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Positive and negative integration

Integration theories distinguish between “positive” and “negative” integration.

Positive integration is where common rules are provided by a higher authority to iron out regional and other inequalities.

Negative integration refers to barriers between countries being removed.

Most of the theorists see the EU as an example of negative integration because the EU’s resources are modest compared with those under the control of the member states.
Thus, annual EU spending amounts to about 1% of the EU’s annual gross national product, whereas member state spending typically lies between 35% and 50% of annual national product.

The EU has acquired supra-national powers and competences, enabling it to impose laws and rules on its member states – increasing the level of positive integration - but it does not have power to raise its own taxes. Thus, there is a discrepancy between the EU's political and economic power, in comparison to a normal state.