Market and Money
Professor Brigid Laffan
UCD College of Human Sciences
Type relevant English
Type relevant Irish
language Unit Name into
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Major Modifications of the Rome Treaties
• Process of Integration Stalls in the 1970s/1980s
• Poor Economic Performance in Europe
• Common problems but not solutions
• Re-launch of Integration
• Mitterand/France 1984
Reform Process
• Fontainebleau European
Council 1984
• Milan 1985
• Vote 7-3
• Dooge Committee
• Attitude of UK, DK,
Greece
• Footnote Countries
• Credible Threat of
exclusion
Single European Act
• Key Bargains
– Single Market
– Qualified Majority Voting
• Related Issues
– European Parliament
Powers
– Codification of European
Political Co-operation
– Court of First Instance
– Economic and Social
Cohesion
– Treaty base for
R&D/Environment
– European Council
mentioned
Power Map
• Role of the European Council-heads of
government acknowledged (highest office holders
in the member states)
• Extension of European Parliament Powers begins
• More Qualified Majority Voting
• Shifts in the institutional balance
Competencies Map
• Market Integration placed centre stage
– Regulatory Europe Expands
• Research and Development
• Environment
• Economic and Social Cohesion
Values Map
• Solidarity between rich and poor Europe gets a
treaty basis
• Sustainability-Environment
• International Role of the Union
Consequences
• Formal integration in Europe is re-launched
• Significance of the EU for its member states and
the international system increases
• Attraction for non-member states
• EU becomes more ambitious
• Reach of EU regulation expands
Success of the Single Act
• Complete the Economic Constitution
– From Market to Money
– Delors report 1988 on the Single Currency
• 1989 European Revolution
– German Unification
– Regime and Government Change in East Central
Europe
– Collapse of the Soviet Union
Treaty on European Union-December
1991
• TWO Intergovernmental Conferences
– EMU (Finance Ministers and Central Bankers)
– Political Union (Foreign Ministers and Heads of
Government)
• No neat bargain on institutional deepening and
policy expansion
• Complex provisions on major and minor issues
Treaty on European Union: The Arrival of
the Pillar Structure
Community
Pillar
(EMU)
CFSP
JHA
Opt outs
Treaty on European Union
• KEY Elements
• Subsidiarity
• EMU
• Institutional Change
– European Central bank
– Single Currency
– Roadmap
• Common Foreign and
Security Policy
• Justice and Home Affairs
– EP
– QMV
– Committee of the
Regions
– Court of Auditors
• Opt Outs
What the Pillars Meant
• Pillar One
– The Traditional Community method
• Pillars two and three
– More intergovernmental
– Role of the Court, Commission and EP differs across
the pillars
• More Complex institutional and decision rules
• Arrival of the Opt Out
SEA and TEU
• Major step change in the process of European
Integration
– High Level of Ambition
– Impressive Institutional Change
– Creeping Competence
• EU becomes more salient in the economic, social
and political life of Europe
• Touches on key attributes of
statehood/sovereignty
• Danish ‘No’ June 1992
Key Questions?
• Why was there a resurgence of European
Integration from the mid-1980s onwards?
• Why was there a focus on market integration?
• Why did market lead to money?
• What were the consequences of the resurgence/