The EU

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  • The EU
    • Beneficial Effects for Members
      • The Treat of Rome (1958)
        • allows freedom of movement of both people and goods though out the EU
          • this helped create a common market that would have the same trading policy and could challenge economic muscle of USA
            • as well as this the standards of living for those living within the common market increased significantly as the economies grew
              • 67% UK Trade is within EU
      • The Maastricht Treaty (1993)
        • established a common currency policy - The Euro
          • help to end currency instability by fixing exchange rates
          • Consumers would not have to change money when travelling and would encounter less red tape when transferring large amount of money across borders
      • CAP(1950's)
        • Common Agricultural Policy
        • main objectives include
          • increasing productivity
          • ensuring fair living standard for the agricultural community
          • stabilising markets
        • Involved guarantees for products and subsidies given to farmers to grow different crops
          • however this lead to the "food mountain" being created where farmers grew an excess supply as they tried to produce as much as they could
            • Also the farmland was intensively farmed leading to eutrophication as subsidies encouraged unsustainable farming methods
          • Also the farmland was intensively farmed leading to eutrophication as subsidies encouraged unsustainable farming methods
        • 46% of EU budget on CAP
          • But countries who joined first get most of that 46%
            • E.G. FRANCE- 22%
              • Croatia and Bulgaria get 18%funding to share between them but pay the same as France
        • Costs the UK around £14billion per year= expensive for tax payer
          • Croatia and Bulgaria get 18%funding to share between them but pay the same as France
    • Negative Effects for Members
      • Increased immigration as direct result of freedom of movement
        • strain on housing and other amenities
          • 2004: 140,033 people immigrated to France
      • Immigrant workers send money back home =blow to economy

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