The short version: It was never intended to be a democracy.
The idea first conceived back in the 1920s by two senior officials of the League of Nations – Jean Monnet and Arthur Salter, a British civil servant – was a United States of Europe, ruled by a government of unelected technocrats like themselves. Two things were anathema to them: nation states with the power of veto (which they had seen destroy the League of Nations) and any need to consult the wishes of the people in elections.Monnet, unable to learn lessons from the miserable failure that was the League of Nations, pitched his pet project amidst the ruins of World War II to a Europe that was exhausted and weary.
What European leaders (intentionally?) failed to notice then, and now, is that Monnets concept was modelled on exactly that failed institution: a commission, a council of ministers, a parliament and a court. Since the 50's, in gradual steps, this technocratic beast was nursed to its adult form, as we see it today.
The EUnion does not do democracy. Just remember how the results of the French, Dutch and Irish referenda were swept under the carpet by the élites. These last few days we saw the EUnion, in the form of that self-appointed arrogance, the Groupe de Francfort, bring down two elected heads of government in Greece and Italy.
And not only that. Having got rid of these two, they managed to install two leaders from their own circle: Papademos in Greece and Monti (it looks like) in Italy. Both of then have strong ties to the EUnion, the ECB and (the conspirasists are going to have a field day with this) Rockefeller’s Trilateral Commission.
In other words: They are EUnion stooges, gophers for van Rompuy c.s. The EUnion managed in one week to install puppet regimes in two former democracies. And they did so without any, ANY, consultation of the populace.
When the leader of Italy's Lega Nord objected to an appointed PM, saying that was was needed were general elections, van Rompuy declared:
“This country [Italy] needs reforms, not elections”Earlier, GdF big potato Merkel indicated she is opposed to 'let the people vote' on the permanent European Stability Mechanism. Not even the German people she supposedly represents. Draw your own conclusions.