Title Name: BREXIT AND THE EUROPEAN UNION
Date of Submission:
Brexit and the European Union
Globalization has reshaped the world in many ways, however its deeper roots within
the global economy is long lasting and overwhelming, and the concept of European Union is
also associated with it. European Union remains a politico-economic union encompassing 28
European nations with still developing aims to fortify Europe administratively, economically
as well as in different other relevant phases of life. EU functions through 13 major
establishments some of which European Parliament, OECD, Council of European Union,
plus European Commission, remain lawmaking organizations and play a pivotal role in EU
functioning (European Union, 2017).
For the purpose of establishing peace among neighbors, after long period of bloody
battles European Union was structured. Credit goes to those European Coal and Steel
Community who initiated to unite European countries economically. This action of united
commerce helped these bordering nations politically besides socially, which occasioned in
ample volume of foodstuff as well as wheat production. Therefore, currently beneath the
protection of European Amalgamation these states were enjoying long-lasting peace through
exit of brutal economic cycle.
Europe had suffered to great extents during the war laded first half of the 20th century
and it was past the right time for the leaders of European countries to control the damage and
prevent the occurrence of anymore wars, hence the European Union was founded to achieve
the aim of “a peaceful Europe”. While the cold war between east and west were stirred
unrest, six European countries (Italy, Germany, France, Belgium, Netherlands and
Luxembourg) took the first step by founding European Coal and Steel Company. In 1957, the
reconciliatory efforts directed to the establishment of EEC (European Economic
Community). The European Union that we know is a transformation of European Community
as a result of Maastricht Treaty signed in 1992 (Jones and Parker, 2016).
Examines have taken a gander at the general effect of leaving the EU, the suggestions
for employments and the consequences for the general population accounts. Worldwide
associations, for example, the IMF and the OECD, have added to the civil argument, looking
both at the effect on the UK, additionally at potential dangers for the worldwide economy,
while the Bank of England has focused on its obligation to talk up when it distinguishes
dangers, specifically, to budgetary steadiness.
While a few discoveries give clear confirmation of additions or misfortunes from
Brexit, what others uncover is interested in understanding and will be welcome by a few yet
lamented by others. The claim from George Osborne, the Chancellor of the Exchequer, that
house costs will fall, maybe by as much as 20 percent, could possibly be right, however it
will be uplifting news for those incapable as of now to venture on to the lodging step, yet
terrible for those officially well up that stepping stool. There will be numerous comparative
distributive impacts, regardless of whether in connection to wage, employments or different
impacts on prosperity.
In 1951 once European Coal plus Steel Community, established by Paris Treaty in
which France, Germany, Belgium, Luxembourg, the Netherlands and Italy were member and
they offered United Kingdom to be the part of this community but UK declines this
invitation. Then in 1957 (EEC) European Economic Community was formed. In 1961, The
UK showed its interest in EEC and submitted its first submission to connect the EEC beneath
Conformist Prime Minister Harold Macmillan. Charles de Gaulle was the president of France
that time and he declined British application. United Kingdom made another attempt to get
into the EEC and under the labor Prime Minister Wilson that was again rejected by de Gaulle.
After being denied EU membership twice, first in 1961 and then in 1967, UK
eventually gained membership of EU in 1973, which was confirmed in 1975 by 67% of the
British citizens. After winning the rebate from Brussels in 1984, from being the third poorest
country in EU, UK emerged as one of the biggest net contributors to EU budget which was as
high as £ 10.8 billion in 2015. In 1992, UK opted out of Maastricht Treaty the adoption of
which would have required adoption of a common currency in all EU member countries to
minimize the exchange rates and hence to boast economy. In 2002, 12 of the member
countries proposed “Euro” an agreement to use common currency “euro” in all EU countries.
UK put forth five economic tests in order to decide the fate of euro in the country. Given the
failure to pass through these tests, euro...