- April 23, 2020
European Union (EU)
AfterWorld War II, many countries from Europe suffered a lot as theircities had been destroyed as a result of the war. As a consequence,these countries came together with the intention to rebuild theirlives and stabilize peace to avoid future incidents of war. Thus, the was formed for the purposes of ensuring peace andeconomic prosperity among the European nations and its formationoutweighed the cost.
Tobegin with, EU has been a productive market for its citizens as itprovides a ready market with over 500 million consumers(CBI, n.d).This has been made possible as there is free trade among members ofthis Union. “The EU has eliminated trade barriers such as tariffsand customs procedures, which makes it possible for an organizationto compete fairly,”(CBI, n.d).
Moreover,EU has managed to open a global market for its firms. “This marketaccounted for 23% of the global economy in 2012,”(CBI, n.d).Through this Union, many trade business deals have been made, whichbenefited the individual members unlike if these countries operatedon their own. Furthermore, this market has attracted a lot of foreigninvestment, which has seen the booming of these countries’economies(CBI, n.d).
Furthermore,open borders enabled free movement of labor(CBI, n.d).As a result, there was an exchange of highly trained personnel andthe emergence of cheap labor, which made the cost of production lessexpensive. People could secure jobs easily as in some of thesecountries there was labor insufficiency. However, there have beenissues about pan-EU employment rights, which have negatively affectedbusinesses. Moreover, these nations also contribute to the EU budget,but when you look at the bright side, they have gained more than theyhave lost (CBI,n.d).
Thus,EU nations have benefited a lot from the free movement as this hasmade it possible to sell goods and services without restriction fromtrade customs and tariffs above being able to access cheap labor.Moreover, these nations have made Europe be a trade hub for globalmarket attracting more foreign investors from all over the world.Additionally, these nations have been supportive of each other incase of emergencies. Thus, EU members have benefited much than theyhave lost.
CBI.(n.d.). Factsheet 2 – Benefits of EU membership outweigh costs – CBI.Retrieved fromhttp://www.cbi.org.uk/insight-and-analysis/our-global-future/factsheets/factsheet-2-benefits-of-eu-membership-outweigh-costs/