As Michael Keating (in Jones & Keating, 1995, p.1-4) puts it, the foundation of European Union was laid considering both political and economic reasons. Politically, it provided a base to restrict Germany and reduce possibility of a new war. It also strengthened western solidarity in cold war. The logic behind economic development was that increasing industrial development and free market economy which would provide a huge market after removal of tariff barriers. The member nations could compete with US and Japanese rivals. Political and economic motives spill over each other so economic integration would lead to political cooperation and European solidarity.
The economic and political aspects encourage regionalism. In 1960s many European states adopted regional development policies. It was to tap the underutilized resources of peripheral and declining regions and enhance national output. Politically these increased national unity and secured support to state or party in power. In fact, such a policy could win both by relieving congestion from developed regions and giving opportunity of growth to underdeveloped regions. Soon the political and economic leaders of peripheral regions found entry into the central politics and began to assert themselves, as a result conflict between central and regional politics developed. As happened with Wales and Scotland in UK. As a result nations participated in integration of European Union so that with a free trade the peripheral regions could attract capital mobility or investment towards themselves on account of low cost. The disparity may persist between central and peripheral regions yet the living standard of latter would increase. Though, peripheral regions could suffer also on account of poor infrastructure and technological developments. In fact, Scotland opposed union membership as it benefited England more than Scotland (Jones & Keating, 1995).
They further posit that integration brought new political and social effects and alliances. The regional efforts to consider indigenous development and influence community policies began as regions could not rely for same on central government. Autonomist and separatist regional governments flourished as free market economy reduced the cost of being separatist. Thus by being a member of EU, UK diverted the conflicting peripheral regions' attention towards gaining prosperity through free European market.
Sources:
Jones, J. B. & Keating, M. (1995) The European Union and the Regions, Oxford University
Press.
Pilkington, C. (2001) Britain in the European Union today, Manchester University Press.
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