Why was The European Union formed? To cut it short, economic reasons formed the backbone for the creation of the European Union. All member nations obey a set of rules to unite the market. It does not go ahead to make Europe and its people united with easily accessible borders and free movement of both people and goods. Let’s have a look of the development of ECSC, the precursor of EU, and we will have a clearer picture of the reason.
ECSC-European Coal and Steel Community laid the foundation that helped develop the European Union as we have it today. Formed in 1951 during the Cold War with six nations, with the aim of unifying the whole of Western Europe, the mean goal of it was to form a unified market system all over Europe as a means of providing stability to the markets and preventing division amongst unified colonies. The European Union mostly followed the same path. The main reason for establishment of the EU was to form a unified European market for the facilitation of trade and synergistically grow the economy. This has led to the formation of the European bank and the Euro. The Euro is created to be a rival currency to the dollar.
The European Union remains a super national arrangement. Each of the countries retains its sovereignty so there is no basis for comparison between the EU and the United States in any way. Nevertheless, it attempts to unite each country's advantages to having a single super economy. It has also grown into several other transnational matters, like the military, environment, agriculture, and many more. Nevertheless, each individual state holds majority of the power.
To know more about the history of EU, please check The History of European Union.
Or to know more about EU, please visit Official Website of the EU.