Towards a more efficient regional integration: The impacts on MERCOSUR of the Association Agreement with the European Union and a change for a better implementation

Abstract

This paper exposes the most likely impacts that the entry into force of the Association Agreement made with the EU would mean for MERCOSUR. For that purpose, it is first necessary to consider certain characteristics of both regional integration structures. MERCOSUR, as an intergovernmental organization, currently has some structural limitations compared to the European Union, such as hierarchical asymmetries in its regulations between its different member states, an absence of a deadline for its norms integration, and a dependency on the current government members interests, among others. In Light of the MERCOSUR flaws described above, it can be seen possible that the EU-MERCOSUR Association agreement would imply a significant advance in improving the institutional quality of MERCOSUR. However, in this analysis a new alternative will be introduced, one that could capture higher gains on different aspects of this treaty, which consists on the transformation of MERCOSUR into a supernational organization. Accordingly, a comparative analysis will be carried out of the EU structure, with its immediate applicability of its regulations, which has a direct and stronger effect on the national rights of the member states. At the end of this paper, one will able to conclude that although the aforementioned Agreement is a great step towards a more efficient regional integration, transforming MERCOSUR into a supranational organization would achieve a better applicability of it, as well as supplying a large part of the legal inefficiencies which currently has and providing its member states with greater legal stability, which would lead to greater social and economic benefits.