Background Guide

European Union



1
BruinMUN 2014 European Union
!"#$%&'( *(+$(

Beai Belegates of 2u14,
Welcome to BiuinN0N! Ny name is Biistiana Petkova, the Chaii foi the Euiopean 0nion
Committee, anu I'm supei exciteu to be woiking with all of you! }ust as a mini intiouuction, I was
boin in Sofia, Bulgaiia (one of the newei Euiopean 0nion states), anu I moveu to Ameiica when I
was aiounu ten. Cuiiently, I am a senioi at 0CLA, anu a Political ScienceRussian Stuuies uouble
majoi. I've been in Nouel 0N foi thiee yeais now, anu it has been a genuinely iewaiuing
expeiience, consiueiing my aiea of inteiest. Nowheie else am I able to uebate so feivently about the
state of Nonaco's cuiiency. As this is my last BiuinN0N, I'll make suie to woik especially haiu to
make this committee a iewaiuing expeiience foi all of you, anu hopefully, ielatively fun as well.
Anyway, in teims of the committee: cuiiently, the Euiopean 0nion is unueigoing a tiansitoiy
peiiou, with shifting iueology anu policies. Euiope is still stiuggling with the economic uifficulties,
moie so than many othei uevelopeu nations, anu it faces backlash about many of the piinciples it
was founueu on. Eveiy nation within the 0nion has its own agenua, one that isn't always in the E0's
best inteiest. It is up to you as a committee to iuentify what issues aie most auveisely affecting
Euiope, anu to uiscovei long-teim sustainable solutions. This backgiounu guiue will give you
infoimation on the most piessing conceins facing the Euiopean 0nion touay.
I look foiwaiu to meeting all of you in Novembei, welcome again! If you have any questions,
comments, oi conceins, please uon't hesitate to contact me, I'u love to heai fiom you.

Cheeis, Chaleuieusement, unu auf Wieueisehen,
Biistiana Petkova
Chaii, Euiopean 0nion
eubiuinmun.oig






2
BruinMUN 2014 European Union
,&-.#+%/+$(
The Euiopean 0nion is a politicaleconomic union, which cuiiently has 28 membeis. The oiigins of
the 0nion come fiom the Euiopean Coal anu Steel Community (ECSC), which was foimeu in 19S1
by six nationsWest ueimany, Fiance, Belgium, Italy, Luxembouig, anu the Netheilanus. The ECSC
was foimeu not long aftei the enu of Woilu Wai II. Among othei ieasons, the cieation of the
Community was laigely a step towaiu pieventing any futuie violent conflicts in Euiope. The
Euiopean community was hit haiu by the two Woilu Wais anu, natuially, any pieventative
measuies to ensuie stability anu coopeiation weie seen as integial. The ECSC eventually auueu
seven moie membeis (incluuing the 0K anu Austiia), anu giew fuithei still, eventually auopting the
name Euiopean 0nion in 199S.
Now, as a twenty-eight membei 0nion, the E0 has a vaiiety of functions anu policies. It aims to
achieve fiee movement of people, capitol, anu goous within Euiope, by committing to uiminisheu
boiueis anu a stanuaiuizeu law system which must be applieu to all states within the 0nion.
Iueally, this allows foi movement between eveiy membei-nation, anu equal oppoitunities foi
citizens to woik anu live anywheie within the E0 without iestiiction. Along with this, the E0 set out
to stanuaiuize Euiopean cuiiency, by cieating the Euio, which 18 of the 28 membei states
cuiiently use (notable exceptions to using this cuiiency incluue the 0K anu Benmaik, who opteu
not to auopt the Euio, anu aie the only states not obligeu to eventually use it).
In teims of goveinance, the E0 has seveial oveiieaching institutions, incluuing the Euiopean
Commission, the Council of the Euiopean 0nion, the Euiopean Council, the Couit of }ustice of the
Euiopean 0nion, the Euiopean Cential Bank, the Couit of Auuitois, anu the Euiopean Pailiament,
which essentially contiol E0 laws, money, anu policies. The E0 Pailiament is uemociatically electeu
eveiy five yeais (the most iecent election being eailiei this yeai) by E0 citizens. Bow the
institutions woik togethei is a laigely complicateu piocess (see chait below), anu foi the puiposes
of this committee, we will be focusing on the E0 Pailiament, anu seeking solutions anu action fiom
theie.
Though the E0 Pailiament cannot uiiectly oveiiule a soveieign nation's laws anu status, it uoes
contiol the systemizeu laws in place. Bowevei, it must iemain flexible, as new membeis foi the
0nion aie constantly being consiueieu, anu policies within eveiy inuiviuual nation often clash with
the E0's own uoctiine. Though its vision is noble (anu, inueeu, the E0 as an institution won a Nobel
Peace Piize in 2u12), it is often haiu to enfoice, as eviuenceu by the uifficulties new membei states
face upon enteiing the E0, which aie fuithei complicateu by the E0's continuing economic
uifficulties. Though the 2uu8 financial ciisis was haiiowing woiluwiue, it hit especially haiu in the
Euiopean 0nion, which is still ieeling anu stiuggling to fix its uamageu economy. As uelegates in
this committee, it is youi job to stave off any potential ciises stiiiing within the E0, anu maintain
the stability that it was founueu upon.
1


1
!effry A. lrleden, !"#$% '"$()(*+, -.)/#/+)+0 -.)/#1*)(".+0 -.+)()2)(".+, Second LdlLlon (new ?ork: W. W. norLon &
Company, 2012). Page 24u.



3
BruinMUN 2014 European Union
0'12& 34 !* 5$6&#('(.& 7!"#$%&' )*+*,&-*.8


0$%+. 34 09& :--"& $; :<<+=#'/+$(4 >"2='#+' '(? @$<'(+'
>'.A=#$"(?
As mentioneu, the E0 peiiouically ieviews potential membei states anu expanus the 0nion eveiy
few yeais. 0n }anuaiy 1, 2uu7, Bulgaiia anu Romania weie auueu as membeis of the Euiopean
0nion aftei a long evaluation piocess, anu uespite high levels of coiiuption anu ciime in both
countiies. Nembeiship was haileu as a huge success in both Bulgaiia anu Romania, anu was a sign
that the Euiopean 0nion was looking to meige all of Euiope, biiuging the East-West uiviue that has
plagueu Euiope thioughout histoiy. The two states also began the piocess of auapting the Euio as
theii main cuiiencya piocess that is still ongoing. As conuitions to join the 0nion, both states
weie contiactually obligeu to woik to ieuuce theii high levels of coiiuption anu any human iights
abuses (such as injustices against Roma people), as well as woik to impiove theii iule of law (an
institution that was paiticulaily pooi in Bulgaiia). 0veiall, the Romanian anu Bulgaiian
communities weie happy to oblige anu stiive towaius the goal the Euiopean 0nion set foi them.
Though by no means achieveu, both Romania anu Bulgaiia have maue significant impiovements in



4
BruinMUN 2014 European Union
the way theii institutions aie iun, in theii hanuling of human iights issues, anu theii steauy
elimination of coiiuption (though, ieally, it must be ieiteiateu, theie is a lot of woik left to uo).
2

Asiue fiom these conuitions, howevei, theie came iestiictions of anothei kinu that no othei E0
membeis have faceu when being inuoctiinateu into the 0nion. Woikeis fiom both nations weie
iestiicteu fiom moving fieely anu woiking in some of the othei membei states, uue to a clause in
the E0's 2uuS Tieaty of Ascension, which aimeu to give existing E0 membeis a tiansitoiy peiiou.
Essentially, it meant that, if a state wisheu, they coulu put iestiictions on Bulgaiian anu Romanian
woikeis foi up to seven yeais. Some states, such as Finlanu, alloweu Bulgaiians anu Romanians to
immigiate with little to no iestiictions, while otheis, like ueimany anu Fiance, maue the new
membei citizens jump thiough hoops, such as applying foi woik visas, in oiuei to allow them to
immigiate. Romanian anu Bulgaiian migis often faceu fiustiating catch-22 situations when it
came to applying foi woik visas anu iesiuent peimitsin Biitain, immigiants coulu not apply foi a
woik visa unless they hau alieauy obtaineu a job, but conveisely, coulu not apply foi jobs without a
woik visa. In the past this cieateu numeious instances of illegal immigiation into Westein Euiope.
S

As of }anuaiy 2u14, no membeis of the Euiopean 0nion aie able to cieate obstacles foi Romanian
anu Bulgaiian immigiation, anu all iestiictions have fallen.
Auuitionally, pioblems causeu by immigiation weie not iestiicteu to those nations ieceiving a laige
influx of immigiants. Romania anu Bulgaiia also must contenu with the consequences of losing a
laige amount of theii able woik foice. While citizens in Westein Euiope piimaiily woiiy about the
influx of low-skill woikeis fiom Eastein Euiope, Bulgaiia anu Romania aie piimaiily conceineu
with the emigiation of theii highly tiaineu anu intelligent woik foice, who often finu moie
financially iewaiuing woik in nations like ueimany. This phenomenon, known as "biain uiain", can
have seiiously auveise effects, especially if states like Bulgaiia anu Romania aie attempting to
impiove conuitions within theii boiueis.
4

>2$. B$-+/+$(-
With the fall of the iestiictions eailiei this yeai, eveiy membei-state of the E0 has questions to ask
anu iesponu to. In the Bulgaiian anu Romanian communities, a peisisting question is whethei it
was faii to place iestiictions in the fiist place, while states like Fiance anu the 0K actively uieau the
new oiuei anu legislation iegaiuing Bulgaiians anu Romanians. It is useful to uistill anu list exactly
what issues the uiffeient siues of the uebate iuentify.

2
Nelanie B. Ram, Sub-iegional Coopeiation anu Euiopean Integiation: Romania's Belicate Balance
S
1he 1ruLh AbouL lmmlgraLlon ln Lhe uk 2014" (London, unlLed klngdom: 88C, !anuary 9, 2014),
hLLp://www.youLube.com/waLch?v=MPplL!gevqM&feaLure=youLube_gdaLa_player.
4
!ames lonLanella-khan, 8omanlans uespalr 1haL WealLhy 8rlLaln ls 1aklng All 1helr uocLors," 3(.1.*(1$ 4(5/+,
!anuary 14, 2014



5
BruinMUN 2014 European Union

!"#$%&$% $%( )*+,$-&$% ."%/0-%12
0ne of the fiist complaints on this siue of the uebate is the fact that the E0 put up iestiictions on
immigiation fiom Bulgaiia anu Romania in the fiist place. It seemeu to uiiectly violate one of the
piinciple founuations of the 0nion, which was fiee movement anu no iestiictions foi all membeis.
Auuitionally, no othei membeis befoie them hau such iestiictions, incluuing Polanu, a state which
joineu the E0 with similai conceins iegaiuing immigiation. Citizens fiom eveiy othei Euiopean
0nion membei state weie fiee to puisue a bettei life fiom anywheie within the E0. Auvocates on
the siue of Bulgaiia anu Romania aigue that the Eastein Euiopean nations shoulu have been
affoiueu the same oppoitunities.
Even if the iestiictions weie faii (which few people on this siue of the uiscussion believe to be), the
fact of the mattei is that Romanians anu Bulgaiians faiily abiueu by the seven yeai iestiictions, anu
theiefoie, Westein Euiopean nations shoulu no longei have objections to theii immigiation. The
fact that states like Belgium anu Fiance still attempt to block the fiee movement of Bulgaiians anu
Romanians is uowniight xenophobic, accoiuing to opponents of the iestiictions.
S

Auvocates of Romanian anu Bulgaiian emigiation aie also quick to point out the benefits of
eiauication of iestiictions. Numeious jobs in the agiicultuial spheie in Westein Euiopean countiies
such as Biitain aie filleu oveiwhelmingly by Eastein Euiopean woikeis because native citizens uo
not apply foi them. Foi instance, faimeis in chaige of iunning opeiations in the 0niteu Kinguom
claim to have attempteu to hiie Biitish woikeis, only to have most of them tuin uown the job, oi

S
uan 8llefsky, L.u. Labor MarkeL Cpens for 8omanlans and 8ulgarlans," 46/ 7/8 9"#: 4(5/+, !anuary 1, 2014,
hLLp://www.nyLlmes.com/2014/01/02/world/europe/european-labor-markeL-opens-for-romanlans-and-
bulgarlans.hLml.



6
BruinMUN 2014 European Union
quit halfway thiough.
6
The implication, theiefoie, is that immigiates fiom Bulgaiia anu Romania
aie not taking jobs fiom native citizensthey aie filling a necessaiy gap in the laboi foice.
3(4"/$501 6"- 7##&,-$5&"% !015-&/5&"%2
Auvocates foi iestiiction on immigiation fiom Bulgaiia anu Romania have vaiious conceins, the
main one being that both foimei communist states will senu too many immigiants than any
Westein Euiopean nation can hanule. This aigument stems fiom the example of Polanuwhen
Polanu joineu the E0 in Nay of 2uu4, theie was mass emigiation to countiies like the 0K, Belgium,
anu ueimany, numbeis that hau been unpieceuenteu.
7
As a iesult, the ieceiving nations hau been
unpiepaieu foi the laige flow of migiants, anu wisheu to avoiu the same fate with Bulgaiian anu
Romanian migishence why the iestiictions staiteu in 2uu7.

" #$$%&'()%*+ %+)* ),- ./ 0!"#$%&' )""*+,-%"*.
Theie aie seveial ieasons why citizens in Eastein Euiopean states oppose mass immigiation fiom
Romania anu Bulgaiia. Fiist, the aiiival of emigiates has the effect of ieuucing wages in the
ieceiving countiies, especially foi lowei skill woikeis.
8
Natuially, theiefoie, citizens with low skill

6
1he 1ruLh AbouL lmmlgraLlon ln Lhe uk 2014."
7
lbld.
8
!effry A. lrleden, ;$"<1$ =1>()1$(+5, -)+ 31$$ 1.% ?(+/ (. )6/ 48/.)(/)6 =/.)2#@, 8eprlnL edlLlon (new ?ork: W. W.
norLon & Company, 2007). Page 4S2.



7
BruinMUN 2014 European Union
jobs woulu oppose immigiation on the giounus that theii wages woulu be cut (oi theii jobs woulu
be ieplaceu entiiely). Bulgaiian anu Romanian (anu othei Eastein Euiopean) migiants woulu not
minu the wage cuts, because theii wages woulu still be highei than what they ieceiveu in theii
home states.
9

Auuitionally, some view the aiiival of laige amounts of immigiants as uisiuptive to a nation's social
welfaie piogiams anu social stanuaius in geneialin Fiance anu Biitain especially, theie aie many
complaints of immigiants moving into towns anu committing vanualism, spiaying giaffiti, litteiing,
anu othei petty ciimes.
1u
Auvocates foi migiant iestiictions also point out that Bulgaiian anu
Romanian immigiants make extensive use of the welfaie anu benefits piogiams enacteu in Westein
Euiope, so much so that it causes stiains on such piogiams.
11

Finally, some within the E0 aigue that Romania anu Bulgaiia's piioiities shoulu be to impiove theii
own countiies, iathei than allow so much of theii population to emigiate. This, iathei than mass
migiation, shoulu be the solution to the uispaiity between Eastein anu Westein membei states.
@&.&(/ ,&6&2$%<&(/-
0n Nay 22-2S, 2u14, the Euiopean 0nion helu its eighth Pailiamentaiy election. Foi the fiist time
in the 0nion's histoiy, the iesults of the election heavily favoieu paities to the centei-iight anu fai-
iight of the political spectei, especially fiom Fiance, Benmaik, anu Biitain. A quaitei of the seats in
the Euiopean Pailiament went to Euiosceptic canuiuates (that is, canuiuates who believeu that the
E0 as an oiganization shoulu be moie ietiaineu in teims of its ability to govein).
12
Nany of these
paities aie opposeu to mass immigiation, especially fiom countiies like Romania anu Bulgaiia.
C"&-/+$(- /$ D$(-+?&#
1. What woulu happen if E0 succeeus in putting up moie iestiictions. Coulu iesulting
iesentment leau to conflict.
2. Is it faii that Bulgaiian anu Romanian nationals aie tieateu uiffeiently fiom the iest of the
E0 membeiship.
S. Bow will this impact futuie inteiest in potential membei states foi the E0.
4. Is complete fiee movement within the E0 a iealistic goal.

9
1he 1ruLh AbouL lmmlgraLlon ln Lhe uk 2014."
1u
lbld.
11
SlLCLL SLaff, 8russels May lorce Cermany 1o Loosen Access Lo Soclal 8eneflLs," A>(/B/$ C.$(./, !anuary 14,
2014, hLLp://www.splegel.de/lnLernaLlonal/germany/brussels-may-force-germany-Lo-loosen-access-Lo-soclal-
beneflLs-a-943224.hLml.
12
aul 1aylor, AfLer Selsmlc LlecLlons, Lu Leaders Assess uamage," ?/2)"#+, May 28, 2014,
hLLp://uk.reuLers.com/arLlcle/2014/03/27/uk-eu-elecLlon-summlL-ldukk8n0L70Zn20140327.



8
BruinMUN 2014 European Union
0$%+. EFG+H+(= !* !.$($<I
>'.A=#$"(?
When it comes to the economy of the Euiopean 0nion, the most piominent featuie of the 0nion's
monetaiy policy is the single cuiiency maiketnamely, the Euio. The Single Euiopean Act in 1986
anu the Naastiicht Tieaty in 1991 paveu the way foi the 0nion's common cuiiency by establishing
a single Euiopean maiket foi goous anu seivices (these tieaties incluueu the nations who weie
membeis of the 0nion at the time). The euio itself was foimally intiouuceu to woilu financial
maikets on }anuaiy 1
st
, 1999. As of touay, 18 of the 28 Euiopean membei states use the euio as
theii cuiiency. Auuitionally, pait of the single maiket system in the open maiket within the 0nion,
meaning that theie aie no iestiictions on tiaue anu investment within the 0nion membeis,
supposeuly.
1S

The single cuiiency was a contentious issue in Euiope fiom its inception. Befoie the Euio was even
cieateu, E0 membei states uebateu hotly about the Economic anu Nonetaiy 0nion (EN0) in the
199u's, which woulu cieate the single cuiiency anu cential bank foi Euiope. Countiies who weie
heavily uepenuent on the Euiopean maiket hau a lot to gain by cieating a fiee tiaue anu single
maiket system within Euiope, because such a system woulu stabilize cuiiency (Euiope hau been
having pioblems with fluctuating cuiiencies since the enu of WWII) anu encouiage moie intei-
Euiopean tiaue.
14
Bowevei, theie was significant opposition, especially fiom those who felt such a
system woulu infiinge on the soveieign iights of a nation. Also, nationalistic piiue anu iuentity
suigeu thiough some states, like Benmaik anu Biitain, anu the EN0 (anu latei the euio) seemeu to
iaise seiious conceins about national soveieignty. As a iesult, these nations uiu not accept the
eventual euio as theii cuiiency. A majoiity of the membeis, howevei, uiu.
In the 198u's anu thiough the 9u's, cieating a single cuiiency Euiope meant fixing anu pegging the
exchange iate of eveiy Euiopean cuiiency to the Beutche maik (the ueiman cuiiency), because
ueimany hau the stiongest cuiiency anu economythis was meant to pioviue stability foi
Euiopean cuiiencies. Bowevei, it also meant that whatevei aujustments ueimany maue to its own
cuiiency, the iest of the E0 hau to follow suit. Foi example, if a Euiopean state hau a highei
inflation iate than ueimany, it hau to woik to lowei it in accoiuance to the ueiman monetaiy policy
(which involveu measuies such as cutting goveinment spenuing anu iestiaining wages
(austeiity))Fiance anu Italy hau majoi pioblems convincing laboi unions anu public employees
to suppoit the cuiiency peg foi this ieason (the fixeu exchange iate finally won out in 198S).
1S
This
system of fixeu cuiiency woikeu out ielatively smoothly until 1991, when West anu East ueimany
weie ieunifieu. The ueimans iaiseu inteiest iates uue to uomestic conceins, but because of the
cuiiency peg, the othei Euiopean nations weie foiceu to iaise theii inteiest iates as well. This

1S
lrleden, !"#$% '"$()(*+. Page 24u.
14
lbld. Page S18
1S
lbld. Page S16.



9
BruinMUN 2014 European Union
causeu a ueep iecession in most of Euiope, foicing many E0 states to bieak theii link with the
ueiman cuiiency. The pioblem was cleaiif ueimany aujusteu its cuiiency baseu on its neeus
alone, then the iest of Euiope coulu not affoiu to follow suit, because eveiy Euiopean state has
uiffeient economic neeus.
Anu yet, movement towaiu cuiiency union continueu (most E0 nations agieeu cuiiency stability
was a piioiity, anu coulu only be achieveu thiough some soit of common cuiiency). Theiefoie, the
euio became the most viable option, because it woulu be contiolleu by the Euiopean Cential Bank
(ECB), iathei than one single nation looking out foi its own uomestic neeus. When the euio was
auopteu, it seemeu that the single cuiiency system uiu its job of pioviuing a stable Euiopean
cuiiency.
16


E !*J- D"##&(.I K/'/"- /!"#$%&' 01& 2%"3"4*567
Bowevei, the iegional single cuiiency system was not without its pioblems, anu this became
staikly cleai uuiing the 2uu8 financial ciisis. The funuamental pioblem that plagueu Euiope when
it hau peggeu its cuiiency to the Beutche maik still existeueveiy Euiopean countiy hau uiffeient
economic issues within its boiueis.
With the Naastiicht Tieaty of 1992, all Euiopean membei states weie iequiieu to cut theii ueficit
spenuing anu limit theii levels of uebt. This pioveu to be easiei foi some nations than otheis, anu
seveial states (notably uieece) hau tiouble staying within the spenuing limits set by the Tieaty.
Theiefoie, vaiious goveinments took to misiepoiting anu outiight lying about the level of ueficit

16
lbld. Page. S17



10
BruinMUN 2014 European Union
anu spenuing theii nation was uoing.
17
As a iesult, when the financial ciash occuiieu in 2uu8,
Euiope was hit much haiuei than expecteuwithin eveiy membei state, the issues weie uiffeient
(uieece's high levels of uebt uiu not match those of ueimany) because fiscal policies weie not
uniteu like monetaiy policies weieoveiall, many Euiopean nations neeueu uiffeient kinus of
monetaiy assistance, because each goveinment hau hanuleu each iespective nations fiscal policies
uiffeiently. But the ECB coulu not contiol the euio anu match eveiy financial neeu within the
Euiozone. Theiefoie, Euiopean leaueis weie seveiely limiteu in how they coulu ieact to the ciisis.
Feaiing bankiuptcy, the ECB (anu the Inteinational Nonetaiy Funu (INF)) weie foiceu to bail out
uieece (2u1u), Iielanu (2u1u), Poitugal (2u11), Spain (2u12), anu vaiious othei economies. Nost
tioubling, howevei, was the neai uefault of Italywhich is the fouith laigest economy in the E0.
Bau Italy been foiceu to take a bailout, the iesult woulu have been uisastiousItaly is simply too
laige of an economy to be baileu out by the ECB anu INF.
18

Bue to austeiity policies anu emeigency bailout measuies, the E0 manageu to iemain unifieu, with
the single cuiiency system in place. Bowevei, iecoveiy is lacklustei on all fionts, anu fai slowei
than anticipateu. The Euiozone ciisis hau long-teim effects on the Euiopean economies. Nost
impoitantly, the calamity iaiseu the peitinent questionwhat coulu Euiope uo to avoiu such a
ciisis fiom occuiiing evei again.
>2$. B$-+/+$(-
It is cleai that the cuiient single maiket system has funuamental flaws which must be auuiesseu in
oiuei foi the E0 to suivive long teim. Theie aie vaiious pioposeu methous to ensuie its success.
But theie aie also those who aigue that fuithei E0 integiation is not the answei.
3 8"+&5&/$++9 :%&6&0( ;*-"<02

17
Mark 8rown, Pow Lurope's CovernmenLs Pave Lnronlzed 1helr uebLs," D2#"5"./@ ="2.)#@ ?(+:, SepLember
2003, hLLp://www.euromoney.com/ArLlcle/1000384/Pow-Luropes-governmenLs-have-enronlzed-Lhelr-debLs.hLml.
18
AgusLlno lonLevecchla, lLaly ls 1oo 8lg 1o 8all, Lven lor lrance And Cermany," 3"#</+, !uly 12, 2011,
hLLp://www.forbes.com/slLes/afonLevecchla/2011/07/12/lLaly-ls-Loo-blg-Lo-ball-even-for-france-and-germany/.



11
BruinMUN 2014 European Union

0ne of the main issues that has been iuentifieu with the cuiient Euiopean system is that uespite the
monetaiy link, soveieign goveinments can make political uecisions that often uo not coinciue with
what is goou foi Euiope oveiall. Bespite the fact that the E0 has maue a sepaiation between
political anu monetaiy ties, it is of couise obvious that the two affect each othei. Theiefoie, one
pioposeu solution to the Euiopean economic ciisis is a move towaius a political unionsimilai to
that of the 0niteu States.
Such action woulu have vaiious implications. Foi one, Euiopean states who iemain pait of the E0
woulu essentially give up theii soveieignty. Political unification woulu piesumably involve a cential
authoiity, iathei like the 0S feueial goveinment. Such integiation woulu iemove the iisk of
soveieign nations who uo not comply with the common Euiopean goals, anu oveiall, woulu cieate a
stiongei Euiope. A fully integiateu E0 woulu be the laigest economy in the woilu, with a balanceu
cuiiency, anu a tiue foice to be ieckoneu with on the inteinational stage. In the cuiient globalizeu
system, such stability within the iegion woulu attiact moie investois, buyeis, anu oveiall woulu
soothe inteinational woiiy about (at least, so auvocates claim).
19
As it stanus, Euiope as an
inteinational powei is on the uecline, anu stability will nevei be assuieu unless eveiy state commits
to a fully fiscal union, unuei the same economic anu political laws.
Cuiiently, leaueis fiom Fiance, ueimany, Belgium, anu vaiious otheis campaign foi this ioute of
action, though the iecent election anu public sentiment pievent any soit of commitment to this
plan.
=>0 ?<<"1&5&"% 5" 7%50,-$5&"%2

The basis of opposition foi a politically unifieu Euiope is multi-faceteu. Fiist, theie is the belief that
it is not feasible foi Euiopean nations to willingly give up soveieignty. Bespite the spiiit of

19
ArgumenLs for and agalnsL llscal unlon," E/<1)(.B D2#">/, accessed !uly 21, 2014,
hLLp://www.debaLlngeurope.eu/focus/lnfobox-argumenLs-for-and-agalnsL-flscal-unlon/.



12
BruinMUN 2014 European Union
coopeiation that has peivaueu thioughout Euiope since the collapse of the Soviet 0nion, theie aie
many that believe that nationalistic sentiment is too stiong within Euiopean countiies; citizens of
membei states woulu nevei consent to willingly suiienuei theii soveieignty. Auuitionally, uespite
the fact that Euiope is woiking haiu to foiget its bloouy past, theie is no uoubt that histoiy is still
significant foi many Euiopeansit woulu not be an easy task to move on fiom past piejuuices.
Alieauy, seveial Euiopean nations aie having tiouble with the multi-cultuial aspect of the 0nion
(such as Fiance's blatant uisciimination towaiu Roma people fiom Romania anu Bulgaiia). Pushing
citizens to gieatei integiation may cieate moie conflict.
Auuitionally, eveiy Euiopean state has its own uistinct set of pioblems, cultuies, anu languages. It
woulu not be as simple to integiate eveiyone into one soveieign state. Euioskeptics aigue that
goveinments neeu to be able to iesponu quickly anu efficiently to local pioblemssomething that
woulu become impossible unuei the E0's heavily buieauciatic system. In fact, the unifieu monetaiy
system has supposeuly pioven the inability of the E0 to iesponu to eveiy membei's inuiviuual
neeus. Theiefoie, fuithei integiation is simply not a viable solution.
2u

Leaueis in the 0niteu Kinguom anu most Scanuinavian countiies holu this view point, though many
within these states also iecognize the benefits the E0 pioviues.
C"&-/+$(- /$ D$(-+?&#
1. What is the best couise of action iegaiuing the E0 economy.
2. What woulu be the consequences of anothei global financial ciisis.
S. Can Euiope sustain its monetaiy policy by neithei integiating noi bieaking apait.
4. What woulu happen to Euiopean states who iefuse to stay in the E0.
S. Woulu countiies outsiue of Euiope suppoit a fully integiateu E0. Woulu the consiuei it a
thieat.









2u
lbld.



13
BruinMUN 2014 European Union
L$#A- D+/&?
"Aiguments foi anu against Fiscal 0nion." @0A$5&%, ;*-"<0. N.p., n.u. Web. 21 }uly 2u14.
Bilefsky, Ban. "E.0. Laboi Naiket 0pens foi Romanians anu Bulgaiians." =>0 B0C D"-E =&#01 1 }an.
2u14. BD=&#01F/"#. Web. 21 }uly 2u14.
Biown, Naik. "Bow Euiope's uoveinments Bave Enionizeu Theii Bebts." ;*-"#"%09 ."*%5-9 !&1E.
N.p., Sept. 2uuS. Web. 21 }uly 2u14.
Fontanella-Khan, }ames. "Romanians Bespaii That Wealthy Biitain Is Taking All Theii Boctois."
G&%$%/&$+ =&#01 14 }an. 2u14. G&%$%/&$+ =&#01. Web. 21 }uly 2u14.
Fontevecchia, Agustino. "Italy Is Too Big To Bail, Even Foi Fiance Anu ueimany." G"-A01. N.p., 12
}uly 2u11. Web. 21 }uly 2u14.
Fiieuen, }effiy A. H+"A$+ .$<&5$+&1#2 751 G$++ $%( !&10 &% 5>0 =C0%5&05> .0%5*-9. Repiint euition. New
Yoik: W. W. Noiton & Company, 2uu7. Piint.
Fieiuen, }effiy A. I"-+( 8"+&5&/12 7%50-0151J 7%50-$/5&"%1J 7%15&5*5&"%1. Seconu Euition euition. New
Yoik: W. W. Noiton & Company, 2u12. Piint.
Staff, SPIEuEL. "Biussels Nay Foice ueimany To Loosen Access to Social Benefits." K<&0,0+ ?%+&%0 14
}an. 2u14. K<&0,0+ ?%+&%0. Web. 21 }uly 2u14.
Tayloi, Paul. "Aftei Seismic Elections, E0 Leaueis Assess Bamage." !0*5"-1 28 Nay 2u14.
"The Tiuth About Immigiation in the 0K 2u14." BBC, 9 }an. 2u14. Television.