The Creation of a Common Market for Financial Services in the European Union Essay Example for Free

The Creation of a Common Market for Financial Services in the European Union Essay Of all the global achievements in the last 50 years, economic integration in Europe may be considered as the most notable of all. From a continent separated by war and differences in culture, Europe has proceeded to become an economic and political leader today. The formation of the European Union (EU), the accession of the 15 European countries to the Community, and the introduction of a single currency which were all deemed too difficult have all become realities, proving skeptics that there is hope for a united Europe. From the beginning, the idea behind united Europe centered on economic prosperity. While conflicts in European countries were political in nature, it was almost always related to resource allocation. The signing of the Treaty of Rome in 1957 signaled the start of a gradualist approach to building the European Union as we know today. By preventing the establishment of monopolies, enabling the creation of common policies and granting commercial privileges to the colonies of the Member States, the Treaty of Rome put into motion the progressive economic integration which in turn, led to the longer term objective of political union in the continent (Ocana 2003). The Treaty of Rome paved the way for the creation of a common market wherein persons, services and capitals can freely move across borders. Yet, despite the freedom of establishment set out in Article 43, the freedom to provide cross border services as provided by Article 49 and the free movement of capital espoused by Article 59 (European Council 1957), the focus in these early years were mainly on the abolition of tariffs and excise taxes. Following the recession in the early 1980s (also termed as eurosclerosis), the Heads of States have decided to complete the plans for an internal market. As early as 1985 the potential of a common market for financial services was already recognized. In the 1985 White Paper published by the Commission of the European Communities, it said: â€Å"In the Commission’s view, it is no exaggeration to see the establishment of a common market in services as one of the main preconditions for a return to economic prosperity†¦the liberalization of financial services will represent a major step towards Community financial integration and the widening of the Internal Market† (Commission of the European Communities 1985). This is a fact that the modern day European Commission (EC) still believes in. With more efficient allocation of capital, the Commission hopes to ensure long-term economic performance. More than 20 years after the publication of the 1985 White Paper, Europe is in economic turmoil. Critics have started pinpointing the flaws of creating the EU, and the Commission must again enumerate the advantages of an integrated financial market, as well as report on the developments aimed at this direction. What are the different steps made toward financial integration? What are the specific features of the liberalization program? What are the results achieved from these reforms? These are just some of the issues which will be discussed in this paper. What does a Single Market Look Like? While so many legislators talk about the Single Market for financial services, very few actually understand what it is, and what can be expected from it. In sum, however, a fully functioning unified market allows buyers and sellers of assets to deal with one another, regardless of the location of their systems and infrastructure. It allows market participants, both the intermediaries (brokers) and the end users, to raise funds and profit in all Member States without fulfilling additional licensing requirements. Financial institutions which legally operate in one Member State can open new cross border operations without needing to pay additional fees or acquiring new certification from the host country. These same institutions are also given access to all essential systems and infrastructures they will need to continue their operation (The Working Group in City of London 2000). All financial institutions duly licensed in their home countries can work as intermediaries in the financial market offering the same functions, products and services across all Member States. In the same manner, infrastructure providers are free to offer their services in any country which belongs to the EU (The Working Group in City of London 2000). Needless to say, a Single Market is a venue for competition and innovation. It enables Member States to take advantage of the opportunities offered by the 27 countries and 480 million people in the Community without worrying about the risks. It allows Member States to take advantage of the benefits of free trade, while at the same time erecting safeguards that can protect their own economy from increasing volatility which is a major characteristic of globalization. The Benefits of a Single Market According to the EC, the completion of a â€Å"single market [for] financial services is†¦a crucial part of the European Commission’s overriding objective of achieving more and better jobs in a more dynamic, innovative, attractive Europe† (European Commission 2010). Keep in mind that the financial market deals mainly with savings (whether individual or institutional) which can then be used as capital. With a Single Market for financial services, Member States can hope to achieve the following advantages (The Working Group in City of London 2000: pp. 7-8): †¢ Improved allocation of capital, due to the lower transaction costs and higher market liquidity. †¢ More efficient movement in the security market which allows savings to become investments. †¢ More innovative financial systems which lead to a diversified (hence, a more stable) portfolio of investments. †¢ More efficient financial transactions as brought about by the competition among financial intermediaries in the EU. †¢ Increased opportunity to take advantage of the economies of scale. In the 1985 White Paper, it was stated that in order for the internal market to become a possibility, firms and private individuals must have access to more efficient financial services. With open competition among financial institutions, they will be forced to reevaluate their processes so that restrictions to capital movements are kept to a minimum (Commission of the European Communities 2005). The White Paper also believed that more efficient financial transactions will reinforce the European Monetary System and ensure the stability of the exchange rate (Commission of the European Communities 2005). Even in those early days, it was already known that the free movement of capital coupled with greater financial freedom will enable Member States to enact sound economic policies, hence, promote economic stability. In recent years, the need for a Single Market for financial services has become even more important. With the improvement in technology came the increased access to knowledge and information, which in turn affected strategic decisions and competition. In order to survive a globalized economy, companies have to find more efficient processes so that they can take advantage of the economies of scale. And yet, even the creation of efficient processes will require capital. With lesser restrictions among EU countries, companies can now raise funds from any side of the Community. Aside from this, the high interest rates have led to the increase in the demand for high-yield securities and assets, but with the deceleration in productivity came the need to manage portfolios more actively. Investors have become more wary and will not release capital without the assurance of profit. With a Single Market for financial services, the EU has provided stability in portfolios because of the increase in the number of investment tools available in the Community. A Single Market for financial services allows capital to flow smoothly because it provides investors an attractive market where there are more opportunities to pool risk, as well as improved chances to profit. With the increase in the flow of investments in all financial institutions in the EU, businesses can have additional sources of capital which they can then use to expand their operations, and provide employment. The â€Å"achievement of the Single European financial market is the most crucial [factor] in creating the most competitive and dynamic knowledge-based economy in the world, capable of sustainable growth with more and better jobs and greater social cohesion† (The Working Group in City of London 2000: pp. 8). For citizens, a single market for financial services meant that the capability to open bank accounts in any country in the EU, buy and sell shares in foreign companies, purchase real estate – basically to find an investment with the best return. On the other hand, for companies, it means the ability to invest (and own) other European companies and play a big role in their management. The financial market is a global industry where global players seek international markets which will give the best advantages in terms of cost, profit, flexibility and liquidity. An integrated European financial market makes available a number of opportunities – from retail investors, to wholesale financial markets for global traders. Steps toward Financial Integration in the EU The move towards financial integration in the EU can be traced as far back as the 1970s with the release of the major directives in banking, insurance and investments. The first banking directive focused on the establishment of credit institutions within the Community. According to this directive, all banks operating in the Community which have plans of establishing operation on another country must obtain authorization from the supervisory body of the host country. At the time, European Community (EC) banks were subject to restriction, especially in the range of activities they can perform. Many of these restrictions are listed on the General Agreement on Trade in Services (GATS). Keep in mind, however, that this directive has been issued in the 1970s while the similar legal framework from the World Trade Organization (WTO) was released only in the 1990s. By 1989, a new banking directive was released. The second directive introduced a single banking license wherein the bank’s home country is responsible for checking the financial institutions’ overall solvency, and the fulfillment of minimum capital requirements. Once the bank was licensed in its home country, it can then expand its operations to other Member States without completing separate authorization requirements (Pasadilla 2008: pp. 3). Aside from these two directives, other directives affecting banking policies were released. Some of them were involved the harmonizing of accounting rules, the removal of exchange controls, the setting of minimum capital requirements, and the definition of banking activities. Integration in insurance and investment mirrors the same steps made in banking. Major directives were also released, each one amending the previous. The first directive in this sector paralleled the first banking directive wherein authorization procedures were outlined. In a subsequent directive, the home country control was enhanced and certain supervisory provisions were specified.

Gun Control: Opposing the Removal of Guns from American Citizens Essay

Because of many incidents involving handguns, and any other type of gun, the government has been trying to push a gun ban law. As a result of this rumor and possible law, there have been numerous outbursts of support and resistance. Some people believe that banning firearms would be a benefit to our nation’s safety and its population’s safety, while others oppose this proposal and say that guns are not the ones that need to be controlled, people should be the ones that are controlled. During this decision, people from different organizations have expressed their own views and thoughts. Gun control has both positive and negative effects on U.S. citizens. Some organizations report that the removal of firearms will reduce crime rates, deaths, and injuries from guns(Handgun Control Debate). An organization known as â€Å"The Brady Center† says that the Second Amendment does not state that people can carry and own handguns and be protected by its laws(Handgun Control Debate). The Brady Center also argues that if a larger amount of guns are available to a child’s reach, there will be more injuries and fatalities among minorities, so they are also trying to present laws and proposals that will protect children from handgun injuries(Handgun Control Debate). Claire Safran states that in Seattle, Washington, guns are plentiful and that there could be more deaths and injuries in that city than others because of the amount of illegal handguns in the city that owned by gangs and criminal organizations(Roleff, 17). Carl T. Bogus, a visiting professor at Rutgers University School of Law Enforcement in Camden, New Jersey says that private ownership of guns is hazardous to American citizen’s safety, and suggests that all handguns should be o... ...As we know it, this law on either protecting gun rights or taking them and the guns away will surely change the United States future. Works Cited Cold Comfort: A Interview With John R. Lott. Lynch, Michael W., and Jacob Sullum. Reason. 3 Dec. 2009. . Elder, Larry. â€Å"More Gun Control, Please!† Capitalism Magazine. 24 Oct. 2002. 1 Dec. 2009. â€Å"Gun Control.† Encyclopedia4U. 2005. 1 Dec. 2009. Handgun Control Debate. Awesome Library. 1 Dec. 2009. Roleff, Tamara L., ed. Gun Control: Opposing Viewpoints. San Diego: Greenhaven Press, 1997.

Early 1920s and Hitler’s Rise to Power

The Rise of Hitler 1. Why did so many German people join the Nazi Party? In the early 1920s, Germany was especially hard-hit during the Great Depression after the first World War, mainly because of the Treaty of Versailles, which made Germany go into an extreme hyperinflation. People could not buy anything with a reasonable price. In 1922, a loaf of bread costed 163 marks. In September 1923, it would have costed 1,500,000 marks and in November of that same year which was the peak of the hyperinflation, the loaf of bread would be worth 200,000,000 marks.Prices were going up faster than people could spend their money. Naturally, workers were unhappy with the social and economic conditions in Germany. Then came Adolf Hitler, who formed a party known as the Nazis which promised many things that the workers and the people of Germany wanted and implemented his ideas through his propaganda. Hitler told people that he would make sure everybody got a job and that he would help the peasants. T hese ideas were implemented into his propaganda and proved to be very effective. . Why did the Munich Putsch 1923 fail? The Munich Putsch of 1923, also known as the Beer Hall Putsch was Adolf Hitler’s attempt to overthrow the Weimar government of Ebert and establish a nationalistic one instead in its place. The Munich Putsch failed because of several factors. First, Hitler had only about 35,000 supporters at that time so there was a shortage of rebels. Second, the Kahr had called in army and police reinforcements and 16 Nazis were killed.Hitler was threatening to shoot anyone that left the Beer Hall and didn’t rebel so not everyone was happy about participating in it, so when the police and army reinforcements came, most of them fled since they didn’t even want to be there in first place. Overall, the reason for the Munich Putsch failing is because the Nazis, despite not having enough supporters at the time, tried to force itself into power against superior mili tary and political forces. 3. Why did Hitler receive such a light sentence at his trial for treason?What were the consequences of his trial and time spent in prison? In 1923, after being arrested for participating in the Munich Putsch, Hitler served a fairly light sentence of 5 years and a 200 mark fine after being accused of high treason. Hitler actually only served 9 months of those 5 years in prison. However, the usual consequence of high treason was death. The question is, why didn’t Hitler get executed? In the courtroom at the time of the trial, Hitler used that time to make another one of his speeches, causing more people to join his cause.This also made the judge like him, so the judge gave him a particularly light sentence. However, even if the judge didn’t like him, he would have gotten a lighter sentence anyways. This is because there were many more German people supporting Hitler now and if the judge sentenced Hitler to death, then that might have caused an uprising or a protest. Therefore, the judge decided to send him to pay a 200 mark fine and serve a 5 year prison sentence, although he would be eligible for parole after 9 months.

What Teachers Do Beyond the Classroom Is Critical

Many people believe that teachers have an easy job in part because they have the summers off and multiple days off for several holidays.   The truth is that teachers spend almost as much time working when students are gone as they do when students are in class.   Teaching is more than 8-3 job. Good teachers stay at school late into the evening, continue to work once they get home, and spend hours on the weekend preparing for the upcoming week.   Teachers often do amazing things beyond the classroom when no one is looking. Teaching is not a static job where you leave everything at the door and pick it back up the next morning.   Instead, teaching follows you wherever you go. It is a continuous mindset and state of mind that is rarely turned off. Teachers are always thinking about their students. Helping them learn and grow consumes us. It causes us to lose sleep sometimes, stresses us at others, yet provides us joy constantly.   What teachers truly do is not completely understood by those outside of the profession. Here we examine twenty critical things that teachers do once their students are gone that makes a significant impact.   This list only offers some insight into what teachers do once their students leave and is not comprehensive. Actively Participate on a Committee Most teachers set on various decision-making committees throughout the school year. For example, there are committees in which teachers help formulate a budget, adopt new textbooks, craft new policies, and hire new teachers or principals.   Sitting on these committees can require a lot of extra time and effort, but give the teachers a voice in what is happening within their school. Attend Professional Development or Faculty Meeting Professional development is an essential component of teacher growth and improvement. It provides teachers with new skills they can take back to their classroom.   Faculty meetings are another requirement held several times throughout the year to allow collaboration, present new information, or simply to keep teachers up-to-date. Breaking Down Curriculum and Standards Curriculum and standards come and go. They are cycled through every few years.   This ever revolving door requires teachers to break down the new curriculum and standards they are required to teach constantly. This is a tedious, yet necessary process in which many teachers dedicate hours to conducting. Clean Up and Organize Our Classrooms A teacher’s classroom is their second home, and most teachers want to make it comfortable for themselves and their students. They spend countless hours cleaning, organizing, and decorating their classrooms. Collaborate with Other Educators Building relationships with other educators are essential. Teachers spend a lot of time exchanging ideas and interacting with one another.   They understand what each other are going through and bring a different perspective that can help solve even the most difficult of situations. Contact Parents Teachers call email and message parents of their students continuously.   They keep them up-to-date on their progress, discuss concerns, and sometimes they just call to build rapport.   Additionally, they meet face-to-face with parents at scheduled conferences or whenever a need arises. Extrapolate, Examine, and Utilize Data to Drive Instruction Data drives modern education. Teachers recognize the value of data. When they assess their students, they study the data, looking for patterns, along with individual strengths and weaknesses. They tailor lessons to meet the needs of their students based on this data. Grade Papers/Record Grades Grading papers is time-consuming and tedious. Though it is necessary, it is one of the most boring parts of the job.   Once everything has been graded, then they must be recorded in their gradebook.   Thankfully technology has advanced where this part is much easier than it once was. Lesson Planning Lesson planning is an essential part of a teacher’s job.   Designing a week’s worth of great lessons can be challenging.   Teachers must examine their state and district standards, study their curriculum, plan for differentiation, and maximize the time they have with their students. Look for New Ideas on Social Media or Teacher Websites The Internet has become a focal point for teachers. It is a valuable resource and tool full with new and exciting ideas. Social media sites such as Facebook, Pinterest, Twitter also allows a different platform for teacher collaboration. Maintain a Mind of Improvement Teachers must have a growth mindset for themselves and their students. They must always be searching for the next great thing. Teachers must not become complacent. Instead, they must maintain a mind of improvement constantly studying and looking for ways to improve. Make Copies Teachers can spend what seems like an eternity at the copy machine.   Copy machines are a necessary evil that becomes even more frustrating when there is a paper jam. Teachers print all sorts of things such as learning activities, parent information letters, or monthly newsletters. Organize and Oversee School Fundraisers Many teachers conduct fundraisers to fund things such as equipment for their classrooms, a new playground, field trips, or new technology.   It can be a taxing endeavor to count and receipt all of the money, tally and submit the order, and then distribute all of the merchandise when it comes in. Plan for Differentiation Every student is different. They come with their own unique personalities and needs. Teachers must continuously think about their students, and how they can help each one. It takes a lot of time and effort to accurately tailor their lessons to accommodate each student’s strengths and weaknesses. Review Instructional Strategies Instructional strategies are a critical component of effective teaching.   New instructional strategies are being developed all the time.   Teachers must familiarize themselves with a wide variety of strategies to meet each of their student’s needs. Strategies that work well for one student or class may not necessarily work for another. Shop for Classroom Activities and/or Student Needs Many teachers invest hundreds to thousands of dollars out of their own pocket for materials and supplies for their classroom every year.   They also purchase materials such as clothing, shoes, and food for needy students.   Naturally, it takes time to go to the store and grab these items. Study New Educational Trends and Research Education is trendy. What is popular today, likely will not be popular tomorrow. Likewise, there is always new education research that can be applied to any classroom. Teachers are always studying, reading, and researching because they do not want to miss an opportunity to improve themselves or their students. Support Extra-Curricular Activities Many teachers double as coaches or sponsors of extra-curricular activities. Even if they do not draw an extra-duty assignment, it is likely that you will see several teachers in the audience at events. They are there to support and cheer on their students. Volunteer for Extra-Duty Assignments There are always opportunities for teachers to assist in other areas around the school. Many teachers volunteer their time to tutor struggling students. They keep gate or concession at athletic events. They pick up trash on the playground. They are willing to help out in any area of need. Work Another Job As you can see from the list above, a teacher’s life is already very busy, yet many work a second job. This is often out of necessity. Many teachers simply do not make enough money to support their family.   Working a second job cannot help but impact a teacher’s overall effectiveness.