Europe 2020 Strategy And Its Impact On Global Financial Crisis

Addressing some issues, the European Union decided to issue 750 million Euros in order to start the process of financial stability for the whole union (Mckee 524). Over time, the union learned that that the amount of money was not enough in order to help each countries’ individual financial crisis. As of now, the union has to increase the amount of money they are feeding to countries in hopes of fixing the economic issues. The continuing issue with the European Union’s economic plans is finding the money to keep funding countries with low economic growth. Furthermore, the union also has to figure out how to deal with the issues that are outside of the European Union’s borders. In

Part of the exceptional nature of the EU stems from the notion that nothing like it has ever been attempted successfully before. The European Union is an international institution with a single market and shared currency. It strives to maintain singular goals and make its way towards being an “ever closer union”. Today, the European Union has expanded to include twenty-eight member countries with an influence that reaches every continent. This institution has had an impressive history, but it has reached a point of concern. The golden years which held high hopes of a united supranational Union are long over. The EU faces destructive problems today, which could ultimately end their impressive era of cooperation. The Union has come

As the EU includes 27 states therefore they would inevitably face difficulties due to the diverse range of national interests. On the other hand increasing numbers of policies are decided on a supranational level and therefore speed the process, for example decisions relating to trade or agriculture. However vital policies such as Defence remain intergovernmental, as do decisions such as the accession of new states. The effect of recent economic crisis has made an impact on the creation of EU superstate. The global downturn, which originated in 2007 created the ‘Eurozone’ crisis. As a result EU bailouts have been organized for Greece, Ireland and Portugal. The fear of the crisis extending further across Europe has caused a loss of confidence in the EU, and in particular the euro. There has even been speculation that Greece may have to exit the ‘Eurozone’. Alternatively it has also caused some to call for further integration, arguing the crisis has shown the need for tighter budget rules throughout the EU.

The Global Financial Crisis revealed many flaws in the institutional framework of the Eurozone, as well as the flaws in the policies implemented in the aftermath of the revelation of the crisis. One of the major flaws revealed in the institutional arrangement of the Eurozone project, is the clause in the Maastricht Treaty which limits the ceiling on the ratio of the annual government deficit to gross domestic product. As a result of the Global Financial Crisis, The Maastricht Treaty put into place structural impediments that prevented member states from implementing counter-cyclical policies. It is likely that the crisis left a deep and long-lasting effect on economic performance and overall social hardship. Job losses were contained for some

The global financial crisis of 2008-09 that spread contagiously across the globe has particularly hit the European economies hard, accentuating turmoil in the world financial markets and precipitating the European sovereign debt crisis almost instantaneously. This has consequently wiped away all of the EU’s accomplishments in economic growth and job creation (European Commission, 2010a:3). Statistics published subsequently exposed the magnitude of the crisis: real GDP contracted by 4%, unemployment soared at an unprecedented level, public finances deteriorated, and social cohesion in the EU has fragmented (Eurostat, 2010). The crisis has also exposed the fundamental weakness of the Union, especially in the face of new challenges from emerging market competition, an ageing population, and depletion of resources. Therefore, the Europe 2020 strategy adopted by the European Commission in 2010 introduces a new growth model for the EU to respond to the various challenges mentioned above, particularly the global financial crisis. (European Commission, 2010a:5).

“Critically evaluate the roles of the main EU institutions (Council, Commission and Parliament) in the management of the continuing economic/financial crisis”

A Steady Retreat from Democracy and a Growing Involvement in the European Union Heywood (2002) defines the ‘European idea’ as the belief that Europe ‘constitutes a single political community’ with shared objectives and difficulties despite its historical, linguistic and cultural differences. In the 20th century the European community essentially concerned itself with defence, peace keeping, and economic progress partly in response to the devastation caused by the Second World War. However, the European Union is increasingly focusing on more domestic issues such as civil rights within the EU, environmental issues and social policy. This expansion of the EU was symbolically displayed with the

The European Union fails in very important and fundamental ways at being an effective and enabling political system. Even though it managed to enable trade and movement of people across its internal borders, as well as, set up a monetary policy, it has not been able to establish itself as the

Explain the reasons for the 2007/08 deepened financial crisis in the European Union (EU) and critically assess its response to its crisis.

After the 2008 crisis caused by the collapse of the American investment bank, the Lehman Brothers, the Europe Union faced difficult decisions to both recover the economy in the short term and in improving the economy for the long. ‘With their immediate response to the Banks in Europe giving them €4.5 trillion, the European Union then had to respond to the debt crisis that occurred as they realised a debt fuel economy was not stable. They then came together to form an Economic union where by a fiscal treaty was created, the idea behind the treaty was to limit yearly deficits to 0.5% of a country’s GDP’[1], this is the idea of a Budgetary policy, aiming there deficit, equilibrium or surplus to reduce debt. The policy was to follow the principles, ‘it should be timely; this is to allow for quick support of economic activity during low demand, temporary; to avoid a permanent deterioration in budget positions, the spending when borrowing low should be mix with both revenue and expenditure ideas; there can be impacts on demand in the short term affecting consumption allowing for growth, it should be directed within the stability and growth pact; it provides a common framework and allows for better measures to be take of the cyclical conditions while strengthening long term fiscal discipline, and should be accompanied with structural reforms that support demand.’{2]

This year, 2015, the European Union and the People 's Republic of China celebrated their 40 years anniversary of diplomatic relations between one another. During these years, they have redefined their relationship, they have deepened their mutual understanding and today they share what both sides call a “strategic partnership”. However, during all these four decades, this profound relationship has experienced many difficulties and challenges, until the last two decades, which have marked a new era of political and economic strengthening of their ties. Especially since China 's accession in the WTO and the institutionalisation of its economic and trade cooperation with the EU, the two parts have witnessed a flourishing of their relations. The EU has taken into account the great rise of China as en economic power within the global system and seems to understand the economic benefits it can obtain from this new and vast market, that is gradually becoming more liberalised and globally active. On the other side, China now sees the EU from a different scope to what it used to until the 1990s, it praises the recent European aloofness from the policies of the US and it welcomes the economic interaction with the European market. However, there are still important issues, mainly of political nature, that challenge the “two giants '” current and future cooperation and could pose a threat to their further economic integration. This essay will analyse the importance of the European Union

“There is a dramatic need for a comprehensive strategy of Eurozone stability, institutional consolidation, and economic recovery and development that goes to the roots of the trouble, and places the necessary short-term stabilization measures within the long-term perspective of institutional development and economic growth” (Dallago, 213).

Since the inception of the European Union, it has been plagued with numerous problems and currently it is facing in of the biggest problems right after dealing with an economy in recession to a point where Greece had to be bailed out. There is unrest like none other among the European Union member countries to withdrawing from the union led by the United Kingdom. This is in the wake of eastern European being buried in civil war as is the case with Ukraine and the war threatening to spill over to Poland. Its unending war with Russia is leading to the unrest worsening. The United Kingdom as the main driver of the European Union policy driver has been meddling in the affairs of Russia and Ukraine leading to Russia threatening to cut off its oil supply to Europe as it is the main producers and supply of oil to Europe.

Stability, security, and prosperity are qualities every individual desires, yet achieving such conditions may be a struggle in certain parts of the world. In Europe where two world wars have erupted, multiple wars/battles have broken out between countries, and where the Black Plague swept through; causalities are high and resentment is established in some cultures. Yet the continent is beautiful everlasting landscape from the green rolling hills of Ireland to the snow-capped mountains of the Alps, every country has its beauty. A group of nations desired to keep European states safe and preserved, so they established the European Union (EU). Objectives of the European Union is to have respect for liberty, democracy, human rights,

In the third and final part of the book, the focus is on the policy-making side of the European Union and its main policies and relationships.