Europe at Sixes and Sevens: The Common Market. the Free Trade Association and the United States 9780231881807

Table of contents :
Contents
Tables
Foreword
Preface
I. The European Common Market
II. The Common Market as an Economic Community
III. The Struggle for European Integration
IV. The Dollar Crisis and American Competitiveness
V. Business Opportunities in an Integrated Europe
VI. European Integration in a World Setting
Appendix: The Timetable of the Customs Union
Index

Citation preview

EUROPE AT SIXES AND SEVENS

Europe at Sixes and Sevens THI COMMON

MARKET

rHE FREE TRADE

ASSOCIATION

AND THE UNITED

by Emile Benoit WITH A FOREWORD

BY WALTER

HALLSTEIN

GREENWOOD PRESS, PUBLISHERS WESTPORT, CONNECTICUT

STATES

Library

C n | m i CaUI*fla| Ii PablicaÜM Data

Benoit, E n l l e . Europe at sizes and sevens. Reprint. Originally published: New York : Columbia University P r e s s , 1 9 6 l . Includes b i b l i o g r a p h i c a l references and index1. United States—Commerce—European Economie Community countries. 2. European Economic Community countries—Commerce—United S t a t e s . 3. European Free Trade Association countries—Commerce—United S t a t e s . U. United States—Commerce—European Free Trade Assoc i a t i o n countries. I . T i t l e . CHF3092.8. 19823 337. l ' l t 82-2975 ISBN 0-313-23500-7 ( l i b . bdg.) AACF2

Copyright © 1961 Columbia University Press, New York and London. Reprinted with the permission o f Columbia University Press. Reprinted in 1 9 8 2 by Greenwood Press, A division of Congressional Information Service, Inc. 8 8 Post Road West, Westport, Connecticut 0 6 8 8 1 Printed in the United States of America 10

9 8 7 6 5 4 3 2 1

To my mother and to the memory of my father, who, together, first showed me the felicity of a European

union

Contents

Foreword, by Walter Preface I

The European 1 2 3 4 5

II

III

Common

Market

Historical Background 1 The Common Market as an Economic Unit The Governing Institutions of the EEC 9 The Customs Union 19 Tariff and Quota Policies 22

The Common 1 2 3 4 5 6

Hallstein

Market

as an Economic

4

Community

More than a Customs Union 29 Freeing Movement of Capital and Labor 33 Policies on Business Prosperity and Competition 38 Programs for Agriculture and Transportation 48 Social and Development Policies 55 Development of EEC Agencies and Funds 61

The Struggle

for European

Integration

1 The Division of Western Europe 69 2 The Outer Seven 79 3 Pressure and Counterpressure: The Struggle over Acceleration 86 4 The Outlook for European Unity 98 vii

viii IV

Contents The Dollar

Crisis and American

Competitiveness

123

1 From Dollar Gap to Dollar Glut 125 2 The International Competitiveness of the American Producer 137 3 The Effects of European Integration on the U.S. Economy 170 V

Business 1 2 3 4

VI

Opportunities

in an Integrated

Europe

185

The Growth Potential of an Integrated Europe 188 Opportunities for U.S. Investment 193 Alternative Strategie« for Doing Business in Europe 226 A Few Conclusions 236

European

Integration

in a World

Setting

239

1 Integration and the Crisis of Western Civilization 240 2 The Common Market and the Unity of NATO 247 3 Integrated Europe and the Underdeveloped World 260 Appendix: Index

The

Timetable

of the Customs

Union

265 273

Tables

1 Integrated Europe: Basic Magnitudes 2 The External Tariff of the Common Market, Based on Total Imports in 1958 3 Percent of Liberalization of OEEC Imports 4 U.K., U.S., and EEC Shares of Selected Commonwealth Markets, 1953, 1959 5 Monthly Averages of U.K. Exports, 1953, 1959, 1960 6 Summary of U.S. Balance of Payments 7 Comparison of U.S., EEC, and I T A Reserves and Trade, 1953 and 1959 8 Comparison of Shares in World Market for Manufactures 9 Comparison of Shares in World Market for Major Classes of Manufactures 10 Increase of Exports of Manufactures to Major Markets, 1953-1958 11 Exports from Western Europe to the U.S. in Relation to Output in Western Europe and Consumption Expenditure in the U.S. 12 Prices and Export Volume of Manufactures, 1959 13 Price Movements in Metals and Metal-Using Industries 14 U.S. Industrial Wholesale Prices and European Export Prices, 1958 tx

7 23 26 107 108 128 130 140 141 142 143 148 150 150

x

Tables

15 16 17 18 19 20 21 22 23 24 25 26

1

U.S. Industrial Wholesale Prices and Import Prices, 1959 Commodity Prices in France, Germany, and the U.K. Compared to U.S. Prices Steel Prices in the U.S. and Selected Western European Countries, 1953 and 1958 Price Level for Producers' Equipment in Seven European Countries Compared to U.S. Price Level Duty Paid on U.S. Imports Wages and Productivity in Manufacturing, 1959 Growth Prospects of U.S. Exports to the EEC U.S. Investments in Western Europe: Selected List of New Operations by Industry and Country Growth in European Markets and Production, 19531959 Value of U.S. Direct Investments in Western Europe, 1953-1959 Returns on U.S. Investments in Manufacturing Average Hourly Wage Cost in Manufacturing, and Supply of Labor, 1959 Figures Organizational Institutions of the European Community

Appendix Tables 1 Original Common Market Schedule 2 Accelerated Common Market Schedule for Stage I

151 152 153 154 158 162 179 187 189 194 195 198 10 269 270

Forauord do not agree with all the statements and jjuigments which Professor Benoit makes in this book, I want to say what a stimulating and challenging contribution he has made D the discussion of one of today's most vital problems—the relatdoiship between the United States and the emerging United Europ