Who does what and why

The European Union's activities cover all areas of public policy, from health and economic policy to foreign affairs and defence. However, the extent of its powers differs greatly between areas.

A key activity of the EU is the establishment and administration of a common single market, consisting of a customs union, a single currency (adopted by 12 of the 25 member states), a Common Agricultural Policy, a common trade policy, and a Common Fisheries Policy.

In order to understand what the European Union does nowadays, you have to know its history, as well.

Following the catastrophes of the First World War and the Second World War, the need for the founding of (what was later to become) the European Union greatly increased, driven by the determination to rebuild Europe and to eliminate the possibility of another war. This sentiment eventually led to the formation of the European Coal and Steel Community by (West) Germany, France, Italy and the Benelux countries. This was accomplished by the Treaty of Paris in 1952.

The first full customs union was originally known as the European Economic Community established by the Treaty of Rome implemented on 1 January 1958. This later changed to the European Community. The EU has evolved from a trade body into an economic and political partnership.

Signing ceremony of the Treaty of Rome, 1957

As the changing name of the European Union (from European Economic Community to European Community to European Union) suggests, it has evolved over time from a primarily economic union to an increasingly political one. This trend is highlighted by the increasing number of policy areas that fall within EU competence: political power has tended to shift upwards from the member states to the EU.