This Essay is prepared to provide a full discussion on the given question on chapter 2 to discuss the potential gains and challenges that the EU faces as it includes additional members. The content of this essay will be consisted with the following discussion:
I. The benefit of EU in the political, economic, social, and environment fields
II. The cost of EU in the political, economic, social, and environment fields
In order to become the most competitive and dynamic knowledge based economy in the world, EU need to have a structural reforms and a dynamic response to globalization. In the today’s context, EU needs to move forward and adapt with the changing world by reinvent itself. To build a stronger union and become most competitive, EU need to enlarge their members by includes additional members. This enlargement will improve EU to be compatible in the worldwide while facing the globalization.
According to Beke (2012), the founding father of EU was aiming to unite the Europe countries into one. By deepening, widening the construction of the acceding members has lead into stronger countries. They are able to strengthener its objectives. This enlargement made a significant impact on European countries. It is a fulfillment of a vision (husz, 2003). This vision is about the reunification of Europe’s people in a constitutional framework that encourage them to work together in peace and stability.
In undertaking the discussion toward the given question, this essay will consider the applicability of related economic and finance journals. Furthermore, taking into account the fact that European Union enlargement is still debatable and changes the structure of the European’s systems. This essay will prepare a conclusion of the discussion.
The enlargement of European Union (EU) is bringing positive and negative result in political, social, environment and economic fields. First of all, by include additional members of the EU, it has reuniting the European continent that were divided in the aftermath of world war. The enlargement has united the Europeans, which able to avoid conflict because of the economic and political integration of its members. It creates an opportunity for the members to help each other to develop their stability and security (Kok, 2003).
According to refernce1, Enlargement of the EU has introducing a “whole and free” of European states. That aim to unite the European into one vision. Moreover, this enlargement introduces more ideas and perspective of other Europeans. Enlargement of the EU brought up a new framework system to improve the governance system (Husz, 2003). The aim of a new framework is to support and make it easier to the EU by adding security threats. This enlargement of EU brings more cultural richness in Europeans. “The commission has referred the enlargement as the union most successful foreign policy instrument” (Franz, 2003).
The process of enlargement has also benefited the economy field. The economic gain form this enlargement is the increased of the prosperity for the EU members as a result of wider market. Other than liberalization of services, capital, and labor, EU brought the equal terms in the market. Efficiency increases and improvements in competitiveness will be greater changes for European Union members. Members have aimed to improve their structure, by adopting a functioning EU economic and legal framework. According to (Kok, 2003), the “lock-in” to market access gains some impact for the Europeans, as their common regulation and economic guidance should improve.
Moreover, the growth of foreign direct investment (FDI) is depending on the policies and governance at the national level (Kok, 2003). The safe guard clauses in their present agreements with EU might be limited their export. Many company are planning on putting an investment is EU countries. This is because the effect of market liberalization, common regulation, and