USA and Europe Relationship - Essay Example

?USA and Europe Relationship The relationship between the U.S. and Europe has been a concept worth researching on especially after the end of the cold war. Apart from competition that has been a dividing factor between the two forces, factors such as partnership, economic collaboration and other common challenges have instead fostered their relationship, rather than pitting on opposite sides. Thus in understanding the relationship that exists between the U.S. and Europe, it is important to elaborate their historical backgrounds. The United States of America is also referred to as the U.S, the USA, the United States, the States or America. Comprising fifty states and a lone federal district, the USA derives her autonomy from the federal constitutional. In its central North American position, the more northern regions border upon sterility and desolation; while the southern, amid the splendour derived from luxuriant fertility and mineral treasures, labour under a climate unfriendly to the feelings and health of Europeans. It boundary to the east is the Atlantic coast, extending almost due south-south-west to the remotest point in Florida. The Gulf of Mexico, furthest to the river Sabine bordering with Texas, covers the south. On the north it is divided from the British America on the side of New Brunswick and Connecticut. This northern continent is bordered by Canada to the east, Russia to the west and is host to state of Alaska to the Northwest (Dobson & Marsh, 2006). Europe is one of the world’s seven continents by convention. Europe comprises of the Peninsula of Eurasia to the west, the watershed divides Europe generally from the Asia to its east it divides the Ural and Caucasus mountains, the Caspian and black Seas, the Ural river and the waterways connecting the Black and Aegean seas. To the north Europe is bordered by Arctic Ocean and other water bodies; the Atlantic Ocean to the west; Mediterranean Sea to the south; and the Black Sea to the southeast, in addition to connected waterways. Up till now the borders of Europe is a notion dating back to traditional ancient times as the initial physiographic term Continent and can incorporate cultural and political elements (Cameron 2007). Since the Second World War to date, several factors have governed the US and European relationship. The factors include but are not limited to; long standing partnership, unique bilateral economic relationship, the Dollar and Euro power, energy security, Hydrogen and fuel cell technology, developing fusion energy, higher education and training, united by values, promote development, consumer protection, and common challenges. In the past 500 years, the prosperity and variety of the American society is indebted greatly to consecutive immigration waves of people and services rendered from nearly every European country. This explains the common values and maintains close political, economic, social and cultural ties shared between Europeans and Americans, which has fostered a long standing partnership. Evidently, with close transatlantic relations, the USA has been a stalwart devotee of assimilation between the nations of Europe, which is at present embodied in European Union (Kaplan 1984). Through the long standing partnership the USA and Europe has generated a number of framework for transatlantic relation such as European security and defence policy (ESDP) and European common foreign and security policy (CFSP). The new transatlantic agenda (NTA), presented a joint action in four main areas that is; encouraged peace and steadiness; democratic system and progress around the world; action in response to universal challenges; causative to the development of closer economic relations and world trade and construction of bridges across the Atlantic (Serfaty 1992). Under the transatlantic economic partnership (TEP), the European Community and the USA eliminated the procedural barriers to trade by mutual recognition of conformity assessment, and to work together on customs procedures thus benefit for USA and Europe. According to Gudmundsson (2005), the EU and the US have a sturdy economic integration whereby they are each other’s chief trading partner and account for the biggest bilateral trade relationship globally. The unique bilateral economic relationship accounts for up to 40% of trade in the world. According to European Union Delegation of the European Commission to the United States about 1.7 billion EUR is traded in form of goods and services daily. This has defined the shape of the economy globally as EU and USA are the largest traders and investors to other countries hence having the unique bilateral economic relationship (Smith 2003). Despite the unique bilateral economic relationship USA and Europe are not only business partners but also competitors in trade; hence trade disputes have occurred on different fronts. For instance, the trade disputes include trade concerns such as the GMO and hormones disputes. Even though the impact on the economy of these disputes of the overall bilateral trade is less than 2%, the disputes are addressed by both parties (Marsh & Mackenstein 2005). According to Smith and Allen (2006), the U.S and other world economies including Europe are linked in many ways; but fundamentally by the Dollar and Euro power. The U.S dollar being the major currency used in transactions internationally, it also constitutes more than a country’s official foreign exchange reserves. Therefore, the dollar currency has a main influence on the production, prices of goods and services beyond borders, employment and even developments in other countries Europe included. The Economic developments in the United States, including U.S. monetary policy actions, have significant effects on growth and inflation in foreign economies and Europe in particular. This is because it uses Euro hence the constant need for dialogue to maintain the exchange rates of the currency. Gudmundsson (2005) stated that the Euro currency has a limited advantage as the currency is not used beyond its borders like the U.S. dollar. However this might decline due to the development of the Eurozone and after being joined by the UK which is among the largest financial marketers. Although the unique bilateral economic relationship between the U.S. and Europe has been fostered by the dollar and Euro currencies, energy security poses a greater threat considering the increasing importation of oil products. Primarily, high prices and volatility of oil and gas globally is due to rapid high demand for the commodities, which puts extreme pressure on the supply. The oil and gas dependency is of a great concern for both USA and Europe. As a result, Europe will be forced to import up to 70% of energy by 2030 if the current trend continues, compared to 50% currently imported. The USA on the other hand will make a net import of petroleum to 62% by 2030 (Smith 2003). The energy security challenge can only be solved effectively and efficiently at a global level. To meet the future energy demand, substantial investment is needed all through the global energy system. Up to USD 16 trillion is required globally to meet the energy demand for fuel, electricity and energy efficiency (Serfaty 1992). In addition to the global effort to solve energy security, gestures such as Hydrogen and fuel cell technology have been adopted in anticipation to the future energy demand. Both the EU and U.S. are dedicated to make possible and increase the expansion speed and use of cost-competitive, world class European hydrogen and fuel cell-based energy systems. Some component technologies have been engineered for applications in transport, stationary and portable power. Due to the ever increasing volumes of trade for goods and services across the USA and Europe especially in food, consumer goods, tourism and travel, consumer protection has been a problem that has been felt across borders. Consequently, European Commissions cooperate with their USA counterparts including the US Federal Trade commission, the US Food and Drug Administration and the US Consumer Product Safety Commission. In order to solve matters of common value for example nutrition, food safety, consumer product (goods and services), safety and enforcement of the consumer protection laws is mandatory through cooperation by the international bodies (Scott 1998). Furthermore, higher education and training programmes are vital for Europe and the USA because investing in such programmes enhances economic relationship. Industrial and school trainings are taken seriously as they are reflective of the level of competence in the working environment. For the young people, it is instrumental in strengthening links in the international market. For instance at the 2005 summit in, leaders identified education cooperation as one of the tools to increase synergies among the countries, among others tools (Peterson & Smith 2008). Considering the long standing relationship and economic cooperation between the U.S. and Europe, additional actions to curb energy security have united the two forces on the basis of values. Europe and the USA are both governed by the same common united values. For instance, they both hold that democracy is always the best form of government and openly support free speech, religion and notion. The rule of law is supported through democratic processes and independent judiciaries’ implementation. They promote and respect human rights not only in their member states but worldwide. They support rights for different and each ethnic groups and minorities in the societies. Through the facilitation of government sectors and private sectors, they develop and support the free market economy (Kaplan 1984). Therefore, the cooperation between U.S. and Europe has in the long run promoted development. The European Commission, its Member States and the USA attend to global development disputes by supporting social and economic progression, promoting regional integration, and tackling humanitarian needs. As a result, they make trade possible; encourage social equality and transparency in governments and private sector. They both work towards the achievement of the Millennium development goals (Vembulu 2003). Being member states of the UN, the USA and Europe are bound to the Millennium development goals (MDGs) enacted by member states. Hence they were both governed by the MDGs at the 2000 United Nations millennium summit. The MDGs represent a shared commitment made by the world community in 2000 to address the basic needs of its most vulnerable citizens (Smith & Allen 2006). The 8 Millennium Development Goals include: a. Eradication of extreme poverty and hunger - With the target goals aimed at reducing the global population living on less than one dollar a day by 2015 using 1995 as the base year. With specific reference on the half the world’s population living under extreme poverty b. Attainment of universal primary education - Target goal: make certain that, by 2015, children universally, both boys and girls comparable, will be in a position to complete a full course of primary school. c. Promotion of gender equality and women empowerment - Target goal: eliminate gender disparities in primary and secondary education and all other level of education by 2005, all levels by 2015, and not later than that. d. Reduce child mortality - Target goal: decrease global child mortality rate by two thirds especially for less than 5 years of age children. e. Improve maternal health - Target goal: reduce maternal mortality ratio by three quarters between 1990 and 2015. f. Combat HIV/AIDS, malaria, tuberculosis and other diseases - Target goals: stop the progress of and reverse the spread of HIV/AIDS, malaria, TB and other diseases. Both the USA and Europe have helped African countries mostly among the affected and infected with HIV/AIDs and also in the fight to combat Malaria. g. Ensure environmental sustainability - Target goals: put together the ideology of sustainable development into country policies and programmes and turn round the loss of ecological resources. To reduce by half, by 2015, the percentage of people with no sustainable access to safe drinking water and essential sanitation, by 2020, to have achieved a significant improvement in the lives of at least 100 million slum dwellers particularly in Africa and Asian countries. h. Develop a global partnership for development - Target goals: develop further an open, rule-based, predictable, non-discriminatory trading and financial system. Including a commitment to good governance, development and poverty reduction both at national and international levels. Similarly, address the special needs of the least developed countries, including tariff and quota-free access for least developed countries’ exports; enhanced programme of debt relief for heavily indebted poor countries (HIPC) and cancellation of official bilateral debt; and more generous ODA for countries committed to poverty reduction (Sissenich 2008). Address the special needs of landlocked developing countries and Small Island developing States; while comprehensively tackling the debt problems of developing countries through national and international measures in order to make debt sustainable in the long term. In cooperation with developing countries, develop and implement strategies for decent and productive work for youth; provide access to affordable essential drugs in cooperation with pharmaceutical companies; and make available the benefits of new technologies, especially information and communications, with the support and cooperation with the private sector, Common challenges According to Smith and Elgstrom (2006) terrorist assaults in Madrid, New York City, or London have confirmed unkindly that USA and Europe are countenance common challenges in a universal context. They have both done a lot to fight the terrorist attacks both in their respective countries/states and internationally. Combative measures include fight on the terrorist financing groups; high security for import and export containers to border controls; reforms and cooperation in judiciary and police; and even the transfer of air passenger data. There was need for joint response by Europe and America on the growing number of external challenges. For instance, international terrorism and threat of proliferation of weapons of mass destruction to the delicate peace progression in the Middle East, and need to uphold economic development and employment (Smith & Elgstrom 2006). In addition to the common challenges affecting European and the US, other global challenges include environmental degradation, reduction of greenhouse gases, emergency assistance during natural disasters, limited energy resources, and risk of pandemics. Conclusion In a nutshell therefore, the U.S. and Europe who had initially been considered as competing global forces are more of partners than rivals. This has been the case due to the unique bilateral economic relationship, long standing partnership, and power of the dollar and the Euro. However, such forces as efforts to curb energy security, developing fuel cell and fusion technology, consumer protection and other common challenges, have ensured their cooperation rather than their competition. Reference list Cameron, F 2007, An Introduction to European Foreign Policy, London: Routledge. Dobson, AP & Marsh, S 2006, US Foreign Policy Since 1945, Routledge, Oxon. Gudmundsson, M 2005, The Role of the Effective Exchange Rate in Monetary Frameworks: The International Experience. Mimeo. Gudmundsson, M 2005, The Role of the Effective Exchange Rate in Monetary Frameworks: The International Experience, Mimeo. Kaplan, SL, 1984, Understanding popular culture: Europe from the Middle Ages to the nineteenth century, Walter de Gruyter, Berlin. 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Vembulu, RP 2003, Understanding European integration: History, culture, and politics of identity, Aakar Books, Delhi. Read More