USD $ 28,100, while in the US the per person GDP is over USD $ 40,000. It is estimated that in the period 2006-2020 the European Union's economy will grow at an average rate of 2.1% per annum, against the United States growing at an annual rate of almost 3.0%, however if growth is taken per head the figures are 2.5% per annum for the US and 2.0% for the EU. The EU set itself an objective under the Lisbon Strategy to make the European Union "the world's most dynamic and competitive economy "by the year 2010, but it is now generally accepted that this target will not be met. The significant challenges facing the EU economy include demographic issues like a low birth rate and aging population; while important strengths include the expected gains earned through enhanced free trade and high growth in newer EU members in particular. The European Union's economic growth has been below that of the United States most years since 1990, while its unemployment rate has generally been higher. Many point out that there are benefits accruing to EU citizens (the "Social wage") that are not visible in traditional economic data - like enhanced time off from work, social protection and other benefits. In recent years, the economic performance of several of its key members, including Germany and Italy, has been a matter of serious concern to policy makers. Population and GDP per capita of EU member states and candidates. * p> If considered a single unit, the European Union has the largest economy in the world with a 2004 GDP of 11,723,816 million USD using PPP equivalence. The EU economy is expected to grow further over the next decade as more countries join the union - especially considering that the new states are usually poorer than the EU average, and have the capacity to grow at a high rate. The European Council published estimations on 17 November 2005 that the economy of the European Union will have grown approximately 1.5% in 2005 (1.3% in the eurozone), and 2.3% 2006 (2.1% in the eurozone) comparing favorably to earlier low growth predictions. In the year of 2006 the eurozone made 4-5 milion new jobs. The European Council is hopeful that the European Union will grow further in 2006 and in 2007 (2.1% 2006 2.4% 2007). Germany, the largest economy in the EU, will grow about: 0.8% 2005, 1.2% 2006 and 1.6% 2007. After extremely slow growth, it seems that the EU will grow again in the next couple of years. p> EU member states have agreed a program called Agenda 2010 which aims at making "the EU the world's most dynamic and competitive economy "by 2010.
I think that European integration has a great impact to its members almost in all aspects. Some information above explains the beginning of EU and its economic integration condition, which is one of the leading and most successful economies on the planet. Today 25 countries of EU became together to be stronger and to have competitive advantage in market place and in the world arena. Member states joined to be in union and to be in unison almost in each and every act. As we analyze past time we can see that they had conflict and war between each other. However, situation that we see today is phenomenon and it fascinated whole world as those countries created Single Market and new currency of EURO appeared in half of international transactions in the world. Mostly all states have adopted EURO currency as an official currency of European Union. Such achievement took a long time and much efforts put with particular stages that used by states to improve relationship and membership. European Union has achieved four stages and last and further stage is Political Union which is not achieved yet. This is last and most advanced stage in process. Stages of Economic Integration are explained below after explanation of Single Market.
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Single market (Treaty of Rome 1957)
Many of the policies of the EU relate in one way or another to the development
anmaintenanceof an effective single market. Significant efforts have been made to create harmonized standards - which are designed to bring economic benefits through creating larger, more efficient markets.
The power of the single market reaches beyond the EU borders, because to sell within the EU, it is beneficial to conform to its standards. Once a non-member country's factories, farmers and merchants conform to EU standards, much of the cost of joining the union has already been sunk. At that point, harmonizing domestic laws in order to become a full member is relatively painless, and may create more wealth through eliminating the customs costs. The single market has both internal and external aspects:
The original Rome of Treaty quite clearly provided for the creation of a common market. p> В· Called for the elimination o internal trade barriers
В· Provided for the creation of a common external t...
