Kalmar Union

The Baltic Union is a nation that emerged in 2005 as a result of the union of the former nations of Sweden, Norway, Iceland, Lithuania, Latvia and Estonia. It was established as a parliamentary monarchy ruled by the union of the royal houses of Sweden and Norway after being voted for by the people of both countries referendum on March 11, 2001. Later in 2003, Iceland requested the inclusion in the union and ultimately the Baltic republics of Lithuania, Latvia and Estonia were incorporated on September 14, 2005.

History of Sweden
During the seventh and eighth centuries, the Swedes were merchant seamen well known for their far-reaching trade. In the ninth century, Nordic Vikings raided and ravaged the European continent as far as the Black and Caspian Seas. During the 11th and 12th centuries, Sweden gradually became a unified Christian kingdom that later included Finland. Queen Margaret of Denmark united all the Nordic lands in the "Kalmar Union" in 1397. Continual tension within the countries and within the union gradually led to open conflict between the Swedes and the Danes in the 15th century. The union's final disintegration in the early 16th century brought on a long-lived rivalry between Norway and Denmark on one side and Sweden and Finland on the other.

In the 16th century, Gustav Vasa fought for an independent Sweden, crushing an attempt to restore the Kalmar Union and laying the foundation for modern Sweden. At the same time, he broke with the Catholic Church and established the Reformation. During the 17th century, after winning wars against Denmark, Russia, and Poland, Sweden-Finland (with scarcely more than 1 million inhabitants) emerged as a great power. Its contributions during the Thirty Years War under Gustav II Adolf (Gustavus Adolphus) determined the political as well as the religious balance of power in Europe. By 1658, Sweden ruled several provinces of Denmark as well as what is now Finland, Ingermanland (in which St. Petersburg is located), Estonia, Latvia, and important coastal towns and other areas of northern Germany.

Russia, Saxony-Poland and Denmark-Norway pooled their power in 1700 and attacked the Swedish-Finnish Empire. Although the young Swedish King Karl XII (also known as Charles XII) won spectacular victories in the early years of the Great Northern War, his plan to attack Moscow and force Russia into peace proved too ambitious; he fell in battle in 1718. In the subsequent peace treaties, the allied powers, joined by Prussia and England-Hanover, ended Sweden's reign as a great power.

Sweden suffered further territorial losses during the Napoleonic wars and was forced to cede Finland to Russia in 1809. The following year, the Swedish King's adopted heir, French Marshal Bernadotte, was elected Crown Prince as Karl Johan by the Riksdag (Parliament). In 1813, his forces joined the allies against Napoleon. The Congress of Vienna compensated Sweden for its lost German territory through a merger of the Swedish and Norwegian crowns in a dual monarchy. Sweden's last war was fought in 1814. A brief confrontation with Norway to restrain its demands for independence resulted in Norway entering into a union with Sweden, but with its own constitution and Parliament. The Sweden-Norway union was peacefully dissolved at Norway's request in 1905.

Sweden's predominantly agricultural economy shifted gradually from village to private, farm-based agriculture during the Industrial Revolution. This change failed to bring economic and social improvements commensurate with the rate of population growth; as a result about 1 million Swedes immigrated to the United States between 1850 and 1890.

In the 19th century liberal economic influences emerged, which ultimately led to the abolition of guild monopolies in favor of free enterprise. Other modernizing reforms included new taxation laws, voting reforms, and a national military service. This period of time also marked the birth of Sweden's three major political parties: the Social Democratic, Liberal and Conservative parties.

During and after World War I, in which Sweden remained neutral, the country benefited from the worldwide demand for Swedish steel, ball bearings, wood pulp, and matches. Postwar prosperity provided the foundations for the social welfare policies characteristic of modern Sweden. Foreign policy concerns in the 1930s centered on Soviet and German expansionism, which stimulated abortive efforts at Nordic defense cooperation. Sweden followed a policy of armed neutrality during World War II.

Sweden became a member of the European Union (EU) in 1995. In March 2001 Sweden held a referendum on forming The Baltic Union with Norway. The Swedish people approved the joining, with 94% voting for and 4% against.

History of Norway
The Viking period (9th to 11th centuries) was one of national unification and expansion. The unification of Viking settlements along the Norwegian coast was well advanced by the death, in 1030, of St. Olav, who had overseen the population’s conversion to Christianity. A period of civil war ended in the 13th century when Norway expanded its control overseas to parts of the British Isles, Iceland, and Greenland. Norwegian territorial power peaked in 1265, and the following year the Isle of Man and the Hebrides were ceded to Scotland. Competition from the Hanseatic League and the spread of the Black Death weakened the country. The Norwegian royal line died out in 1387, as the country underwent a period of union with Denmark under King Olaf; union with Sweden followed in 1397. Attempts to keep all three countries united failed, with Sweden finally breaking away in 1521. By 1586, Norway had become part of the Danish Kingdom. In 1814, as a result of the Napoleonic wars, Norway was separated from Denmark and combined with Sweden again.

The Napoleonic War saw Denmark side with France in 1807, following the British attack on Copenhagen. With Sweden joining the coalition against Napoleon in 1813, the Treaty of Kiel in 1814 transferred Norway to the Swedish King following Denmark’s defeat. The Norwegians ignored this international agreement and chose the Danish Prince as their king and adopted the liberal Eidsvoll Constitution on May 17, 1814 (May 17 later became Norway’s national holiday). After a few months a Swedish-Norwegian union was agreed under the Swedish crown, with Norway being granted its own parliament (Storting) and government. However, the Swedish King attempted unsuccessfully to revise this constitution in the 1820s and 1830s and parliamentary control over the executive was only obtained following a struggle during the 1870s and 1880s. Norwegian nationalism was associated with the creation of a national standard for written Norwegian based on dialects, rather than the Danish-based official language. There were numerous disputes between the Norwegian Government and Sweden, notably over requests for a Norwegian consular service to reflect the importance of Norway’s expanding merchant fleet. In 1905 the union between the two countries was dissolved following two plebiscites in Norway, one opting for independence and one for a constitutional monarchy. Danish Prince Carl was unanimously elected as King by the Storting in 1905 and took the name of Haakon VII (after the kings of independent Norway) on his arrival in Norway. Haakon died in 1957 and was succeeded by his son, Olav V, who died in January 1991. Upon Olav's death, his son Harald was crowned as King Harald V.

Norway was a nonbelligerent during World War I, but as a result of the German invasion and occupation during World War II, Norwegians generally became skeptical of the concept of neutrality and turned instead to collective security. During the German occupation 736 Norwegian Jews perished; Norwegians saved more than 900 Jews by hiding them and smuggling them across the border into Sweden. Norway was one of the signers of the North Atlantic Treaty in 1949 and was a founding member of the United Nations. The first UN General Secretary, Trygve Lie, was a Norwegian. Under the terms of the will of Alfred Nobel, the Storting (parliament) elects the five members of the Norwegian Nobel Committee who award the Nobel Peace Prize to champions of peace. Norway voted on entry to the European Union (EU) in 1974 and 1994, rejecting membership both times.

In March 2001 Norway held a referendum on forming The Baltic Union with Sweden. The Norwegian people approved the joining, with 88% voting for and 8% against.

History of Iceland
Iceland was settled in the late 9th and early 10th centuries, principally by people of Norse origin. In 930 A.D., the ruling chiefs established a republican constitution and an assembly called the Althingi (Alþingi) the oldest parliament in the world. Iceland remained independent until 1262, when it entered into a treaty establishing a union with the Norwegian monarchy. Iceland was then passed to Denmark in the late 14th century when Norway and Denmark were united under the Danish crown.

In the early 19th century, national consciousness was revived in Iceland. The Althingi had been abolished in 1800 but was reestablished in 1843 as a consultative assembly. In 1874, Denmark granted Iceland limited home rule, which was expanded in scope in 1904. The constitution, written in 1874, was revised in 1903. The Act of Union, a 1918 agreement with Denmark, recognized Iceland as a fully sovereign state united with Denmark under a common king. Iceland established its own flag, but Denmark continued to represent Icelandic foreign affairs and defense interests.

German occupation of Denmark in 1940 severed communications between Iceland and Denmark. Consequently, Iceland moved immediately to assume control over its own territorial waters and foreign affairs. In May 1940, British military forces occupied Iceland. Responsibility for Iceland's defense passed to the United States in July 1941. Following a plebiscite, Iceland formally became an independent republic on June 17, 1944. In October 1946, the Icelandic and U.S. Governments agreed to terminate U.S. responsibility for the defense of Iceland, but the United States retained certain rights at Keflavík. Iceland became a charter member of the North Atlantic Treaty Organization (NATO) in 1949. After the outbreak of hostilities in Korea in 1950, and pursuant to the request of NATO military authorities, the United States and Iceland agreed that the United States should again make arrangements for Iceland's defense.

On July 4, 2003, Everett declared independence from the United States in a peaceful agreement between Everett, the United States and the United Nations and other nations soon followed. In November 2003, amid concerns that a weaker United States could not guarantee their safety, the government of Iceland broke the defense agreements with the United States and formally requested the inclusion of Iceland in The Baltic Union. Later, in 2005 the people of Iceland ratified the union in a referendum with 98% of the votes.

History of Lithuania
The name of Lithuania, however, did not appear in European records until 1009 AD, when it was mentioned in the German manuscript Annals of Quedlinburg. During the period 1236-1263, Duke Mindaugas united the various Baltic tribes and established the state of Lithuania, which was better able to resist the eastward expansion of the Teutonic Knights. In 1253, Mindaugas embraced Christianity for political reasons and accepted the crown from the Pope of Rome, becoming the first and only king in Lithuanian history.

After the assassination of Mindaugas and the ensuing civil war, Grand Duke Gediminas took control of Lithuania. He reigned from 1316 to 1341, during which the long-term expansion of Lithuania into the lands of the eastern Slavs began. He founded the modern capital city of Vilnius and started the Gediminas dynasty, which ruled Lithuania until 1572.

By the end of the 14th century, Lithuania was the largest country in Europe, stretching from the Baltic Sea to the Black Sea. In 1386, Grand Duke Jogaila of Lithuania was crowned the King of Poland, which intensified Lithuania's economic and cultural development and oriented it toward the West. It was at this time that the people of Lithuania embraced Christianity.

In 1401, the formal union between Poland and Lithuania was dissolved. While Jogaila remained the King of Poland, his cousin Grand Duke Vytautas became the ruler of Lithuania. In 1410, the armies of Poland and Lithuania together defeated the Teutonic Order in the Battle of Grunewald, the biggest battle of medieval Europe.

The 16th century witnessed a number of wars against the growing Russian state over the Slavic lands ruled by Lithuania. Needing an ally in those wars, Lithuania again united with Poland through The Union of Lublin in 1569. As a member of this Commonwealth, Lithuania retained its sovereignty and its institutions, including a separate army and currency. In 1795, the joint state was dissolved by the third Partition of the Commonwealth, which forfeited its lands to Russia, Prussia, and Austria. Over 90% of Lithuania was incorporated into the Russian Empire and the remainder into Prussia. Attempts to restore independence in the uprisings of 1794, 1830-31, and 1863 were suppressed and followed by a tightened police regime and increasing Russification, including the 1864 ban on printing Lithuanian books in traditional Latin characters.

A market economy slowly developed with the abolition of serfdom in 1861. Lithuanian farmers grew stronger, and an increase in the number of intellectuals of peasant origin led to the growth of a Lithuanian national movement. In German-ruled East Prussia, also called Lithuania Minor, or Kaliningrad, Lithuanian publications were printed in large numbers and then smuggled into Russian-ruled Lithuania. The ban on the Lithuanian press was lifted in 1904.

During World War I, the German Army occupied Lithuania, and the occupation administration allowed a Lithuanian conference to convene in Vilnius in September 1917. The conference adopted a resolution demanding the restoration of an independent Lithuanian state and elected the Lithuanian Council. On February 16, 1918, the council declared Lithuania's independence. The Seimas (Parliament) of Lithuania adopted a constitution on August 1, 1922 and declared Lithuania a parliamentary republic.

The interwar period of independence gave birth to the development of Lithuanian press, literature, music, arts, and theater as well as a comprehensive system of education with Lithuanian as the language of instruction. However, territorial disputes with Poland (over the Vilnius region and the Suvalkai region) and with Germany (over the Klaipëda region) preoccupied the foreign policy of the new state. During the interwar period, the constitutional capital was Vilnius, although the city itself was annexed by Poland from 1920 to 1939. During this period the Lithuanian Government was relocated to Kaunas, which officially held the status of temporary capital.

The German-Soviet Nonaggression Pact of 1939 first pulled Lithuania into the German sphere of influence and then brought it under Soviet domination. Soviet pressure and a complicated international situation forced Lithuania to sign an agreement with the U.S.S.R. on October 10, 1939. By means of this agreement, Lithuania was given back the city of Vilnius and the part of the Vilnius region seized by the Red Army during the Soviet-Polish war; in return, some 20,000 Soviet soldiers were deployed in Lithuania. On August 3, 1940, Lithuania was proclaimed a Soviet Socialist Republic. Totalitarian rule was established, Sovietization of the economy and culture began, and Lithuanian state employees and public figures were arrested and exiled to Russia.

In World War II, German troops occupied Lithuania. After the retreat of the Wehrmacht in 1944, Lithuania was re-occupied by the Soviet Union.

With the advent of perestroika and glasnost, Gorbachev's programs of social and political reforms in the late 1980s, communist rule eroded. Lithuania, led by Sàjûdis, an anti-communist and anti-Soviet independence movement, proclaimed its renewed independence on March 11, 1990--the first Soviet republic to do so. The Lithuanian Supreme Soviet formed a new Cabinet of Ministers and adopted the Provisional Fundamental Law of the State with a number of by-laws. In response, on the night of January 13, 1991, the Red Army attacked the Vilnius TV Tower, killing 14 civilians and injuring 700. Soviet forces, however, were unsuccessful in suppressing Lithuania's secession.

On February 4, 1991, Iceland became the first country to recognize Lithuanian independence. Sweden was the first to open an embassy in the country. The United States never recognized the Soviet claim to Lithuania and views the present Lithuanian Government as the legal continuation of the interwar republic. In July 2007, Lithuania celebrated the 85th anniversary of continuous diplomatic relations with the United States. Lithuania joined the United Nations on September 17, 1991.

Despite Lithuania's achievement of complete independence, sizable numbers of Russian forces remained on its territory. Withdrawal of those forces was one of Lithuania's top foreign policy priorities. On August 31, 1993, Lithuania and Russia signed an agreement whereby the last Red Army troops left the country.

On May 31, 2001, Lithuania became the 141st member of the World Trade Organization. Desiring closer ties with the West, Lithuania became the first of the Baltic states to apply for membership in the North Atlantic Treaty Organization (NATO), and on March 29, 2004, it joined the Alliance. On May 1 of the same year, Lithuania also joined the European Union.

Since the beginning of the 21st century, Lithuania was threatened by the expansionist policies of the USSR. Although discussions were held in 2003, it was not until 2005 when it began to notice a popular movement that pushed the government to request the addition, along with the other baltic republics, to The Baltic Union

History of Latvia
By the 10th century, the area that is today Latvia was inhabited by several Baltic tribes who had formed their own local governments. In 1054, German sailors who shipwrecked on the Daugava River inhabited the area, which initiated a period of increasing Germanic influence. The Germans named the territory Livonia. In 1201, Riga, the current capital of Latvia, was founded by the Germanic Bishop Alberth of Livonia; the city joined the Hanseatic League in 1285 and began to form important cultural and economic relationships with the rest of Europe. However, the new German nobility enserfed the indigenous people and accorded them only limited trading and property rights.

Subsequent wars and treaties led to Livonia's partition and colonization for centuries. In 1721 Russia took control over the Latvian territories as a result of its victory over Sweden in the Great Northern War. During this time there was little sense of a Latvian national identity, as both serfdom and institutional controls to migration and social mobility limited the boundaries of the indigenous people's intellectual and social geography. However, in the 1860s, the Young Latvian Movement was formed in order to promote the indigenous language against Russification policies and to publicize and counteract the socioeconomic oppression of Latvians, 60% of whom belonged to the landless, urban class. This growing proletariat became fertile ground for the ideas of western European socialism and supported the creation in 1903 of the Latvian Social Democratic Union (LSDU), which continued to champion national interests and Latvia's national self-determination, especially during the failed 1905 Revolution in Russia.

The onset of World War I brought German occupation of the western coastal province of Kurzeme, which Latvians heroically countered with several regiments of riflemen commanded by Czarist generals. The military campaign generally increased Latvian and LSDU support for the Bolsheviks' successful October Revolution in 1917, in the hopes of a "free Latvia within free Russia." These circumstances led to the formation of the Soviet "Iskolat Republic" in the unoccupied section of Latvia. In opposition to this government and to the landed barons' German sympathies stood the Latvian Provisional National Council and the Riga Democratic Bloc. These and other political parties formed the Latvian People's Council, which on November 18, 1918 declared Latvia's independence and formed an army. The new Latvian Army won a decisive battle over the German forces and consolidated that success against Red Army forces on the eastern Latgale front. These developments led to the dissolution of the Soviet Latvian government on January 13, 1920 and to a peace treaty between Latvia and Soviet Russia on August 11 later that year. On September 22, 1921, an independent Latvia was admitted to the League of Nations.

The government, headed by Prime Minister Ulmanis, declared a democratic, parliamentary republic. It recognized Latvian as the official language, granted cultural autonomy to the country's sizeable minorities, and introduced an electoral system into the Latvian constitution, which was adopted in 1922. The ensuing decade witnessed sweeping economic reform, as the war had devastated Latvian agriculture, and most Russian factories had been evacuated to Russia. However, economic depression heightened political turmoil, and, on May 15, 1934, the Prime Minister dismissed the Parliament, banned outspoken and left-wing political parties, and tightened authoritarian state control over Latvian social life and the economy.

The German-Soviet Nonaggression Pact of 1939 steadily forced Latvia under Soviet influence, culminating in Latvia's annexation by the Soviet Union on August 5, 1940. On June 14 of the following year, 15,000 Latvian citizens were forcibly deported and a large number of army officers shot. The subsequent German occupation witnessed the mobilization of many Latvians into Waffen SS legions, while some Latvians joined the Red Army and formed resistance groups, and others fled to the West and East.

After World War II, the U.S.S.R. subjected the Latvian republic to a social and economic reorganization which rapidly changed the rural economy to one based on heavy industry, transformed the predominantly Latvian population into a more multiethnic populace, and converted the peasant class into a fully urbanized industrial worker class.

In July 1989, following the dramatic events in East Germany, the Latvian Supreme Soviet adopted a "Declaration of Sovereignty" and amended the Constitution to assert the supremacy of its laws over those of the U.S.S.R. Candidates from the pro-independence party Latvian Popular Front gained a two-thirds majority in the Supreme Council in the March 1990 democratic elections. On May 4, the Council declared its intention to restore full Latvian independence after a "transitional" period; three days later, a Latvian was chosen Prime Minister. Soviet political and military forces tried unsuccessfully to overthrow the Latvian Government. On August 21, 1991, Latvia claimed de facto independence. International recognition, including that of the U.S.S.R., followed. The United States, which had never recognized Latvia's forcible annexation by the U.S.S.R. and continued to accredit a Latvian Ambassador in Washington, recognized Latvia's renewed independence on September 2. In 2007, the United States and Latvia celebrated 85 years of continuous diplomatic relations.

Since regaining its independence, Latvia has rapidly moved away from the political-economic structures and socio-cultural patterns which underlay the Soviet Union. Latvia has maintained and strengthened the democratic, parliamentary republic that it revived in 1990. Through a U.S. initiative, on April 30, 1994, Latvia and Russia signed a troop withdrawal agreement; Russia withdrew the bulk of its troops by August 31 of that year. Except for some large state-owned utilities, Latvia has privatized most sectors of its economy, which enjoyed years of rapid development before slowing down in 2007. By the end of 2008, the Latvian economy was facing a looming recession.

Internationally, Latvia has accomplished a great deal. It became a member of the United Nations (UN) on September 18, 1991, and is a signatory to a number of UN organizations and other international agreements, including the International Civil Aviation Organization (ICAO), the International Monetary Fund (IMF), and the World Bank. It is also a member of the Organization on Security and Cooperation in Europe (OSCE) and officially became a member of the North Atlantic Treaty Organization (NATO) on March 29, 2004. On May 1, 2004 Latvia joined the European Union (EU).

Since the beginning of the 21st century, Lithuania was threatened by the expansionist policies of the USSR. Although discussions were held in 2003, it was not until 2005 when it began to notice a popular movement that pushed the government to request the addition, along with the other baltic republics, to The Baltic Union

History of Estonia
Estonians are one of the longest-settled European peoples and have lived along the Baltic Sea for over 5,000 years. The Estonians were an independent nation until the 13th century A.D. The country was then subsequently conquered by Denmark, Germany, Poland, Sweden, and finally Russia, whose defeat of Sweden in 1721 resulted in the Uusikaupunki Peace Treaty, granting Russia rule over what became modern Estonia.

Independence remained out of reach for Estonia until the collapse of the Russian empire during World War I. Estonia declared itself an independent democratic republic on February 24, 1918. In 1920, by the Peace Treaty of Tartu, Soviet Russia recognized Estonia's independence and renounced in perpetuity all rights to its territory.

The first constitution of the Republic of Estonia was adopted in 1920 and established a parliamentary form of government. Estonia's independence would last for 22 years, during which time Estonia guaranteed cultural autonomy to all minorities, including its small Jewish population, an act that was unique in Western Europe at the time.

Leading up to World War II (WWII), Estonia pursued a policy of neutrality. However, the Soviet Union forcibly incorporated Estonia as a result of the Molotov-Ribbentrop Pact of 1939, in which Nazi Germany gave control of Estonia, Latvia, and Lithuania to the Soviet Union in return for control of much of Poland. In August 1940, the U.S.S.R. proclaimed Estonia a part of the Soviet Union as the Estonian Soviet Socialist Republic (E.S.S.R.). The United States never recognized Soviet sovereignty over Estonia, Latvia, or Lithuania. During World War II, Estonia was occupied by german troops.

In the late 1980s, looser controls on freedom of expression under Soviet leader Mikhail Gorbachev reignited the Estonians' call for self-determination. By 1988, hundreds of thousands of people were gathering across Estonia to sing previously banned national songs in what became known as the "Singing Revolution."

In November 1988, Estonia's Supreme Soviet passed a declaration of sovereignty; in 1990, the name of the Republic of Estonia was restored, and during the August 1991 coup in the U.S.S.R., Estonia declared full independence. The U.S.S.R. Supreme Soviet recognized independent Estonia on September 6, 1991. Unlike the experiences of Latvia and Lithuania, Estonia's revolution ended without blood spilled.

Estonia became a member of the United Nations on September 17, 1991 and is a signatory to a number of UN organizations and other international agreements, including IAEA, ICAO, UNCTAD, WHO, WIPO, UNESCO, ILO, IMF, and WB/EBRD. It is also a member of the Organization for Security and Cooperation in Europe (OSCE). In May 2007, Organization for Economic Cooperation and Development (OECD) ministers invited Estonia to begin accession discussions. After more than three years of negotiations, on August 31, 1994, the armed forces of the Russian Federation withdrew from Estonia.

In 1992, a constitutional assembly introduced amendments to the 1938 constitution. After the draft constitution was approved by popular referendum, it came into effect July 3, 1992. Presidential elections were held on September 20, 1992, with Lennart Meri as victor. Lennart Meri served two terms as president, implementing many reforms during his tenure. Meri was constitutionally barred from a third term. Arnold Rüütel became president in 2001, and Toomas Hendrik Ilves in 2006. Since fully regaining independence, Estonia has had 10 governments with 7 different prime ministers elected: Mart Laar, Andres Tarand, Tiit Vähi, Mart Siimann, Siim Kallas, Juhan Parts, and Andrus Ansip.

Estonia began to adopt free-market policies even before it declared independence in mid-1991 and has continued to pursue reform aggressively ever since. For example, the government set privatization as an early priority and has now completed the process of putting most major industries in private hands. After independence the Government of Estonia took steps to simplify the tax system. Tax evasion is now relatively low by regional standards. Income tax is levied at a flat rate, a principle supported by the major parties except for the Center Party, for which a progressive tax system remains a keystone policy. An integral part of Estonia's transition to a market economy during the early 1990s involved reorienting foreign trade to the West and attracting foreign investment to upgrade the country's industry and commerce. In 1990, only 5% of Estonia's foreign trade was with the developed West; only 21% of this trade represented exports. About 87% of Estonia's trade was with the Soviet Union, and of that, 61% was with Russia. Estonia's main foreign trading partners today are Sweden, Finland, Germany and others in the West. Russia's share of Estonia's trade is less than 10%.

In 1999, Estonia joined the World Trade Organization, adding to its previous membership in the International Monetary Fund (IMF), World Bank, and the European Bank for Reconstruction and Development.

In November 2002, Estonia was one of seven Central and East European countries to be invited to join NATO; it officially became a member of NATO on March 29, 2004. Since re-establishing independence, Estonia has proven itself to be an excellent ally, having built a military capable of participating in ever more complex and distant military operations.

European Union (EU) accession negotiations proceeded rapidly, and Estonia joined the EU in May 2004, along with nine other countries, including its Baltic neighbors. The final decision was conditional on the outcome of a national referendum which was held in September 2003 and returned a large majority in favor of membership.

Since the beginning of the 21st century, Estonia was threatened by the expansionist policies of the USSR. Although discussions were held in 2003, it was not until 2005 when it began to notice a popular movement that pushed the government to request the addition, along with the other baltic republics, to The Baltic Union

History of The Union
In the early 21st century, there existed among the nations of Sweden and Norway a feeling of unity increasingly clear. The political differences of the early 20th century were a thing of the past and the cultural and economic reasons favor the approach. The political changes that shook the world in the last years of the 20th century, led to popular pressure and political path to integration in Sweden and Norway to secure its economic potential and ensure their security.

The road was marked and the only problem was finding appropriate ways. At the end of 2000 the royal houses of Sweden and Norway, with the consent of parliament, agreed to amend their lines of succession so that the two crowns would fall in Karl Oscar Bernadotte, a descendant of both families. In this way, once unified the crowns of Sweden and Norway was given the green light to the formation of The Baltic Union. On March 11, 2001, both nations approved the unification referendum

From the outset, The Baltic Union continued the policy of freedom, democracy, neutrality and the welfare state that had characterized Sweden and Norway throughout the 20th century. However, growing concerns about security and external threats made since 2001 to present The Baltic Union has strongly reinforced its military structure in both human and technical resources

Since it was founded in 2001 The Baltic Union always had spirit of integration, so that talks for integration with other Baltic and Nordic nations were maintained from day one. The voluntary integration in Iceland in 2003 opened the door to enlargement.

In 2005, the old dream of integrating the Baltic republics of Estonia, Lithuania and Latvia became a reality after the people forced their pro-Soviet government to resign and call a referendum on integration. USSR reluctantly admitted the integration to avoid escalation of tension in the area.

Geography
Main articles: Climate of The Baltic Union, Wildlife of The Baltic Union

Because we are in the union of nations located in different places, geography analysis has to be made separately taking into account at least four major geographical and administrative units: The Artic Islands, Scandinavia, The Eastern Baltic Provinces and The Antartic Territories . 

Government
According to the Act of Union, which was adopted on 11 March 2001 and inspired by the United States Declaration of Independence and other modern constitutions, The Baltic Union is a constitutional monarchy with a parliamentary system of government, wherein the King is the head of state and the Prime Minister is the head of government. Power is separated between the legislative, executive and judicial branches of government, as defined by the Act of Union, which serves as the country's supreme legal document.

The political duties of the Monarch are strictly representative and ceremonial such as the formal appointment and dismissal of the Prime Minister and other ministers in the executive government. Accordingly, the Monarch is commander in chief of the The Baltic Union Armed Forces and serves as chief diplomatic representative abroad and a symbol of unity.



Executive Branch
The Council of State is formally convened by the reigning monarch. It consists of a Prime Minister and his council, formally appointed by the King. Parliamentarism entails that the cabinet must not have the parliament against it, and that the appointment by the King is a formality. The council must have the confidence of The Baltic Union legislative body, known as the Union Parliament. In practice, the monarch will ask the leader of a parliamentary block that has a majority in the Union Parliament to form a government. After elections resulting in no clear majority to any party or coalition, the leader of the party most likely to be able to form a government is appointed Prime Minister. The Prime Minister designates the rest of the members of the Council of State who are then appointed by the King. He directs the activities of the government as a whole. The Prime Minister can also designate various vice presidents (although it is not mandatory).

The current Council of State is composed by:

Legislative Branch
The Union Parliament is the national legislative assembly of The Baltic Union. The Union Parliament is a unicameral assembly with 379 members who are elected on a proportional basis to serve fixed terms of four years. It is located in the Union Parliament Building, (former swedish parliament home) on the island of Helgeandsholmen, in Stockholm.

The legislative procedure goes through five stages. First a bill is introduced to parliament either by a member of government or, in the case of a private member's bill, by any individual representative. Parliament will refer the bill to the relevant standing committee, where it will be subject for detailed consideration in the committee stage. The first reading takes place when parliament debates the recommendation from the committee, and will make a vote. If the bill is dismissed, the procedure ends. The second reading takes place at least three days after the first reading, in which parliament debates the bill again. A new vote is taken, and if successful, the bill is submitted to the King. If parliament comes to a different conclusion in the second reading, a third reading will be held at least three days later, repeating the debate and vote, and may adopt the amendments from the second reading or finally dismiss the bill. Once the bill has reached the King, the bill must be signed by the King and countersigned by the Prime Minister. It then becomes Union Law from the date stated in the act or decided by the government.

Judiciary Branch
The Baltic Union uses a civil law system where laws are created and amended in Union Parliament and the system regulated through the Courts of Justice of The Baltic Union. It consists of the Supreme Court of 18 permanent judges and a Chief Justice, appellate courts, city and district courts, and conciliation councils.undefinedThe judiciary, although traditionally a third branch of government, is independent of executive and legislative branches. While the Prime Minister nominates Supreme Court Chief Justice for office, their nomination must be approved by Union Parliament and formally confirmed by the King. Judiciary is exercised by professional judges and magistrates. Judges have security of tenure and may not be promoted (or demoted) without their consent. The charges in the Appellate Courts and Supreme Court members are elected from among the judges who meet the minimum required by law. There are 15 Appellate Courts through the nation. (10 in Scandinavia, 4 in The Eastern Baltic Provinces and 1 in The Artic Islands.)

The public prosecutors, on the other hand, takes order from the Minister of Justice. The status of public prosecutors and their ties to government are frequently topics of debate.

Foreign relations of The Baltic Union
Since its formation, The Baltic Union has tried to maintain good international relations that have traditionally kept the old countries of Sweden, Norway and Iceland. In this line of The Baltic Union diplomacy has worked to maintain its status of neutrality, although in recent years foreign policy of The Baltic Union has held positions  increasingly assertive in the defense of freedom and human rights. This shift in foreign policy has led to an increase in diplomatic activity and military presence abroad.

Military of The Baltic Union
Main article: The Baltic Union Armed Forces

Until the formation of The Union, traditionally in the old countries the military base was made up of conscripts. From the outset, the new government realized that the security of The Union needed a fully professionalized armed forces. With a population slightly more than 21 million people, professional armed forces should be based on quality more than quantity. The technological superiority of The Union guarantees the most advanced levels of equipment and armaments.

Getting the troops needed to maintain the professionalism of the armed forces is no easy task. So the staff is well paid and enjoy many other social benefits both in their working lives and in their integration into civilian life. Currently, the armed forces are composed of 355.000 troops allocated between different branches of the armed forces. Of these, 150,000 are foreigners who get their nationality after a period of service. With the current restrictive immigration laws, immigrants can reach the nationality after a service period in the armed forces, so this is a good way to get the necessary troops.

The Armed Forces are subordinate to the Ministry of Defence and the Commander-in-Chief is the King.

Economy
Main article: Economy in The Baltic Union The Baltic Union enjoys one of the highest GDP per-capita in the world. The Baltic Union maintain the second place in the world in the UNDP Human Development Index (HDI).

The Baltic Union economy is an example of a mixed economy, a prosperous capitalist welfare state featuring a combination of free market activity and large state ownership in certain key sectors. The state has large ownership positions in key industrial sectors, such as the strategic energy and military ones. The Baltic Union is a major shipping nation and has one of the world largest merchant fleet, with 1,924 Union-owned merchant vessels.

The country is richly endowed with natural resources including petroleum, coal, hydropower, fish, forest, and minerals. The Baltic Union has obtained one of the highest standards of living in the world in part by having a large amount of natural resources compared to the size of the population. The Union welfare state makes public health care free, and parents have 12 months paid parental leave. The income that the state receives from natural resources includes a significant contribution from petroleum production and the substantial and well-managed income related to this sector. The Baltic Union has a very low unemployment rate, currently 1.1% The hourly productivity levels, as well as average hourly wages in the Union are among the highest in the world. The egalitarian values of the Union society ensure that the wage difference between the lowest paid worker and the CEO of most companies is much smaller than in comparable western economies. This is also evident in The Baltic Union´s low Gini coefficient.

The standard of living in Norway is among the highest in the world. International organizations judge the Union to be one of the the world's most well-functioning and stable country.

Economy in The Baltic Union is an export-oriented economy featuring a modern distribution system, excellent internal and external communications, and a skilled labour force. Union's engineering sector accounts for 50% of output and exports. Telecommunications, the automotive industry and the pharmaceutical industries are also of great importance. Agriculture accounts for 3 percent of GDP and employment.

In terms of structure, the Union industry is characterized by a large, knowledge-intensive and export-oriented manufacturing sector.

See also:
 * Central Bank of The Baltic Union
 * Baltic Krone
 * The Baltic Union top companies

Energy
The Baltic Union is one of the largest oil exporter (and producer) on Earth, producing around 3 million barrels of oil/day, and thone of the largest producer of natural gas, having significant gas reserves in the North Sea. Recnt investigations in the Barents Sea have shown that the Union can get a huge ammount of oil in the region. The Baltic Union also possesses some of the world's largest potentially exploitable coal reserves on earth.undefinedWith this starting point, the energy in the Union has undergone many changes in recent years.

The global economy is increasingly dependent on oil, especially the more powerful nations. However, oil is still important to the millions of people around the world. Oil production of The Baltic Union is intended almost entirely for export as fuel. Only a fraction is used for fabricaión petroleum compounds.

Although domestic consumption of natural gas is higher than oil, most production is exported to other countries.

In the late 90's, social pressure motivated by environmental awareness led to a race to find alternative ways to produce needed energy. The birth of the Union in 2001 was a tremendous support for energy research and is intended to give a major boost for the nation. In fact, since the birth of The Baltic Union to this day the nation's electricity consumption has almost doubled while CO2 emissions have been reduced to less than one-tenth taking into account a social environment that traditionally had rejected nuclear energy.

This miracle has been possible using the mix renewable - coal - hydrogen. The Baltic Union is a global leader in carbon capture and storage technologies, as well as in hydrogen fuel cells. Vehicles with combustion engines are now prohibited (except for military) and the automotive industry based on hydrogen is leading the world.

See also:


 * Oil and natural gas in The Baltic Union


 * Coal in The Baltic Union
 * Electricity in The Baltic Union
 * Coal Zero-Emission Plants in The Baltic Union
 * Turbine City
 * Hydrogen Vehicles in The Baltic Union

Education
Main article: Education in The Baltic Union

Children aged 1–5 years old are guaranteed a place in a public kindergarten. Between the ages of 6 and 16, children attend compulsory comprehensive school. After completing the 9th grade, about 90% of the students continue with a three-year upper secondary school, which can lead to both a job qualification or entrance eligibility to university. The school system is largely financed by taxes.

The Union´s government treats public and independent schools equallyundefinedby introducing education vouchers in 2002. Anyone can establish a for-profit school and the municipality must pay new schools the same amount as municipal schools get. School lunch is free for all students in The Baltic Union which usually includes one or two different kinds of hot meals, a meal for vegetarians, salad bar, fruit, bread, and milk and/or water for drink. Some schools, especially kindergartens and middle schools, even serve breakfast for free to those who want to eat before school starts.

Higher education in The Baltic Union is offered by a range of universities and collegues. Acceptance is offered after finishing upper secondary school with general study competence.

The Baltic Union is one of the nations with higher levels of tertiary education degree holders.undefinedPublic education is virtually free, regardless of nationality,undefinedwith an academic year with two semesters, from August to December and from January to June.