The SEM

Question 1

What was the motivation for establishing the SEM?

Answer 1

The motivation for an internal market was to avoid protectionism in the member states and promote economic expansion to compete with the US.

Question 2

When was the idea of the SEM introduced?

Answer 2

It was introduced in the Treaty of Rome (1958, EEC)

Question 3

What are the four freedoms?

Answer 3

Free movement of capital, goods, labour and people

Question 4

The internal market was freed in 1992, but what document had established the ‘rules’ of the SEM beforehand?

Answer 4

A white paper (1985) that deals with the four freedoms. It also established that tarif and non-tarif barriers to trade should be removed. This meant the harmonization of technical standards, indirect taxation and excise duties and furthermore should physical frontier controls be removed between member states.

Question 5

An intergovernmental conference was held to determine the decision-making process of the SEM, what was the outcome?

Answer 5

The outcome was the Single European Act where qualified majority voting was introduced in the Council of ministers to areas related to the SEM.