The Union objective is price stability, European sustained development and is based on a balanced growth economy. One of the Union's symbols is the official euro currency. 'EU promotes economic, political integration of Europe through a common currency, freedom of movement between member states, development of common foreign, and security policy. The new European treaty doesn't seem to be so different than the older one but it could give the impression for Europe to go further. This report will explain the changes and effects of this new treaty on business in Europe, by focusing on the monetary union.
[...] Indeed, European companies are watching this Euro that can lead them to speed up de-industrialization of Europe. Because, some industrial companies don't export anymore, or less, and then finish up by deciding to set up, at least partially, in dollar zone, and delocalize one part of their activities. (Example: Volkswagen, largest carmaker, has lost nearly 1.4 bn) in each of the past two years to the stronger euro, and relocate manufacturing into weak countries). [Source: European Business lecture] In fact, critically saying, the problem isn't to know that the euro is soft or hard but the real European problem is that the Euro seems to be an instable factor for the EU. [...]
[...] Atlantic Economic Journal, Ma2003, Vol Issue p15. [...]
[...] But we can have doubt on the consequences of this changes and particularly juridical with the Court of Justice of the European Communities. As a result, the article 3 on the “free and undistorted competition” was expressly withdrawn, but we can still find out in the annexes of the new treaty, the PROTOCOL ON THE INTERNAL MARKET AND COMPETITION says: ) the internal market as set out in Article 3 of the Treaty on European Union includes a system ensuring that competition is not distorted ( ) the Union shall, if necessary, take action under the provisions of the Treaties( ).”(Source: Article III-179). [...]
[...] Critically, the rise of Euro currency isn't a good news because most of the trader or commercials are taking advantage of that but that it's their business not the majority one. The Euro currency is high for the reason that the economy generates less noticeable inflation; import less, because budget cuts of employment and salary favor in a short-term financial profit. The worrying rise of Euro Euro level has been denounce, consider much too hard (high) and harmful to competitiveness for French economy for example. [...]
[...] Besides, Monetary Union is exclusively managed by the European Commission which will remain the case. The possible, positive or negative, effects on European companies and the euro will come from the decision taken by institutions in future but not from the rules of the game alteration. Bibliography Books Franck McDonald & Stephen Dearden, (2005), European economic integration, 4th edition, FT Prentice Hall, Page 37-381. Mike Artis and Frederick Nixson, (2003), The economics of the European union, policy and analysis, 3rd edition, Oxford University Press, Page 46- 78, 125-137 and 290-309. [...]
Bibliographie, normes APA
Citez le doc consultéLecture en ligne
et sans publicité !Contenu vérifié
par notre comité de lecture
