Economic Union of East Alaxia

The Economic Union of East Alaxia is a bill proposed by the Kingdom of Empherias in a bid to unite East Alaxian nations economically during the Great War, and post war. The bill was proposed two times to Karkuss, Palakkinen, Ahitereira-Koresa and the Hveden Federation. Nothing ever came of the bill and was spiritually succeeded by the High Kingdoms of Alaxia - a political and economic union between Empherias, Ahitereira-Koresa and other nations in Alaxia.

Policies

First Treaty of Esthullen (2415)

A first draft was styled as such:

• The HEK Alliance is dissolved as of immediate affect, from our point of view (we've left but there's not much point of it existing anymore) As the second recession hits our nations, the massive limitations the gold standard has for our nations is clear.
• Sign all the clauses that seem the best for your nation. You could only join the first agreement of the EUEA, or you could join just the EUEA and the EUEA-CC or just the EUEA and the EUEA-FTA.

Clause A - Base Economic Union of East Alaxia Agreement (EUEA)

• the abolishment and dissolution of the gold standard.
• implementation of a central bank either independently or as part of the EUEA-CC.

Clause B - Economic Union of East Alaxia, Free Trade Agreement Clause (EUEA-FTA)

• free trade agreements setup between all member states of the new agreement to stop harsh tariffs and allow free movement of goods to supply each other.
• maintain constant transport links with all bordering nations within the agreement.

Clause C - Economic Union of East Alaxia, Removed Border Control Clause (EUEA-RBCC)

• all border control passing through member states of this agreement will be demilitarised and unguarded.
• government agencies to stop smuggling will be be unified into a EUEA Anti-Smuggling Unit to which each member state will pay an equal budget of.
• member states of this agreement will enter negotiations to adopt the same or similar policies on banned items, imports or exports.

Clause D - Economic Union of East Alaxia, Economic Commission (EUEA-CC)

• a united economic commission between all nations that would control all foreign trade agreements from outside the EUEA entering into EUEA-CC nations.
• EUEA-CC nations controlled by a governing body made up of representatives from each member state in the agreement, and budget consisting of equal payment from each member state.
• a united policy on food and product standards

Clause E - Economic Union of East Alaxia, United Central Bank (EUEA-UCB)

• a united central bank between all nations that would control the printing of currency and the amount of money in circulation throughout the union.

Karkuss was willing to join, with the amendment of a few clauses, while Ahitereira refused half of the terms in the treaty. Hveden failed to respond alongside Palakkinen. The idea was shelved until the end of the war. Elizabeth Rose mentioned the project in 2424 and announced her successor as Prime Minister of Empherias would begin talks again. These talks began in 2426 and formulated:

Second Treaty of Esthullen (2426)

The draft was styled as such:

Article 1

• The HEK Alliance is formally dissolved.
• All member states will be invited to East Alaxia.

Article 2

• All nations who agree will abolish the Gold Standard.
• All nations who agree will agree to join a centralised Central Bank eventually (realistically this means the deadline is never).
• At the current time, a centralised Central Bank has not been created.
• This central bank will manage and print the new unified currency.
• All nations who agree will agree to join a unified currency eventually, once economic goals are met (again, realistically this means no deadline).
• At the current time, no unified currency has been created.
• Economic goals can be manipulated not to join.
• Nations can separately sign agreements to avoid having to join a centralised Central Bank and a unified currency.

Article 3

• All nations who agree will create free trade agreements with every single other nation.
• This will allow free movement of goods >>This will allow the demilitarisation of most borders (with exceptions).
• This will allow national companies to work in other nations (available for exceptions).
• The EULA will not allow for a Schengen-like area, but these arrangements can be made from country to country.
• A new government agency will be established to prevent smuggling into a unified EUEA Anti-Smuggling Unit to which each member state will pay equal budget.

Again, the idea with rejected by Ahitereira, this time due to the idea of a united mandatory single currency, although it was outlined that the deadline to join was basically infinite. No response was given from Karkuss or Hveden. During private talks with Empherias, Palakkinen announced they were interested in the idea, given a few amendments like the Central Bank being placed in an semi-independent city state. Empherias is set to draft a Third Treaty of Esthullen to iron out any fine details and allow for possible Palakkinen and Ahitereira to join in the coming years. An early draft of the EULA treaty is set to be written in 2427.