From Europe Entrapped by Clause Offe, pg 13. If this analysis is accepted then I find it difficult to see how a leftist commitment to the EU can be sustained:
(a) Competitive advantages can be expected from economies of scale, given the increase in market size and the reduction in transaction costs;
(b) While regulation is by no means absent at the EU level (but is codified in tens of thousands of pages of legal text specifying standards of products and rules for the protection of consumers, workers, and the natural environment etc.), the advantage from the point of view of investors is the unitary mode of regulation that uniformly applies to all agents across all markets in the EU, thus excluding country- specific distortions and protectionist barriers. While the market is not deregulated, regulation is depoliticized.
(c) Since the EU is not a democratic polity with an elected and accountable government and parliamentary budget rights, the political sovereignty of member states is significantly reduced, as is the probability that regulations and programs contrary to business interests will be adopted at the supranational level.
(d) With open borders allowing the mobility of capital and labor, goods and services, a rivalry (or political competition) among member states is institutionalized, which serves as a constant warning to the government of each of them (as well as national trade unions) to refrain from political demands, moves, and measures (such as tax increases or increases of labor costs and social expenditures) that run the risk of chasing investors out (or encouraging the inflow of “unemployable” or low- skilled migrants).