The European Economic and Monetary Union (EMU) was created to promote cooperation and prevent conflicts among European countries. It started with limited coverage in the 1950s and has evolved to include 19 countries today. The EMU introduced a common monetary policy and some limits on national fiscal policies through the Maastricht Treaty in 1992. This process reflects Europe's history of wars and opposition among nations, leading to a gradual development of European institutions towards their current state.