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The European Union (EU) is an intergovernmental and supranational union of 25 democratic member states. The European Union is the world's largest confederation of independent states, established under that name in 1992 by the Treaty on European Union (the Maastricht Treaty). However, many aspects of the Union existed before that date through a series of predecessor relationships, dating back to 1951.[1]

The Union currently has a common single market consisting of a customs union, a single currency managed by the European Central Bank (so far adopted by 12 of the 25 member states), a Common Agricultural Policy, a common trade policy, and a Common Fisheries Policy.[2] A Common Foreign and Security Policy was also established as the second of the three pillars of the European Union. The Schengen Agreement abolished passport control, and customs checks were also abolished at many of the EU's internal borders, creating a single space of mobility for EU citizens to live, travel, work and invest. [3]

The most important EU institutions include the Council of the European Union, the European Commission, the European Court of Justice, the European Parliament, the European Council, and the European Central Bank. The European Parliament's origins go back to the 1950s and the founding treaties, and since 1979 its members have been elected by the people they represent. Every five years elections are held in which registered EU citizens may vote.

The European Union's activities cover most areas of public policy, from economic policy to foreign affairs, defense, agriculture and trade. However, the extent of its powers differs greatly among areas. In some the EU may resemble a federation (e.g. on monetary affairs, agricultural, trade and environmental policy, economic and social policy), in others a confederation (e.g. on home affairs), and in yet others an international organization (e.g. in foreign affairs).