José Manuel Barroso
José Manuel Durão Barroso is a Portuguese politician and economist, current serving as non-executive Chairman of Goldman Sachs International. He served as he was the 11th President of the European Commission and the 115th Prime Minister of Portugal. Durão Barroso graduated in Law from the Faculty of Law of the University of Lisbon, he subsequently obtained an Diploma in European Studies from the European University Institute, received a MA degree with honours in both Political Science and Social Sciences from the University of Geneva in Switzerland. His academic career continued as an assistant professor in the Faculty of Law of the University of Lisbon. Barroso did PhD research at Georgetown University and Georgetown's Edmund A. Walsh School of Foreign Service in Washington, D. C. but his CV does not list any doctoral degree. He is a 1998 graduate of the Georgetown Leadership Seminar. Back in Lisbon, Barroso became director of the Department for International Relations at Lusíada University. Barroso is now a policy fellow at the Liechtenstein Institute on Self-Determination at Princeton University and the Frederick H. Schultz Class of 1951 Visiting Professor of International Economic Policy at Princeton's Woodrow Wilson School of Public and International Affairs Woodrow Wilson School, where he teaches with Wolfgang F. Danspeckgruber on the EU in International Affairs.
Barroso teaches at the Graduate Institute of International and Development Studies and at the University of Geneva. At Católica Global School of Law, he teaches since 2015 the seminar on "The Dynamics of European Union Institutions", for both LL. M. programmes – Law in a European and Global Context and International Business Law. Barroso's political activity began in his late teens, during the Estado Novo regime in Portugal, before the Carnation Revolution of 25 April 1974. In his university days, he was one of the leaders of the underground Maoist MRPP. In an interview with the newspaper Expresso, he said that he had joined MRPP to fight the only other student body movement underground, controlled by the Portuguese Communist Party. Despite this justification there is a famous political 1976 interview recorded by the Portuguese state-run television channel, RTP, in which Barroso, as a politically minded student during the post-Carnation Revolution turmoil known as PREC, criticises the bourgeois education system which "throws students against workers and workers against students."
In December 1980, Barroso joined the right-of-centre PPD. In 1985, under the PSD government of Aníbal Cavaco Silva, 113th Prime Minister of Portugal, Barroso was named Under-Secretary of State in the Ministry of Home Affairs. In 1987 he became a member of the same government as he was elevated to Secretary of State for Foreign Affairs and Cooperation, a post he was to hold for the next five years. In this capacity he was the driving force behind the Bicesse Accords of 1990, which led to a temporary armistice in the Angolan Civil War between the ruling MPLA and the opposition UNITA, he supported independence for East Timor, a former Portuguese colony a province of Indonesia by force. In 1992, Barroso was promoted to the post of Minister of Foreign Affairs, served in this capacity until the defeat of the PSD in the 1995 general election. While in opposition, Barroso was elected to the Assembly of the Republic in 1995 as a representative for Lisbon. There, he became chairman of the Foreign Affairs Committee.
In 1999 he was elected president of his political party, PSD, succeeding Marcelo Rebelo de Sousa, thus became Leader of the Opposition. Parliamentary elections in 2002 gave the PSD enough seats to form a coalition government with the right-wing Portuguese People's Party, Barroso subsequently became Prime Minister of Portugal on 6 April 2002; as Prime Minister, facing a growing budget deficit, he made a number of difficult decisions and adopted strict reforms. He vowed to reduce public expenditure, which made him unpopular among leftists and public servants.. His purpose was to lower the public budget deficit to a 3% target, official data during the 2002–2004 period stated that the target was being attained. In March 2003, Barroso hosted U. S President George W. Bush, British Prime Minister Tony Blair and Spanish Prime Minister José María Aznar in the Portuguese island of Terceira, in the Azores; the four leaders finalised the controversial US-led 2003 invasion of Iraq. Under Barroso's leadership, Portugal became part of the "coalition of the willing" for the invasion and occupation of Iraq, sending non-combat troops.
Barroso did not finish his term as he had been nominated as President of the European Commission on 5 July 2004. Barroso arranged with Portuguese President Jorge Sampaio to nominate Pedro Santana Lopes as a substitute Prime Minister of Portugal. Santana Lopes led the PSD/PP coalition for a few months until early 2005, when new elections were called; when the Portuguese Socialist Party won the elections it produced an estimation that by the end of the year the budget deficit would reach 6.1%, which it used to criticise Barroso's and Santana Lopes's economic policies. In 2004, the proposed European Constitution and now the Treaty of Lisbon included a provision that the choice of President must take into account the result of Parliamentary elections and the candidate supporte
The Maastricht Treaty was signed on 7 February 1992 by the members of the European Community in Maastricht, Netherlands to further European integration. On 9 -- 10 December 1991, the same city hosted the European Council; the treaty founded the European Union and established its pillar structure which stayed in place until the Lisbon Treaty came into force in 2009. The treaty greatly expanded the competences of the EEC/EU and led to the creation of the single European currency, the euro; the Maastricht Treaty reformed and amended the treaties establishing the European Communities, the EU's first pillar. It renamed European Economic Community the European Community, to reflect its expanded competences beyond economic matters; the Maastricht Treaty created two new "pillars" of the EU on Common Foreign and Security Policy and Cooperation in the Fields of Justice and Home Affairs, which replaced the former informal intergovernmental cooperation bodies named TREVI and European Political Cooperation on EU Foreign policy coordination.
The Maastricht Treaty and all pre-existing treaties, has subsequently been further amended by the treaties of Amsterdam and Lisbon. Today it is one of two treaties forming the constitutional basis of the European Union, the other being the Treaty on the Functioning of the European Union. While the current version of the TEU entered into force in 2009, following the Treaty of Lisbon, the older form of the same document was implemented by the Treaty of Maastricht; the signing of the Treaty of Maastricht took place in Maastricht, Netherlands, on 7 February 1992. The Dutch government, by virtue of holding Presidency of the Council of the European Union during the negotiations in the second half of 1991, arranged a ceremony inside the government buildings of the Limburg province on the river Maas. Representatives from the twelve member states of the European Communities were present, signed the treaty as plenipotentiaries, marking the conclusion of the period of negotiations. Only three countries held referendums.
The process of ratifying the treaty was fraught with difficulties in three states. In Denmark, the first Danish Maastricht Treaty referendum was held on 2 June 1992 and ratification of the treaty was rejected by a margin of 50.7% to 49.3%. Subsequently, alterations were made to the treaty through the addition of the Edinburgh Agreement which lists four Danish exceptions, this treaty was ratified the following year on 18 May 1993 after a second referendum was held in Denmark, with legal effect after the formally granted royal assent on 9 June 1993. In September 1992, a referendum in France only narrowly supported the ratification of the treaty, with 50.8% in favour. This narrow vote for ratification in France, known at the time as the ‘petite oui’, led Jacques Delors to comment that,'Europe began as an elitist project in which it was believed that all, required was to convince the decision-makers; that phase of benign despotism is over.' Uncertainty over the Danish and French referendums was one of the causes of the turmoil on the currency markets in September 1992, which led to the UK pound's expulsion from the Exchange Rate Mechanism.
In the United Kingdom, an opt-out from the treaty's social provisions was opposed in Parliament by the opposition Labour and Liberal Democrat MPs and the treaty itself by the Maastricht Rebels within the governing Conservative Party. The number of rebels exceeded the Conservative majority in the House of Commons, thus the government of John Major came close to losing the confidence of the House. In accordance with British constitutional convention that of parliamentary sovereignty, ratification in the UK was not subject to approval by referendum. Despite this, the British constitutional historian Vernon Bogdanor suggests that there was “a clear constitutional rationale for requiring a referendum” based on the allocation of legislative power; the TEU entered into force on 1 November 1993. Treaties amending the TEU: Treaty of Amsterdam Treaty of Nice Treaty of Lisbon The treaty led to the creation of the euro. One of the obligations of the treaty for the members was to keep "sound fiscal policies, with debt limited to 60% of GDP and annual deficits no greater than 3% of GDP".
The treaty created what was referred to as the pillar structure of the European Union. The treaty established the three pillars of the European Union—one supranational pillar created from three European Communities, the Common Foreign and Security Policy pillar, the Justice and Home Affairs pillar; the first pillar was where the EU's supra-national institutions—the Commission, the European Parliament and the European Court of Justice—had the most power and influence. The other two pillars were more intergovernmental in nature with decisions being made by committees composed of member states' politicians and officials. All three pillars were the extensions of existing policy structures; the European Community pillar was the continuation of the European Economic Community with the "Economic" being dropped from the name to represent the wider policy base given by the Maastricht Treaty. Coordination in foreign policy had taken place since the beginning of the 1970s under the name of European Political Cooperation, first written into the treaties by the Single European Act but not as a part of the EEC.
While the Justice and Home Affairs pillar extended cooperatio
Economy of the European Union
The European Union is the second largest economy in the world in nominal terms and according to purchasing power parity or PPP. The European Union's GDP was estimated to be $18.8 trillion in 2018, representing ~22% of global economy. The euro, used by 19 of its 28 members, is the second largest reserve currency as well as the second most traded currency in the world after the United States dollar; the euro is the official currency in 25 countries, in the eurozone and in six other European countries or de facto. The European Union economy consists of an internal market of mixed economies based on free market and advanced social models; the GDP per capita was $37,800 in 2017, compared to $59,495 in the United States, $42,695 Japan and $16,636 in China. There are significant disparities in GDP per capita between member states ranging from $105,148 in Luxembourg to $21,678 in Bulgaria. With a low Gini coefficient of 31, the European Union has a more egalitarian repartition of incomes than the world average.
Major economic hubs and financial centres where the large number of institutions and banks is located are Amsterdam, Bucharest, Frankfurt, Göteborg, Lisbon, Madrid, Milan and Warsaw. Euronext is the main stock exchange of the Eurozone and the 7th world largest by market capitalisation. Foreign investments made in the European Union total $5.1 trillion in 2012, while the EU's investments in foreign countries total $9.1 trillion, by far the highest domestic and foreign investments in the world. Since the beginning of the public debt crisis in 2009, opposite economic situations have emerged between Southern Europe on one hand, Central and Northern Europe on the other hand: a higher unemployment rate and public debt in the Mediterranean countries with the exception of Malta, a lower unemployment rate with higher GDP growth rate in the Eastern and in Northern member countries. In 2015, public debt in the European Union was 85% of GDP, with disparities between the lowest rate, Estonia with 9.7%, the highest, Greece with 176%.
The ten largest trading partners of the European Union are the United States, Switzerland, Turkey, Norway, South Korea and India. The EU is represented as a unified entity in the World Trade Organization, the G-20 and G7, alongside with the EU's member countries participating. Beginning in the year 1999 with some EU member states, now 19 out of 28 EU states use the euro as official currency in a currency union; the remaining 9 states continued to use their own currency with the possibility to join the euro later. The euro is the most used currency in the EU. Since 1992 the Maastricht treaty sets out rigid economic and fiscal convergence criteria for the states joining the euro. Starting 1997, the Stability and Growth Pact has been started to ensure continuing economic and fiscal stability and convergence. Denmark and the United Kingdom, not members of the eurozone, have special opt-outs concerning the joining of the euro. Sweden can opt out by choosing when or whether to join the European Exchange Rate Mechanism, the preliminary step towards joining.
The remaining states are committed to join the euro through their Treaties of Accession. Starting with Greece in 2009, five of the 19 eurozone states have been struggling with a sovereign debt crisis, by many called the European debt crisis. All these states got bailout packages; as of 2015, all countries but Greece have recovered from their debt crisis. Other non-eurozone states experienced a debt crisis and went through successful bailout programmes, i.e. Hungary and Latvia; the operation of the EU has an agreed budget of €141 billion for the year 2011, €862 billion for the period 2007–2013, this represents around 1% of the EU's GDP. The services sector is by far the most important sector in the European Union, making up 74.7% of GDP, compared to the manufacturing industry with 23.8% of GDP and agriculture with only 1.5% of GDP. Financial services are well developed within the Single Market of the Union. Companies have a greater reliance on bank lending than in the United States, although a shift towards companies raising more funding through capital markets is planned through the Capital Markets Union initiative, the EU plan put forward by the Commission in September 2015 to mobilise the free movement of capital within the EU.
The plan aims "to establish the building blocks of an integrated capital market in the EU by 2019". The CMU initiative comprises 33 measures in all; the plan was updated in June 2017. The Commissioner for Financial Stability, Financial Services and Capital Markets Union, Valdis Dombrovskis, former Prime Minister of Latvia, is responsible for delivery of the initiative. Many EU cities are financial centres. For example, UK-located banks underwrite around half of the debt and equity issued by EU companies, UK-located banks are counterparty to over half of the over-the-counter interest rate derivatives traded by companies and banks in the EU, 30 million EEA policyholders are insured through an insurer based in the UK. Central counterparties located in the UK provide services to EU clients in a range of markets and asset managers operating in the UK account for 37% of all assets managed across Europe. According to the Global Financial Centres Index, after the United Kingdom leaves the EU in March 2019, the two larg
The business cycle known as the economic cycle or trade cycle, is the downward and upward movement of gross domestic product around its long-term growth trend. The length of a business cycle is the period of time containing a single boom and contraction in sequence; these fluctuations involve shifts over time between periods of rapid economic growth and periods of relative stagnation or decline. Business cycles are measured by considering the growth rate of real gross domestic product. Despite the often-applied term cycles, these fluctuations in economic activity do not exhibit uniform or predictable periodicity; the common or popular usage boom-and-bust cycle refers to fluctuations in which the expansion is rapid and the contraction severe. The first systematic exposition of economic crises, in opposition to the existing theory of economic equilibrium, was the 1819 Nouveaux Principes d'économie politique by Jean Charles Léonard de Sismondi. Prior to that point classical economics had either denied the existence of business cycles, blamed them on external factors, notably war, or only studied the long term.
Sismondi found vindication in the Panic of 1825, the first unarguably international economic crisis, occurring in peacetime. Sismondi and his contemporary Robert Owen, who expressed similar but less systematic thoughts in 1817 Report to the Committee of the Association for the Relief of the Manufacturing Poor, both identified the cause of economic cycles as overproduction and underconsumption, caused in particular by wealth inequality, they advocated government intervention and socialism as the solution. This work did not generate interest among classical economists, though underconsumption theory developed as a heterodox branch in economics until being systematized in Keynesian economics in the 1930s. Sismondi's theory of periodic crises was developed into a theory of alternating cycles by Charles Dunoyer, similar theories, showing signs of influence by Sismondi, were developed by Johann Karl Rodbertus. Periodic crises in capitalism formed the basis of the theory of Karl Marx, who further claimed that these crises were increasing in severity and, on the basis of which, he predicted a communist revolution.
Though only passing references in Das Kapital refer to crises, they were extensively discussed in Marx's posthumously published books in Theories of Surplus Value. In Progress and Poverty, Henry George focused on land's role in crises – land speculation – and proposed a single tax on land as a solution. In 1860 French economist Clément Juglar first identified economic cycles 7 to 11 years long, although he cautiously did not claim any rigid regularity. Economist Joseph Schumpeter argued that a Juglar cycle has four stages: Expansion Crisis Recession Recovery Schumpeter's Juglar model associates recovery and prosperity with increases in productivity, consumer confidence, aggregate demand, prices. In the 20th century and others proposed a typology of business cycles according to their periodicity, so that a number of particular cycles were named after their discoverers or proposers: The Kitchin inventory cycle of 3 to 5 years The Juglar fixed-investment cycle of 7 to 11 years (often identified as "the" business cycle The Kuznets infrastructural investment cycle of 15 to 25 years (after Simon Kuznets – called "building cycle" The Kondratiev wave or long technological cycle of 45 to 60 years Some say interest in the different typologies of cycles has waned since the development of modern macroeconomics, which gives little support to the idea of regular periodic cycles.
Others realize. Since 1960, World GDP has increased by fifty-nine times, these multiples have not kept up with annual inflation over the same period. Social Contract collapses for nations when incomes are not kept in balance with cost-of-living over the timeline of the monetary system cycle - until hardships/populism/revolution are always seen in late capitalism; the Bible and Hammurabi's Code both explain economic remediations for cyclic sixty-year recurring great depressions, via fiftieth-year Jubilee debt and wealth resets. Thirty major debt forgiveness events are recorded in history including the debt forgiveness given to most european nations in the 1930s to 1954. There were great increases in productivity, industrial production and real per capita product throughout the period from 1870 to 1890 that included the Long Depression and two other recessions. There were significant increases in productivity in the years leading up to the Great Depression. Both the Long and Great Depressions were characterized by market saturation.
Over the period since the Industrial Revolution, technological progress has had a much larger effect on the economy than any fluctuations in credit or debt, the primary exception being the Great Depression, which caused a multi-year steep economic decline. The effect of technological progress can be seen by the purchasing power of an average hour's work, which has grown from $3 in 1900 to $22 in 1990, measured in 2010 dollars. There were similar increases in real wages during the 19th century. A table of innovations and long
Politics refers to a set of activities associated with the governance of a country, or an area. It involves making decisions, it refers to achieving and exercising positions of governance—organized control over a human community a state. The academic study focusing on just politics, therefore more targeted than general political science, is sometimes referred to as politology. In modern nation-states, people have formed political parties to represent their ideas, they agree to take the same position on many issues and agree to support the same changes to law and the same leaders. An election is a competition between different parties; some examples of political parties worldwide are: the African National Congress in South Africa, the Conservative in the United Kingdom, the Christian Democratic Union in Germany and the Indian National Congress in India. Politics is a multifaceted word, it has a set of specific meanings that are descriptive and nonjudgmental, but does colloquially carry a negative connotation.
The word has been used negatively for many years: the British national anthem as published in 1745 calls on God to "Confound their politics", the phrase "play politics", for example, has been in use since at least 1853, when abolitionist Wendell Phillips declared: "We do not play politics. Politics is exercised on a wide range of social levels, from clans and tribes of traditional societies, through modern local governments and institutions up to sovereign states, to the international level. A political system is a framework; the history of political thought can be traced back to early antiquity, with seminal works such as Plato's Republic, Aristotle's Politics and the works of Confucius. The word comes from the same Greek word from which the title of Aristotle's book Politics derives; the book title was rendered in Early Modern English in the mid-15th century as "Polettiques". The singular politic first attested in English 1430 and comes from Middle French politique, in turn from Latin politicus, the Latinization of the Greek πολιτικός, meaning amongst others "of, for, or relating to citizens", "civil", "civic", "belonging to the state", in turn from πολίτης, "citizen" and that from πόλις, "city".
Formal politics refers to the operation of a constitutional system of government and publicly defined institutions and procedures. Political parties, public policy or discussions about war and foreign affairs would fall under the category of Formal Politics. Many people view formal politics as something outside of themselves, but that can still affect their daily lives. Semi-formal politics is politics in government associations such as neighborhood associations, or student governments where student government political party politics is important. Informal politics is understood as forming alliances, exercising power and protecting and advancing particular ideas or goals; this includes anything affecting one's daily life, such as the way an office or household is managed, or how one person or group exercises influence over another. Informal Politics is understood as everyday politics, hence the idea that "politics is everywhere"; the history of politics is reflected in the origin and economics of the institutions of government.
The origin of the state is to be found in the development of the art of warfare. Speaking, all political communities of the modern type owe their existence to successful warfare. Kings and other types of monarchs in many countries including China and Japan, were considered divine. Of the institutions that ruled states, that of kingship stood at the forefront until the American Revolution put an end to the "divine right of kings"; the monarchy is among the longest-lasting political institutions, dating as early as 2100 BC in Sumeria to the 21st century AD British Monarchy. Kingship becomes an institution through the institution of hereditary monarchy; the king even in absolute monarchies, ruled his kingdom with the aid of an elite group of advisors, a council without which he could not maintain power. As these advisors and others outside the monarchy negotiated for power, constitutional monarchies emerged, which may be considered the germ of constitutional government; the greatest of the king's subordinates, the earls and dukes in England and Scotland, the dukes and counts in the Continent, always sat as a right on the council.
A conqueror wages war upon the vanquished for vengeance or for plunder but an established kingdom exacts tribute. One of the functions of the council is to keep the coffers of the king full. Another is the satisfaction of military service and the establishment of lordships by the king to satisfy the task of collecting taxes and soldiers. There are many forms of political organization, including states, non-government organizations and international organizations such as the United Nations. States are the predominant institutional form of political governance, where a state is understood as an institution and a government is understood as the regime in power. According