What are the economic and political arguments for regional economic integration? Intro — Overview of main economic integrated groups (the acronyms) and the five levels according to Hill. Using Brexit as an example. 1) free trade area (reduce tarriffs and import quotas) Example. NAFTA. Allows specialization. 2) customs union (same import duties) Allows not necessarily free trade 3) common market (european economic area) You can work elsewhere, not just 4) economic union (common market with customs union) 5) political union (state composed or created from smaller states) Political A good case study surrounding regional economic integration can be found in the trucking industries of the US and Mexico during the establishment of the North …show more content…
This is an excellent example of a political argument against economic integration and an economic argument for regional economic integration. According to Hill, regional economic integration refers to "agreements among countries in a geographic region to reduce, and ultimately remove, tariff and nontariff barriers to the free flow of goods, services, and factors of production between each other." The prevailing economic argument for regional economic integration is that it creates economic synergy by allowing each country to focus only on what it is most efficient at producing. Much of the political case for regional economic integration stems from national security. Another case study provided by Hill is the European Union. The nation states of Western Europe bonded together in an effort to deal with the political giants of the USSR to the east and the USA to the west. Further, regional economic integration can facilitate political harmony between nations due to their increased level of …show more content…
The United Kingdom was a member of the European Union. The European Union is an example of the second most integrated arrangement, the economic union. Therefore, voting to leave is a direct effort to reverse regional economic integration. The main arguments to leave are to control immigration, reject the excessive bureaucracy (and associated cost) of Brussels and to lower prices for goods and services in the United Kingdom. I will focus on the economic argument to leave: leaving the European Union will save money by lowering prices and abstaining from "membership fees." According to the British think tank Z/Yen, London is the top-ranked center for global finance. According to another think tank, the Centre for Cities, London generates as much tax revenue as the next 37 largest cities in the United Kingdom. The tax alone on financial services in London is immense. The European Union combined has the highest GDP in the world (above that of the United States) (GDP SOURCE). One of the principal reasons for which London is the leading international finance center is its access to the European Union, the world 's largest economy. Obviously, the United Kingdom being a member of the European Union is enormously helpful to ease the operations of the incredible amount of financial services that happens between London and the European
In conclusion, the benefits of the UK’s membership in the EU outweigh the costs. The most significant benefit is the access they have to the single market as this has managed to benefit quite Access to single market is aiding this inward investment
In today's globalized economies, virtually every country in the world belongs to some form of regional integrated trade organization whether by direct membership, bilateral or multilateral agreement. Regional integration is a process by which sovereign states in a particular region enter into an agreement to promote economic growth through the reduction of barriers to trade restrictions and safeguard common interests such as the environment. The removal of trade barriers results in a free trade zone thus creating a single market. Sovereign nations have many differences, some may be more economically sound and others may have a greater labor force or better technology. In the end, all regional nations must find a method to work together for the common good of all parties. The development of the North American Free Trade Agreement (NAFTA) was to solidify the nations occupying the North American continent, Canada, the United States (U.S.) and Mexico. Many proponents question the success of NAFTA for these nations. This essay will examine the advantages and disadvantages of regional integration and the regional economic development of these nations as members of NAFTA.
The United Kingdom, in the next year the people will get a chance to choose their countries’ fate in whether the United Kingdom should leave the European Union. What makes this important is that it would be the first country to leave the European Union in a time when other European countries are either in negotiation or planning to join so it would be a big deal as the United Kingdom is Europe’s third largest economy. As the people are about to vote on their future, there are concern as what would be the economical, social, and political consequences while for some what would be the benefit if the United Kingdom leave. Today In the next paragraphs I would explore the United Kingdom in the European Union and the Political economical and social
The European Union cooperation all started with economic integration. Since the beginning of the ECSC in 1952 until now one of the major forces but also one of the major weaknesses of the EU has been their will for a common market and a monetary union. The single market was achieved in 1992 with the entrance into function of the Maastricht treaty. This treaty greatly influenced how states would have to deal with external border control and the free movement of the people because what the Maastricht treaty did was not only opening a single market, but also allowing people, goods and services to move freely across European Union member states. Economic integration has explained by Nevin has usually 5 level which goes from he lowest o he highest level of cooperation. The first level of integration is the preferential tariff which only allows st...
... E., (2005) Should Britain leave the EU?: an economic analysis of a troubled relationship. 1st ed. Cheltenham: Edward Elgar Publishing Limited
Over the course of sixty years, the European Union (EU) has evolved to become one of the most economically and politically integrated regions in the world. Compare and contrast the EU with one other major global trading bloc, such as NAFTA or ASEAN, with which you are familiar.
These “Inner Six” nations thus laid the framework for further integration of other nations within the region and its supranational principles were what led to the creation of the European Economic Community in 1957, further assimilating the European countries’ economies. The creations of these communities for economic purposes were meant to promote cooperation amongst European nations to prevent the further outbreak of violence which had subsided with the end of WWII. Through these general agreements of economic importance came further integration through the creation of more agreements throughout the 1960s, such as the abolishment of customs duties amongst their borders, creating free trade and border trade tax pacts among the Inner Six and across their borders to other signatory nations.
Springford, John, Tilford, Simon. The Great British Trade-off The Impact of Leaving the EU on the UK’s Trade and Investment. Centre for European Reform. Web. 10 May 2014. .
International relations can be viewed under realism or liberalism. Since Brexit relates to international relations among European countries, it can be analyzed using either realism or liberalism. To clarify, Brexit is a short name for “British exit,” which was a reference to the public vote of Britain’s citizens to exit the European Union. In short, European Union is an international organization forming an environment for the European member states solve internal or external political or environmental issues, increase job availability, and create other economic opportunities.
1. The European integration roots back to the suggestion of the image of power and nations’ superiority with cooperation with what is foreign to one’s own nation. This suggests the concept of nation-states as an idea that groups together the differences of international regions; the concept of nation-states also pedigrees from the idea of a foreign policy. This suggested a strategic an ideal interplay of interests that suggest the benefits in knowing and cooperation with other nations.
Regional integration is the process by which two or more states agree to cooperate closely together to achieve peace, stability and wealth. Usually, integration involves one or more written agreements that describe the area of cooperation in detail, as well as some coordinating bodies representing the countries involved.
The “establishment of the European Union in November 1993 reoriented the European movement .” The union incorporates a good portion of Western Europe and fundamentally acts as an enforcer of all the agreements the included nations make with each other in terms of trade and the “economic, political, and social stabilization of the entire continent .” As we seem to get closer to Europe’s achieving integration, the actual possibility of it ever really occurring has been in constant question among scholars. Liberals believe that cooperation on the level of integration is very possible and likely, as each nation essentially desires to maximize its own individual gains, and each nation gains more by cooperating more and banding together as one “state”. However, as constructivists remind us, we cannot neglect the element of identity in this equation. Thereafter, we must recognize that lately it is more popular for nations to fight for their own established identity rather than to create a new one for the good of maintaining peace in their new state as we have seen in so many Eastern European countries. Therefore, as realists would agree, integration is in reality impossible
Regional economic integration enhances political cooperation. Several group of nation can have significantly greater political influence than each nation would have by individually. This integration is an essential strategy to address the effects or issues of conflicts and political instability that may affect the region. Improved political cooperation due to regional economic integration is also useful tool to handle the social and economic challenges associated with globalization. Countries which are link together will be more dependent on each other that will reduce the likelihood of violent conflict between each nation. This integration will also give countries greater political clout when dealing