Chapter 40 - The European Union

• Possible economic consequences of Brexit

  -Tourism industry will suffer due to increased price of visiting Ireland for tourists

  -Irish exports more expensive in Britain

  -Impact on free movement of goods, services and people.
• Social challenges of EU membership

  -Language and culture differences

  -Complying with new laws = increased costs for businesses

  -Communication hard, language barrier

  -Some places have been banned from turf cutting
• Economic challenges of EU membership

  -Increased competition from lower-cost economies

  -More difficult to trade with UK

  -Have to make contributions to EU budget
• Social benefits of EU membership


  -Social policy has strengthened rights of consumers

  -Social policy has improved rights of workers

  -More consumer choice

  -Can travel and work freely
• Economic benefits of EU membership


  -Single European Market (SEM) allows for free movement of goods, services, people and capital

  -Provides a larger market for exports

  -Less dependant on UK

  -Reduced costs for imports and exports

  -Attractive location for FDI
• European Central Bank (ECB)

  Responsible for

  controlling interest rates and supply of euro

  keeping euro inflation under control

  issuing euro noes and coins
• Court of Justice of the EU


  Each EU member state appoints a judge

  Responsible for

  making sure laws are applied fairly and consistently
• Court of Auditors


  Responsible for

  monitoring EU spending

  checking that money given to member states is use for purpose intended
• Council of European Union

  Members of government ministers for EU member states

  Responsible for

  setting goals and policies

  passing laws

  signing international agreements
• European Parliament

  Members elected directly by EU citizens

  Responsible for

  representing EU citizens

  introducing legislation

  approving EU budget
• European Commission

  Responsible for

  proposing new laws

  enforcing EU laws

  managing Eu budget
• 3 Main institutions for day-to-day decision-making

  European Commison

  European Parliament

  Council of European Unio
• European Council

  The heads of state of EU members have meetings where they set out priorities and discuss major issues
• Shared sovereignty


  Each country is willing to give up control over some parts of its government in order to work with others to achieve common goals, standards and laws.
• 3 Main aims of EU

  Establish European citizenship (protecting rights)

  Ensure freedom, security and justice for EU citizens

  Promote economic and social progress