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...European Union more efficient at home and stronger abroad, the last few holdouts signed a 1,000-page document known as the Lisbon Treaty. In November, the E.U.'s first real President and Foreign Minister were chosen. Europhiles dusted off their familiar dream: of a newly emboldened world power stepping up to calm trouble spots, using aid and persuasion where it could, but prepared to send in troops when it had to. Brussels would lead the fight against climate change. And Europe's economies would prove to the ruthless free markets of North America and Asia that the social market...

Author: /time Magazine | Title: The Incredible Shrinking Europe | 3/8/2010 | See Source »

...good life at home doesn't make Europe strong abroad. The E.U. may have all the soft-power credentials in the world, but on the grand stage it has lacked the weight and influence of others. At times, it simply seems unable to say what it thinks. Washington and Beijing may squabble from time to time, but the U.S. has a reasonably well-articulated China policy: engage economically, encourage democratically, and criticize on human rights when appropriate. What's the E.U.'s China policy in a few words? (Read: "Should Europe Lift Its Arms Embargo on China...

Author: /time Magazine | Title: The Incredible Shrinking Europe | 3/8/2010 | See Source »

...underwhelms on other big issues. "When it comes to pressing international problems like Afghanistan, Pakistan or North Korea, the E.U. is either largely invisible or absent," wrote Grant in his essay, provocatively titled "Is Europe Doomed to Fail as a Power?" Lucio Caracciolo, editor of Limes, one of Italy's leading foreign policy magazines, says the problem is a Cold War hangover. The post-World War II period was a golden age for Western Europe, a time of reconstruction under the U.S. security umbrella, he argues. When it ended, Europe went into shock. "We're in denial," Caracciolo says...

Author: /time Magazine | Title: The Incredible Shrinking Europe | 3/8/2010 | See Source »

...like to defend and pursue their own national interests, rather than subsume them in a multinational body. There's also a case - and plenty in Europe make it - that Europe is better off continuing to aim low. "Very few European countries see the role of the E.U. as a power," says Moïsi. "They see Europe as a place - with a common market, a common currency, but not a power that should project itself onto the outside world." (See pictures of immigration in Europe...

Author: /time Magazine | Title: The Incredible Shrinking Europe | 3/8/2010 | See Source »

That argument begins to break down when you have aspirations to help fix the world. Over the past decade or so, many Europeans have liked to think of the E.U. as a counterweight to Washington and now Beijing: a big, rich, but more benign global power. Ask Catherine Ashton to define Europe's ideals, and her aspirations are far from modest: "Democracy. Human rights," she says. "Wanting to see stable, secure nations, with whom we enjoy political dialogue and economic relationships...

Author: /time Magazine | Title: The Incredible Shrinking Europe | 3/8/2010 | See Source »

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