The Icelandic Canadian - 01.06.1973, Page 46

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THE ICELANDIC CANADIAN
SUMMER 1973
The European Economic Community
and Canada
by W. Kristjanson
I. Post War Conditions
At the end of the second world war
the economics of most of the Euro-
pean countries were in ruins. It was
felt imperative that war-torn Europe
should be organized in such a way
that war between the Western Euro-
pean countries could not recur. This
feeling found expression in the form-
ation of several international organ-
izations for defence, economic, social,
cultural, and political cooperation.
There was the Western Union (1940)
the Council of Europe (1949); NATO
(ultimately with sixteen members
(1949); the European Coal and Steel
Community (1950-52); the Western
European Union (1954); and the Euro-
pean Atomic Energy Community
(1957).
There was achievement, as in
NATO, but generally progress until
now has been difficult, halting, and
limited. The Coal and Steel Commun-
ity was to have some supra-national
characteristics but “turned out to be
something of a disappointment,
especially to the high-minded founders
of it”. Nevertheless, direction was
maintained. “Against this background
of increasing stability in Europe and
defence cooperation through NATO
the economies of Western European
nations were fast recovering.”
The European Economic Community
Community Formed
A broader approach to a European
Community with supernational pow-
ers was realized in the formation of
the European Economic Community
(EEC) in 1957. Six countries partic-
ipated: Belgium, France, Italy, Luxem-
bourg, the Netherlands and West Ger-
many. The basic objective was the
improvement of working and living
conditions, and the initial steps were
to be the establishment of a customs
union, with the abolition of internal
tariffs and barriers and a common ex-
ternal tariff, a common policy for
agriculture, and the introduction of
measures to establish the free move-
ment of labor, capital, and services.
The new organization was subject-
ed to serious difficulties in the early
1960’s. From July 1965 to February
1966 France did not participate in
Community meetings because of a
decision taken by President de Gaulle.
But the Community survived and was
established on a firm basis.
The European Free Trade Association
Seven countries: Austria, Britain,
Denmark, Norway, Portugal, Sweden,
and Switzerland, formed a European
Free Trade Association (EFTA) in