Short Essay on the European Economic Community
EEC is more than a customs union. It is some thing between the common market and an economic union, the latter being its ultimate goal. There is now trade, capital and monetary union.
There is a common agricultural, energy, environment, industry, science, capital movement, and monetary policy. There is also a European Court of Justice and anti-trust policy, and cooperation in many other fields.
To achieve the objective of economic integration, the Treaty requires the member countries to
(i) Remove tariff, quotas and other barriers on trade between each other;
(ii) Devise a common tariff and commercial policy for the rest of the world;
(iii) Allow free movement of factors of production within the Community;
(iv) Harmonies their taxation and monetary policies.
(v) Adopt a common policy on agriculture and transport;
(vi) Promote competition in the common market;
(vii) Adopt procedures for coordination of economic policies of member nations for achieving the objectives of external balance, price stability and full employment;
(viii) Effect coordination of legislation of member states for the smooth functioning of the Common Market;
(ix) Establish a European Social Fund for readjusting unemployed workers;
(x) Create a European Investment Fund.