The Enlargement and Integration of the European Union: Issues and Strategies by David Clark

Author:David Clark [Clark, David]
Language: eng
Format: epub
Tags: Political Science, General
ISBN: 9781134811052
Google: YnYh6oPNFasC
Goodreads: 17502229
Publisher: Routledge
Published: 1997-07-10T00:00:00+00:00

AUSTRIA, SWEDEN AND FINLAND

The recent accession of Austria, Sweden and Finland gives limited opportunities to assess the impact of membership on their economic and political systems. Nevertheless, some trends can be identified. Unlike previous new members, the EFTA countries were joining a more integrated Union, incorporating a Single European Market, a timetable for convergence towards EMU, and a commitment to develop a Common Foreign and Security Policy. However, although the acquis is more demanding than in previous enlargement rounds, the accession threshold has been lowered by the policy convergence achieved by the 1973 Free Trade Agreement and, most importantly, the EEA process. The extent of potential trade creation and diversion in manufacturing sectors is therefore very limited. A recent study27 concluded that in Austria and Sweden, ‘sensitive sectors’, that is those vulnerable to the removal of non-tariff barriers, such as preferential public procurement and discriminatory technical standards, comprised 40 per cent of manufacturing employment and, in Finland, 30 per cent. The equivalent EC level was, on average 50 per cent, with a range from 40 per cent to 70 per cent, though the effects of deepening integration on former EFTA members may be considerable, particularly given the peripheral locations of Sweden and Finland. The degree of industry restructuring directly attributable to full membership is likely to be small. The effects on agriculture are more marked, given that EFTA countries maintained higher levels of price support than the CAP. Open borders are likely to lead to trade creation, though this is likely to benefit EC exporters and new members’ consumers at the expense of their farmers. The export potential of EFTA’s farmers is extremely limited.

As sophisticated democracies, the former EFTA countries have not experienced any major administrative difficulties in adjusting to EU membership. Adaptations to the machinery of government were already in place before accession. The deeply rooted conservative style of politics has meant that consultation processes with interest groups are well developed. However, strong groups, particularly farmers, still remain hostile to membership in all three new members. Whilst supportive of moves towards further integration and committed to meeting the Maastricht convergence criteria for EMU, the three are likely to be pragmatic rather than zealous promoters of further deepening.

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