Europe: Environmental Review





Europe: Environmental Review

Introduction

The European Union (EU) is the result of the unification of 27 countries. These states are united to develop an economic and political community. At the beginning, the idea of European Union may seems simple, but the member states have rich and sometime hostile history. For example, Germany and France in history have acrimonious relations with each others. But after the World War II, European states realized that war is not the solution for the misery of mankind, and it will be good for Europe to forge relations on the basis of common objectives based on common economic, social and political grounds. In 1950, six European states took the initiative to work collectively, and they developed European Coal and Steel Community. These countries are Germany, France, Italy, Belgium and Luxembourg and Netherland. These states are commonly referred as founding members.

Currently European states have a common currency and common market place and single market provided its members easier trade facilities and allows them to interact on the number of security and environmental issues. Single and common European market is the source of strength for European countries. In the last five years, there is economic meltdown witnessed by almost all developed countries including United States of America. Euro zone also suffered some economic and financial problem. Different European countries were provided with bail-out program. Nevertheless some European countries remained immune to international economic meltdown. Germany is one of them. Germany has shown relatively better economic performance during the time of economic recession.

Discussion

Demography of Germany

The population of Germany is 82 million, and its population is the largest among European states and the population growth rate of Germany is the -0.2 percent in 2012, which implies the average annual percent change. Economically, Germany is the fifth largest economy of the world and the largest economy among the European countries. Germany exports number of item all around the world and most important of these items are vehicles, machinery, household equipments and chemicals. The labour force of Germany is highly skilled, and it is the main source of its economic power. Germany like its western neighbouring countries faces important challenges of demographic changes. This challenge poses a threat for Germany to sustain in the long term. Its declining immigration rate and low fertility rate are continuously asserting pressure on the social welfare system of the country, and it requires structural reforms (Muller, 2004).

Economic Outlook

Being the member European, the currency of Germany is euro, and the exchange rate of the euro is stable as the US dollar. The unemployment rate of Germany is around 5.50 percent which is relatively low comparing it with the rest of the European states. The overall economic conditions of Germany are quite better, and it has shown impressive resilience during the years of global economic uncertainty. The Gross Domestic Product of Germany is more than $3 trillion, and its foreign direct investment is $ 40 ...