Summary of Economic Union
Also known as an economic community, an advanced form of economic integration on the part of several states. The economic union incorporates the features of a Common market (read this and related legal terms for further details)—unrestricted free trade among the members, absence of duties or quantitative restrictions on intramarket commerce, and a common external tariff—but is expanded to embrace a centralized internal economic policy including taxation, interest rates, money supply, uniform social programs, and perhaps a common currency.
The formation of an economic union is a precursor to full political union of the members.
(Main Author: William J. Miller)
Economic Union and the GATT Policy Negotiations
In relation to the GATT Policy Negotiations, Christopher Mark (1993) provided the following explanation and/or definition of Economic Union: The highest level of economic integration between sovereign countries, in which members proceed beyond the requirements of a common market to unify their fiscal, monetary, and socioeconomic policies. Belgium and Luxembourg, for example, have been joined in an economic union since 1921.
Meaning of Economic Union, according to the Dictionary of International Trade (Global Negotiator): An economic union is the last step in an economic integration process. The previous ones are: free trade area, customs union and common market. In addition to free movement of goods, services and production factors, it also requires integration of economic policies, both monetary and fiscal. Under an economic union members harmonized monetary policies, taxation and government spending. In addition, a common currency is used by members and this could involve a system of fixed exchange rates. Clearly the formation of a economic union requires the surrender of a large measure of national sovereignty to a supranational body. Such a union is the previous and last step to political unification. See economic integration.
Embracing mainstream international law, this section on economic union explores the context, history and effect of the area of the law covered here.
Economic Union and Europe
There is an entry on economic union in the European legal encyclopedia.
- Entry “Economic Union” in the work “A Concise Encyclopedia of the European Union from Aachen to Zollverein”, by Rodney Leach (Profile Books; London)
- The entry “economic union” in the Parry and Grant Encyclopaedic Dictionary of International Law (currently, the Encyclopaedic Dictionary of International Law, 2009), Oxford University Press
Hierarchical Display of Economic union
Economics > Economic structure > Economic system
Economics > Economic policy > Economic policy > Economic integration
Trade > Tariff policy > Tariff policy > Customs union
International Relations > International affairs > International affairs > Economic relations
Finance > Monetary relations > Monetary relations > Monetary union
Concept of Economic union
Characteristics of Economic union
Translation of Economic union
- Spanish: Unión económica
- French: Union économique
- German: Wirtschaftsunion
- Italian: Unione economica
- Portuguese: União económica
- Polish: Unia gospodarcza
Thesaurus of Economic union
Economics > Economic structure > Economic system > Economic union
Economics > Economic policy > Economic policy > Economic integration > Economic union
Trade > Tariff policy > Tariff policy > Customs union > Economic union
International Relations > International affairs > International affairs > Economic relations > Economic union
Finance > Monetary relations > Monetary relations > Monetary union > Economic union