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Schengen area
In 1985, five EU countries (France, Germany, Belgium, Luxembourg and the Netherlands) agreed to abolish all checks on people travelling between them. This created a territory without internal borders, which became known as the Schengen area. (Schengen is the town in Luxembourg where the agreement was signed). The Schengen countries introduced a common visa policy for the entire area and agreed to establish effective controls at its external borders. Checks at the internal borders may be carried out for a limited period if public order or national security make this necessary. Little by little, the Schengen area has been extended to include every EU country, excluding the 10 new Member States, plus Iceland and Norway, and the agreement has become an integral part of the EU treaties. However, Ireland and the United Kingdom do not take part in the arrangements relating to border controls and visas. You do not need a visa for travelling within the Schengen area if you are a citizen of one of the Schengen countries. If you have a visa for entering any Schengen country it automatically allows you to travel freely throughout the Schengen area, exccluding Ireland and the United Kingdom.

Single European Act
This was the fist major revision of the Treaties of Rome and was signed in Luxembourg in February 1986 and came into force 1 July 1987. It introduced measures aimed at helping the advancement of the internal market and any institutional changes related to this topic.

Single market
The single market is a customs union with common policies on product regulation and also freedom of movement of the four freedoms: goods, services, capital and labour. Sometimes the single market is seen as a more advanced form of integration than the common market as it focuses on removing physical, technical and fiscal barriers among Member States.

SME
This acronym stands for Small and Medium-sized Enterprises. The Commission has adopted a Recommendation concerning the definition of SMEs. The enterprise falls into this category, according to the definition in the Commission’s recommendation, if it has maximum 250 employees with a maximum turn over of 50 million EUR and a maximum balance sheet of 43 million EUR. Each SME must be independent - i.e. 25 % of the capital or the voting rights may not be owned by one enterprise, or jointly by several enterprises, falling outside the definition of an SME or a small enterprise

Social Dumping
This is the process whereby manufacturers close down factories in high-wage areas and relocate to areas where labor is much cheaper. This cuts costs and boosts company profits, but often at the expense of creating unemployment in Europe.

Stability and Growth Pact
This pact was adopted in 1997 in order to maintain and enforce fiscal discipline in the EMU. The Member States must not allow their budget deficit above 3 % of their respective GDPs and must not allow the public debts to be lower than 60% of their respective GDPs.

Stakeholder
Any person or organisation with an interest in or affected by EU legislation and policymaking is a "stakeholder" in that process. The European Commission makes a point of consulting as wide a range of stakeholders as possible before proposing new legislation or new policy initiatives.

State-of-the-art
This term refers to the current state of development of a subject, technique, and the most advanced model available. A new PC or automobile are exemples of a product that use state-of-the-art technologies

Strasbourg
Strasbourg is a French city located close to the German border. The plenary sessions of the European Parliament are held here for one week every month. It is also home to the European Court of Human Rights and the Council of Europe – which are not EU institutions.

Structural Fund
These instruments finance the Structural Policy aimed at implementing the drive for economic and social cohesion and consisted of following four instruments for the period 2000-2006: the European Regional Development Fund, the European Social Fund, the European Agricultural Guidance and Guarantee Fund and Financial Instrument for Fisheries Guidance. For the period 2007-2013 the structural Funds will be: The European Regional Development Fund and the European Social Fund.

Subsidarity
The “subsidiarity principle” means that EU decisions must be made as close as possible to the citizen. In other words, the Union does not take action (except on matters for which it alone is responsible) unless EU action is more effective than action taken at national, regional or local level.

Sustainable development
Development that meets the needs of the present without compromising the ability of future generations to meet their needs

Summit
Meetings of the European Council are sometimes referred to as European (or EU) "summit" meetings, because they bring together the EU’s Heads of State. Depending on their constitution, Member States are represented by their Prime Minister or by their President or both.