Getting Started
In the aftermath of World War II, a devastated Europe sought to prevent future conflicts and rebuild its economies. Rejecting the intense nationalism that had led to two world wars, European leaders began to experiment with new forms of transnational cooperation. This chapter traces the evolution of this integrationist project, from a small economic alliance focused on war industries to the continent-spanning European Union of the present day.
What You Should Be Able to Do
After studying this topic, you should be able to:
Explain the evolution of European integration from a limited economic community to a broad political and economic union.
Analyze the economic effects of increasing integration on member nations.
Explain how the European Union has influenced both national and a shared European identity.
Evaluate the ongoing tension between national sovereignty and the responsibilities of EU membership.
Key Developments & Analysis
This section uses the lens of Continuity and Change over Time to analyze the development of the European Union.
Baseline & Context (c. 1945–1950s)
The period immediately following World War II was defined by recovery and a deep desire to avoid another continental war. Centuries of nationalist rivalries, particularly between France and Germany, were seen as the root cause of this destruction. In a radical departure from the past, some leaders proposed that binding their nations' economies together would make war not only unthinkable but materially impossible. The initial focus was narrow and pragmatic: to create shared oversight of the primary instruments of war, coal and steel.
Key Changes
From Sectoral to General Economic Integration: The first major change was the expansion from a limited industrial pact to a comprehensive economic bloc. The European Coal and Steel Community (ECSC), founded in 1951, was a transnational union that pooled the coal and steel resources of six member nations. Its success led to the creation of the European Economic Community (EEC), or Common Market, in 1957. The EEC eliminated most trade barriers between members, creating a much larger free-trade area and fostering unprecedented economic growth.
From Economic Community to Political Union: A second profound change was the transition from a purely economic entity to one with significant political dimensions. The 1993 Maastricht Treaty officially created the European Union (EU). This new structure went beyond economics to include cooperation on justice, foreign policy, and security matters, and it introduced the concept of a shared European citizenship.
Introduction of a Single Currency: Perhaps the most significant change for daily life and national economies was the creation of a single currency. The Euro was introduced for electronic transactions in 1999 and as physical currency in 2002. Adopting the Euro meant that member states ceded control over their own monetary policy to a central European bank, a major step in economic integration and a significant surrender of national sovereignty.
Geographic Expansion: The union dramatically expanded in size. Initially a club of six Western European nations, it grew to include nations across the continent, most notably incorporating many former communist states of the Eastern Bloc after the end of the Cold War.
Key Continuities
The Core Goal of Peace and Prosperity: From the ECSC to the modern EU, the foundational purpose has remained the same: to ensure peace and foster economic prosperity through cooperation and integration. This core principle has guided every stage of the union's development.
The Tension Between National Sovereignty and Supranational Authority: A persistent theme throughout the EU's history is the debate over how much power individual nations should yield to the collective body. National sovereignty is the principle that a state has the authority to govern itself without outside interference. Every step toward deeper integration—from the Common Market to the Euro—has been accompanied by debates about whether the economic benefits were worth the loss of national control. This enduring tension is a central feature of the European project and is exemplified by modern challenges like the Brexit issue.
Data & Organization Tools
Timeline of European Integration
A simplified timeline shows the key stages in the development of the European Union.
| Year | Event | Significance |
|---|---|---|
| 1951 | European Coal and Steel Community (ECSC) is formed. | Six nations pool control over their coal and steel industries, making war between them less likely. |
| 1957 | Treaty of Rome creates the EEC (Common Market). | Expands cooperation beyond coal and steel to create a customs union and free-trade area. |
| 1993 | Maastricht Treaty establishes the European Union (EU). | Formally creates the EU, adding political cooperation and paving the way for a single currency. |
| 2002 | The Euro enters circulation as physical currency. | Replaces national currencies in many member states, representing a major step in economic integration. |
| 2016 | The United Kingdom votes for Brexit. | A member state votes to leave the EU, highlighting the persistent tension over national sovereignty. |
| 2020 | The United Kingdom formally leaves the EU. | The first time a member state has withdrawn, challenging the narrative of ever-increasing integration. |
Evidence Bank
European Coal and Steel Community (ECSC): The foundational 1951 organization created by six European nations (including France and West Germany) to manage their coal and steel production under a centralized authority. It was designed to make war materially impossible between members.
European Economic Community (EEC): Also known as the Common Market, it was established by the Treaty of Rome in 1957. The EEC aimed to bring about economic integration, including a common market and customs union, among its members.
European Union (EU): The political and economic union formally established by the Maastricht Treaty in 1993. It expanded upon the EEC's economic foundations to include cooperation in foreign policy, justice, and home affairs, and it created the framework for a single currency.
National Sovereignty: The authority of a state to govern itself or another state. In the context of the EU, it refers to the ongoing debate over how much independent power member states should retain versus how much they should cede to the central EU institutions.
The Euro: The official currency of 20 of the 27 EU member states. Its adoption requires countries to meet specific economic criteria and transfer control of monetary policy to the European Central Bank.
Brexit: A term for the United Kingdom's withdrawal from the European Union, following a referendum in 2016. The debate over Brexit centered on issues of national sovereignty, immigration, and economic control, highlighting the tensions inherent in EU membership.
Skill Snapshots
Causation
The devastation of WWII and a history of nationalist rivalries → caused European leaders to form the ECSC to promote peace through economic linkage.
The success of the EEC's common market → created the momentum for deeper integration, leading to the EU and a single currency.
Concerns over a loss of national sovereignty and control over national laws → was a primary cause of the Brexit vote in the United Kingdom.
Comparison
The ECSC was a limited, sectoral union focused only on coal and steel, whereas the EEC was a much broader customs union aiming for the free movement of goods, capital, and labor.
Nations using the Euro have ceded control of their monetary policy to a central bank, while EU members with their own currency (like Denmark or Sweden) retain national control over interest rates and money supply.
The vision of an "ever-closer union" with a shared European identity often conflicts with the desire of member states to preserve their unique national identity and political autonomy.
Continuity and Change over Time
Baseline: After 1945, Europe was dominated by independent, often rivalrous, nation-states.
Change: Over the next 70 years, these states voluntarily joined a series of transnational unions (ECSC, EEC, EU) that dramatically increased economic and political integration.
Change: The introduction of the Euro marked a significant shift from economic cooperation to a true monetary union for many members.
Continuity: The fundamental tension between the benefits of integration and the desire to maintain national sovereignty has remained a constant feature from the 1950s to the present.
Common Misconceptions & Clarifications
Misconception: The European Union is a single country, like the United States of America.
Clarification: The EU is a transnational union of 27 sovereign member countries. While they cooperate extensively and share some laws, they are not states within a federal country.
Misconception: All European countries are members of the EU.
Clarification: Several prominent European nations, such as Switzerland, Norway, and (after Brexit) the United Kingdom, are not members of the EU.
Misconception: All EU members use the Euro as their currency.
Clarification: Adopting the Euro is a complex process, and several EU members have chosen to retain their national currencies, such as the Danish krone and the Polish złoty.
Misconception: The EU was created as a political project from the start.
Clarification: The process of European integration began as a primarily economic project (the ECSC and EEC) with the political goal of ensuring peace. The explicitly political dimensions of the union were added much later.
One-Paragraph Summary
In the wake of World War II, European nations began to set aside nationalist rivalries in favor of peace and economic recovery, launching an unprecedented project of integration. This process evolved from the limited European Coal and Steel Community into the broader European Economic Community, and finally into the modern European Union, a powerful political and economic bloc. This integration fostered significant economic development through a common market and, for many, a single currency—the Euro. Throughout this evolution, the EU has promoted a shared European identity while simultaneously facing a persistent tension between the responsibilities of membership and the desire of member states to maintain their national sovereignty, a conflict starkly illustrated by the United Kingdom's decision to leave the union (Brexit).