Chapter 3 International Economic Cooperation

1. Sub-Theme 2 The Quest for Cooperation and Prosperity Chapter 3 International Economic Cooperation Trend Towards Economic Unity in Europe Since 1950

2. Year Event 1952 The ECSC formed 1957 The EEC formed 1960 EFTA formed 1967 The EEC was renamed the EC 1992 The EC renamed the EU Trend Towards Economic Unity in Europe Since 1950 Time Track

3. Trend Towards Economic Unity in Europe Since 1950 The ECSC (1952) • Aims • A response to the Marshall Plan • All duties and restrictions on trade in coal, iron and steel of the member states were removed • Major development • Britain refused to join

4. Trend Towards Economic Unity in Europe Since 1950 The EEC (or the Common Market) (1957) • Aims • An important step to turn Western countries into a single European unity • It worked towards a much closer union • Significance • It provided great benefit to the member states • Labour and capital flowed freely within the Common Market • It became the world’s largest exporter of raw materials

5. Trend Towards Economic Unity in Europe Since 1950 The EFTA (1960) • Aims • It was formed by Britain with other non-EEC countries • Tariffs were abolished and free trade was established between member states • Significance • It was less successful than the EEC • So, Britain wanted to join the EEC but was rejected

6. Trend Towards Economic Unity in Europe Since 1950 The EC (1967) • Origins • It was renamed from the EEC • Britain gained entry in 1973 • Major development • The Exchange Rate Mechanism was introduced in 1979 • The Common Agricultural Policy was carried out • The Single European Act was signed in 1986 • The Treaty of Maastricht was signed in 1991

7. Trend Towards Economic Unity in Europe Since 1950 The EU (1992) • Origins • The EC was renamed the EU in 1992 • Major development • By the mid-1990s, the Community had been a great success economically • It brought prosperity to the member states

8. The End