18-12-2001 20:14									#91
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The EU still does not have any taxation or redistributive powers, however. This is particularly significant because as long as constituent countries hold these powers, citizens will view the EU as distant and unconnected to the people. It is important to realize that the EU does not rule the people; it governs various rules among the nations, but does not actually rule the people.

	18-12-2001 20:28									#92
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"The EU still does not have any taxation or redistributive powers, however."

Those are matters different from economic regulation.

On taxation we have harmonization of indirect taxes; related to this is the EU share of VAT (~1-1.4 % of the VAT base IIRC).

Ad redistribution, there is some through the structural funds and the coherence fund... this is small though at maybe 0.3-0.4 % of GDP.

"It is important to realize that the EU does not rule the people; it governs various rules among the nations, but does not actually rule the people."

Among nations ? Not only. EU law (esp. EC law, disputed for 2nd and 3rd pillar) has direct effect/is directly applicable (in the member states, on the people) and takes precedence over national law. This is one of the key reasons why the EU is described as supra-national, not inter-national.