As the European Union (EU) continues its political integration, the author argues for the development of a more cosmopolitan Europe. After exploring the question of whether the democratic self-direction of modern capitalistic societies can be extended beyond national borders, the author argues that the symbiosis between nation-states & democracy has come under increased pressure because of market globalization. There have been four political responses to the challenges of the postnational constellation -- neoliberalism, protectionism, or a "third way" expressed either by governments adopting social policies to help their citizens to be qualified & competitive, or by giving politics priority over the market, perhaps by creating a stable, democratic infrastructure for a global domestic policy. If Europe is to develop with a sensitivity for social justice for all countries worldwide, then the federal aspect of the EU must be deepened to allow a cosmopolitan goal of creating the conditions necessary for such a global domestic policy. L. A. Hoffman