The European Union 's Roots Come From The Aftermath Of World War II Essay

The European Union 's Roots Come From The Aftermath Of World War II Essay

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The European Union’s roots come from the aftermath of World War II, when the European Coal and Steel Community formed to help rebuild Europe and prevent a third world war, and in time the European Union was founded. The EU was formed to help the region rebuild itself without the need of the countless trade barriers that surrounded the multiple nations that made trade extremely expensive. Eventually as the European Union was formed these trade barriers began to fall and the price for trading dropped for more fluent trade, between those within the Union. Though it was not the first challenge the European Union has faced, the recent debt crisis that the European Union is facing, is threatening not just the continent economically but the entire world economy. In 1999 the European Union created the currency they use today, the Euro. With the Euro the countries that accepted the new currency also ended their own, after which the countries individual monetary policies also vanished in what is now known as the Euro Zone. Created by the European Central Bank, a new monetary policy became the standard for the Euro Zone. However, many of the countries had different fiscal policies than the monetary one. Monetary Policy, controls how much money is in a nations economy, and how much the interest rates are. While the Fiscal Policy is how much a government collects from the taxes they are owed, and how much of the taxes the government will spend. Because of the conflict with the EU’s monetary policy, and the fiscal policies of various nations in southern Europe, the southern nations of Greece, Spain, and Portugal built up huge debts from loaning too much money into their economies. Even nations like Ireland are facing the same problem. Now the l...

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...ay to achieve their countries greater goal. In World War II the United States implicated society to spend less on products that could be used to build weapons, and buy items that supported the war effort like liberty bonds. If the European Union is unified beyond the ideas of politics and economical gain through a common enemy, then they can solve the debt crisis through the economic productions of war. The first part for this solution is starting the actual conflict; the European Union itself is already at odds with Russia for example. Over the past two years when Russia seized the Crimean Peninsula, when Ukraine was in the process of a potential vote about joining the EU. Even though the Soviet Union fell more than a decade ago tensions with the motherland are still high, and overall the results of a war with Russia or another international power would be drastic.

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