European Union

1.Introduction

At the end of the 20th century, Europe has a multitude of significations. It means a large market and a competitive and stimulator factor, capable of generating prosperity and technologic innovation.It means a society model based on individual rights that generated such a social cohesion that has never been equaled before.And it also means a great power that can play a fundamental role in world’s developing.

2.The European Union (EU)

The contemporary economy passes through a complex process of structural , quantitative and qualitative transformations that are the results of world’s economic processes.

The increasing rate of interactions between national or international companies is the result of the evolution of technology and it determines the increasing of productivity volume and the need to surpass national markets.The whole proces of integration in the European Union continues and amplifys the conections between our country and the European Union members .

Romania’s need of integration must be seen as a need to accomplish a fast economic development in order to reach a higher level of social and political stability.

The differences between Romania and other european countrys , estimated with the help of 21 economic and social indicators show the acute need of surpassing the present situation that has been subsisted for the last few years.

Including the Central and Eastern European states in the EU will lead to an increase of it’s surface with almost 30%; the population will increase up to 29% and GDP with at least 10%.

Creating a new monetary sector gives states an apportunity to accomplish benefits that enable them to compete on the international market.

3.The Economic and Monetary Union (EMU)

All the member states of the European Union felt strongly involved in building the Monetary Union. The EMU is considered to be able to modify the evenness of the international monetary system , as it will generate a more complex and stable system that will not be based on only one currency.As a result , the international financial order will not be influenced only by the internal events of a single country, as is case of the United States .

The macroeconomic stabilization represents the fundamental preliminary request for the achievement of a long term economic developing. From this point of view, the drastic reduction of inflatia, achieved by all European Union members can be considered a real succes and a precondition in the battle against unemployment – the main challenge that the European Union is confronted with. The most concret result of the macroeconomic stabilization is the cutting down of the interest rate, from where the enterprises investments will gain.

4.An analize of the OECD member states

After a closely analize of the OECD member states , the productivity improvement - as this concernes the accumulation of capital and the increase of labour force – must be percepted as the most important factor in the improvement of GDP on the long term.

The most significant factors that are able to stabilize the productivity improvement are:

- the reforms concerning the competition reglementation and the others laws that imply it’s stimulation;

- a faster liberalization of exchanges;

- an accelerated rhythm in applying the technological progress;

- the increasing of investments in human capital.

We assist to a serious change in the world’s mass output, as a consequence of international specialization that grows in amplitude day by day.Thus, OECD makes a distinguish between agriculture/food processing and consumer goods, on the one hand and skill intensive capital goods, on the other hand.

Of course, the competition between the powerful countrys and the ones with a minimal development level represents the first thing that must be taken into account. The second thing as importance would be the competition that takes place between the OECD members, particulary between the European Union , the United States and Japan ( the so-called Triad ).