Turning point in the evolution of the Global Political Economy: The formation of the European Coal and Steel Community

The formation of the European Coal and Steel Community (ECSC) is a significant turning point in the evolution of global political economic community because it marked an effort to legitimise the control of the production of materials used in war through economic means. In addition to a treaty to ensure security from war, as Lim (2014, p.136)  stated “there were other political objectives, too, including creating a regional economic bloc that could negotiate on more even terms with the United States”.

The ECSC was a significant creation as it was a development on how the victors of this world war dealt with the antagonists. Whether you agree with it or not, the previous approach of the Treaty of Versailles resulted in the crippling of the German economy which created the atmosphere for extreme nationalism to flourish into a significant enough force to be an important causal factor in a second world war only 20 years later.

The ECSC created a system of mutual holding to account; the treaty did not single out or cripple one particular country but instead brought the majority of the key players of world war 2 onto a level playing field. In Article 1 of the treaty, it clearly highlights the ECSC as a group endeavour and project by emphasising that it is founded upon a common market/ objectives/ institutions. As well as this, it was committed to the development and improvement of employment and living standard as indicated in Article 2 of the ECSC treaty. These two primary articles of the treaty represent the burgeoning start of not just an economically cooperative community but one that shares a common culture and political ethos.

In conclusion, I believe that the formation of the European Coal and Steel Community was one of the most significant turning points in global political economy and resulted in arguably the most powerful trading bloc in our current global political economy. According to O’Brien et al. (2016, p.88)  this was because of the “continuation of a process of co-operation initiated by the European Coal and Steel Community in 1951”.

References:

O'Brien, R. and Williams, M. (2016) Global Political Economy: Evolution and Dynamics [online]. 5th ed. London: Palgrave Macmillan. [Accessed 30 November 2020].

European Coal and Steel Community. (1951) Treaty establishing the European Coal and Steel Community and Annexes I-III. Available from: https://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=CELEX:11951K:EN:PDF [Accessed 30 November 2020]

Lim, T. (2014) International Political Economy: An Introduction to Approaches, Regimes, and Issues [online]. Washington Dc: Saylor Foundation. [Accessed 30 November 2020].