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Development & failure of Supranational institution and their influence on Economic Integration of Europe since World War II - Essay Example

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After World War II, where human, rather than minority, rights have become the focus of attention for the entire economic world, the United Nations Charter have endorsed both human rights and the classic sovereignty principle of nonintervention. At such a critical juncture EU emerges as a new model for supranational governance…
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Development & failure of Supranational institution and their influence on Economic Integration of Europe since World War II
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Development & failure of Supranational institution and their influence on Economic Integration of Europe since World War II

Download file to see previous pages... The rulings of the court have direct effect and supremacy within national judicial systems, even though these doctrines were never explicitly endorsed in any treaty. Treaty of Rome served as a backbone to all other established treaties and theories. The European Act and the Maastricht Treaty have provided for majority, but not unanimous, voting in some issue areas. It is due to the liberalism of Neofunctionalism and Intergovernmentalism theories, which has resulted in the accomplishment of EU. In one sense, the European Union is a product of state sovereignty because it has been created through voluntary agreements among its member states. But, in another sense, it fundamentally contradicts conventional understandings of sovereignty because these same agreements have undermined the juridical autonomy of its individual members. (Stephen D. Krasner)
Sovereignty is the central organizing principle of the economic system either applied directly or indirectly, it is taken to mean the possession of absolute authority within a bounded territorial space. Until World War II (WWII), much of the international law was designed to reinforce sovereignty. However just after WWII much of the non-Western world had gained their independence in the decades by setting up a scenario in which many of the new states were not fully sovereign but later they gained recognition as sovereign states, by joining intergovernmental organizations (Eric Brahm). The European Union stands out as the most advanced example of a global economy followed by sovereignty, which is marked by unprecedented levels of economic interpenetration. The initial treaties relating the coal and steel sectors bounded a small group of six European nation states devastated by WWII, later expanded in the landmark Treaty of Rome was signed in 1957, to incorporate all sectors of the economy. Despite of all remarkable supra-national dimensions, European Union has not so much undermined member state sovereignty, as reinforced it by enabling a far greater degree of collective national control over the economy. (Jens Beckert) Today many organizations are state-based seeking to carve out additional authority for them and finding functional benefits in ceding authority to supranational organizations. (Eric Brahm)
Schuman Plan Treaty of Paris, 1951

The Schuman Plan, created a supranational agency to manage aspects of national coal and steel policy, such as levels of production and prices. It was agreed that the six countries that signed the Treaty of Paris that were Belgium, France, Italy, Luxembourg, the Netherlands and West Germany, would pool its coal and steel resources. (Schuman)
Member nations of ECSC pledged to pool their coal and steel resources by providing a unified market for their coal and steel products, lifting restrictions on imports and exports, and creating a unified labor market. Economically, the Coal and Steel Community achieved early success; between 1952 and 1960 iron and steel production rose by 75% in the ECSC nations, and industrial production rose 58%. When ...Download file to see next pagesRead More
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