main functions of the GATT/WTO :