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and the payment from the Hungarian treasury, 1,998,235 guldens, leaving 99,911,763 guldens to be assessed on the two monarchies. Foreign Affairs.-The reconciliation of Austria and Russia is Prince Bismarck's last and greatest achievement in the interest of European peace. The war-cloud that overcast Europe upon the conclusion of the AustroGerman alliance parted with the failure of Russia and France to join in a counter-alliance. But in the Balkan Peninsula, Russia continually stirred the elements of disturbance, and by secret machinations and half-disguised manifestations of dissatisfaction and jealousy endeavored to thwart the political and commercial progress of Austria and the German people in southeastern Europe long after her own internal dangers and the strength of the Central European League afforded a double preventive against the predicted struggle between the Slav and the Teuton. The open encouragement of the Herzegovinian insurgents in the Russian press showed the danger of the situation. The bond of sympathy between the Slav races and the position of the Czar as the traditional protector of the Balkan peoples creates for both powers a situation of perplexity and embarrassment. The fixing of boundaries to their several spheres of interests, so as to obviate jealousy and misunderstanding, is the only mode of meeting in a pacific spirit the difficulties that must arise. The circumstances of the Herzegovinian insurrection, and, still later, the favor shown by the Czar to the Prince of Montenegro, and the marriage of the daughter of the latter to the Servian pretender, showed the will and the power of Russia to throw obstacles in the path of Austria. A change in the attitude of Russia was observable in the autumn of 1883, when the Russian troops were ordered back from the German frontier. In January M. de Giers visited Vienna, after conferring with Bismarck at Varzin, a fact which proved the sincerity of the rapprochement. When the three Emperors met at Skiernievice in the autumn (see GERMANY), it was seen that a degree of concord has been reached, which clarifies the atmosphere in southeastern Europe, and dispels the dangers of the Eastern question in that quarter. The basis of the Austro-Russian understanding is not known. If Russia has secured the acquiescence of the German powers in the union of Bulgaria and Eastern Roumelia, she has saved her honor in gaining the dearest point of the San Stefano Treaty, and can extend her commercial enterprise and political influence in the direction of Constantinople, while leaving Austria scope to win the Serbs and Albanians, and continue her slow advance toward the Ægean. The question of the division of the Balkan Peninsula belongs to the remote future. Thus far Russia has only succeeded in vexing Austria in the western Balkans, while on the other side Austro-German combinations, depending on the jealousies of the

youthful states of Roumania and Bulgaria, and upon the personal predilections of their rulers, have no lasting basis. If Austria-Hungary exceeds the provisions of the Berlin Treaty by incorporating Bosnia and Herzegovina, Russia will naturally seek compensation in the quarter where her greatest interests lie. A cessation of the intrigues and rivalries of the two powers in all the petty states of the Balkan Peninsula would conduce to healthier political conditions in those principalities. The meeting of the Emperors in September does not signify the admission of Russia to the AustroGerman military alliance, but, according to the explanation of Tisza in the Hungarian Parliament, assurance of peaceful relations similar to those between Italy and the allied empires.

The Occupied Provinces.-The Turkish provinces, placed under Austro-Hungarian administration by the Treaty of Berlin, have a total area of 61,065 square kilometres. The popula tion of Bosnia and Herzegovina, according to a census taken in 1879, is 1,158,440, comprising 496,761 Greek Catholics, 448,613 Mohammedans, 209,391 Roman Catholics, 3,426 Israelites, 249 of other creeds. The population of the Sandjak of Novi-Bazar is 168,000.

Among the conditions of the friendly understanding between Austria and Russia, which was sealed by the meeting of the three Emperors at Skiernievice, is supposed to have been the withdrawal of Russian objections to the complete annexation of the occupied provinces, in return for which Austria will place no hindrance in the way of the union of Bulgaria and Eastern Roumelia. The Imperial Government is probably in no haste to proceed to the incorporation of Bosnia and Herzegovina, not only because of the difficulty as to which of the two monarchies they should be attached, or whether they should be administered as an imperial province, but for fear of provoking the ill will of the Mohammedans and hindering the extension of Austrian influence in the Balkan Peninsula by the reforms that must be carried out in order to insure the well-being and contentment of the rayahs. Under the convention of April, 1879, the Austro-Hungarian Government undertook merely to administer the laws as they stood. The evils that drove the Christian peasantry repeatedly to rebellion and provoked the interference of Europe remain the same. The lot of the rayah is in fact harder than under the pashas. The rents and tithes are collected more rigorously and punctually by the Austrian officials, and to these burdens are added the tobacco monopoly and indirect taxes and the obligatory military service, the introduction of which led to the Herzegovinian insurrection.

The cause of Bosnian troubles has always been agrarian. When the Osmanlis first conquered the country, the land was divided into three parts, one of which was retained by the Sultan; one held as Vakuf, or ecclesiastical property, the revenues of which are to this

day reserved for the service of the mosques; and one apportioned, on a kind of feudal tenure, among the spahis, or Turkish cavalry. The rent was at first one ninth of the products; but after the janizaries, or foot-soldiery, acquired rights in the land, the kmets, or peasants, were gradually reduced to wretched serfdom. The rent was increased to one third, and finally one half, the product of the land, which the peasant had to deliver at his landlord's house. After the great insurrection of 1850 the land laws were modified, through the intervention of the powers. Rent was fixed at one third of all products, except the hay-crop, of which the landlord received one half. If buildings, stock, and tools were furnished by the landlord, he was paid even shares with the tenant. This system is still in force. When first put in practice it was evaded by regulations forbidding the kmet to gather his crops until they had been viewed by the beg, or landlord, even though, as frequently happened, owing to the absence or carelessness of the landlord, they rotted on the ground; requiring him to pay his tretina, or third, as assessed on the standing crop at the inspection, though it might be partly or wholly destroyed before it could be garnered; and making the rents payable in gold, though for lack of communications it was often impossible to market the grain. The new land law provided that Christians could acquire property in land, and that tenants could not be evicted except for cause and by magisterial decree. The enforcement of the new laws by Omer Pasha resulted in a sanguinary outburst of fanaticism and an exodus of Christians into Croatia and Slavonia. This led to the first interposition of Austria, and a new edict of the Porte in 1859, for the protection of the tenantry. By 1875 the conflict had again reached a pitch where the Porte was powerless to enforce the laws. When the Austro-Hungarian Government assumed the administration it promised to have the existing laws judicially tested and impartially executed. The decisions that have been pronounced regarding the landlord's share in the crops, the mode of its appraisement, and the conditions of payment, betray a bias in favor of the landlord rather than in the interest of the rayah. The Austrian officials, mostly young and inexperienced men, associate with the wealthy Mussulman land-owners, but have no unofficial intercourse with the peasantry. The bureaucratic formalism of the authorities bears harder on the people than the easy-going Turkish régime, under which, in bad seasons, they could by bribes and petitions escape part of their taxes and rents, or have the payment deferred. The chasm between the Government and the people is widening. The economic condition of the country has visibly deteriorated, in spite of improved means of communication, the cultivation of new lands, the colonization of German laborers, and other local remedies. The increase of brigandage, and the sympathy of VOL. XXIV.-5 A

the people for the haiduks, or highway robbers, are symptoms of the impoverishment of the peasantry and their alienation from the authorities. Besides the perennial agrarian question and the pressure of the taxes, the Bosnians suspect the Austrians of a design to suppress their nationality, the evidence of which they see in the recruiting law and the propaganda of the Roman Catholic religion. Among their complaints is that of the lack of schools in which their own language is used. The land question, however, transcends all other causes of disaffection. They expected under Christian rule to be free forever from their Mohammedan oppressors, and to become the owners of their lands. Austria has disappointed them, and seems to have assumed the government only with the intention of handing them over again to Turkey, with their fetters more firmly fastened than before they first attracted the intercession of Europe. Hence the agitation in favor of union with Servia. Their Servian brothers, they think, would drive out the begs, and restore to them the heritage of the land. A reform of taxation would afford a partial relief; but the Austrian Government is precluded from any effectual readjustment, since the only property-owning class, the Turkish landlords, is exempt from taxation. When the provinces are definitively annexed there will be an irresistible demand for a radical solution of the land question. The most likely plan is the creation of a peasant proprietary by the expropriation of the landlords and the vakuf by means of a credit operation and the repayment of the purchase-money through a long series of years by the peasants, a method that has been carried out in many states without fiscal loss.

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Austria.—Austria proper, or Cisleithania, has been governed, since the recognition of Hungarian independence, by a twofold Legislature, a central body, called the Reichsrath, and local assemblies, or Provincial Diets, for the individual provinces. The Reichsrath consists of an upper house, or House of Lords, and a lower house, or House of Deputies. The House of Lords is composed of the princes of the blood royal, 14 in number in 1882; the territorial nobility, numbering 53; the archbishops (10), and bishops of princely rank (7); and lifemembers appointed by the Emperor for distinguished merit and ability, in number 105. The Abgeordnetenhaus, or House of Deputies, consists, under the electoral law of 1873, of 353 members elected by four different constituencies: 1, the people of the rural districts; 2, the people of the towns; 3, the chambers of commerce in the large towns; 4, the large landed proprietors.

The Cabinet. The President of the Council of Ministers is Count Eduard Taafe, Minister of the Interior, appointed Aug. 12, 1879. The minister of National Defense is Major-Gen. Count Z. von Welsersheimb, appointed June 26, 1880. F. Ziemialkoffsky, appointed at the

formation of the ministry, holds no portfolio. The Minister of Agriculture is Count Falkenhayn, one of the original ministers. Count S. Conrad von Eybesfeld, appointed Jan. 17, 1880, directs the department of Public Worship and Instruction. Dr. J. Dunajeffsky, Minister of Finance, entered the Cabinet June 26, 1880. The Minister of Commerce and National Economy is Baron F. Pino von Friedenthal, and of Justice A. Prazak, both appointed Jan. 4, 1881. Finance. -The product of taxes increased from 302,851,000 guldens in 1876 to 347,034,000 in 1881, the increase in the direct taxes being from 90,942,000 to 93,608,000 guldens, and in the indirect taxes from 211,909,000 to 253,426,000 guldens.

dens; Ministry of Worship and Instruction, 15,011,395 guldens, of which 4,193,470 are for worship, 10,630,595 for public instruction, and 1,187,330 for general expenses; Ministry of the Interior, 15,691,500 guldens, of which 6,073,150 are for public works, 3,588,000 for police, and 5,521,000 for civil administration; Ministry of Agriculture for domains, mines, the royal stud, etc., 10,688,902 guldens; Ministry of National Defense, 8,530,300 guldens, of which 3,624,000 are for the Landwehr and 4,519,300 for the gendarmerie and military police; imperial household, 4,650,000 guldens; civil pensions, 15,143,900; public debt, 117,013,281.

The public debt of the Austrian Empire, contracted before 1868, is treated as the comThe budget estimate of receipts in 1881 was mon debt of the two monarchies. The annual 409,645,994 guldens; the actual receipts 441,- interest and sinking-fund charges are divided 939,940 guldens; the estimated expenditures, between the two governments, Austria bear463,112,304 guldens; the actual expenditures, ing 70 per cent. and Hungary 30 per cent. 477,785,771 guldens. The budget for 1883 There is also a small common floating debt, makes the total gross receipts 463,765,371 gul- consisting of 60,500,000 guldens in paper dens, and the total net receipts 333,072,525. assignats. The charges on the common debt The revenue from direct imposts is estimated in 1883 amounted to 127,600,392 guldens, of at 92,905,000 guldens, of which the land-tax which the Austrian share is 97,283,626, the furnishes 33,000,000 guldens, the house-tax Hungarian 30,316,766 guldens. The public 26,505,000; industrial imposts, 9,500,000; the debt, including the common debt, the provincial income-tax, 23,000,000, and arrears, etc., 900,- debts assumed by the monarchy, the paper as000. The customs revenue is placed at 42,- signats, 351,493,000 guldens in currency notes, 764,196 guldens, and the cost of collection at the floating obligations of the treasury, etc., 27,893,340 guldens. The excise duties are ex- amounted on Jan. 1, 1883, to 3,227,673,323 pected to yield 85,358,600 guldens, of which guldens, against 3,212,230,337 in 1882. There 22,200,000 guldens are derived from beer, are besides 154,830,942 guldens of obligations 7,500,000 from spirits, 4,113,000 from wine, assumed for the commutation of peasants' rents, 4,930,000 from the cattle-tax, and 37,209,000 making a total of 3,382,504,264 guldens, refrom sugar; the cost of collection is estimated quiring an expenditure in 1883 of 121,161,243 at 12,482,940 guldens. The yield of the salt guldens, not including the share of Hungary monopoly is estimated at 19,682,000 guldens, in the service of the common debt. cost of collection 3,017,000 guldens; tobacco monopoly 67,800,000 guldens, cost of collection 24,061,300 guldens; stamps, 16,730,000 guldens net; legal dues, 32,177,000 guldens; the lottery 20,223,000 guldens, cost of collection 12,459,000 guldens; postal receipts 20,140,000 guldens, expense of administration 16,249,430 guldens; telegraph receipts 4,500,000 guldens, expenses 3,577,970 guldens; railroad receipts 17,750,710 guldens, expenses 19,393,853 guldens; receipts from domains and forests 3,992,000 guldens, expenses 3,152,000 guldens; receipts from mines 6,143,711 guldens, expenses 5,308,100 guldens. The ordinary expenditures are estimated at 432,772,959 guldens; the extraordinary expenditures at 59,186,877 guldens; total, 491,959,836 guldens, showing a deficit of 28,194,465 guldens. Of the extraordinary expenditures 32,350,118 guldens fall within the year, and 26,836,759 guldens cover the following year, ending March 31, 1885. Of the ordinary expenditures the principal heads are as follow: Ministry of Finance, including costs of collection, 97,846,375 guldens; matricular share in the common expenses, 86,185,189 guldens; Ministry of Commerce for railroads, posts, telegraphs, post-service, etc., 39,302,903 guldens; Ministry of Justice, 19,759,400 gul

Political Situation.-The opportunist policy of the compromise Taafe ministry commands a fluctuating but usually large majority in the Reichsrath by fresh steps each year in the direction of federalism. This mode of "conciliation" satisfies all elements save the once omnipotent but now bitter and desperate German party, which forms a large and hitherto compact minority, still holding about two fifths of the seats in the House of Deputies, yet is helpless in its isolation, and is inclined to give up the fierce contest against the new tendencies, since it has been denied the moral support it expected from Germany, and since its popular constituency is falling away. The combination that forms the majority, and rather drives than follows Count Taafe, is composed of the Czechish and Polish groups, which are struggling for autonomy and the preservation of their respective nationalities and languages, and of the Clerico-Conservative Hohenwart and Liechtenstein Clubs. The small Coronini Club, of Istrians and Italians, votes on some questions with the Government and sometimes with the minority. The regular opposition consists of the German, Centralistic, or Constitutional party, which controlled the Government after the war of 1866, and exercised

great influence down to 1879. It fell through its efforts to impose the programme of the Liberal party in Germany upon Austria, to liberalize the social and religious institutions of the country, and Germanize the Czechs and other nationalities. The combination of Czechs, Feudalists, and Clericals, who reversed this policy, have already accomplished more in the direction of decentralization than the Constitutional party did toward imposing the German language and ideas on the Slav peoples by extending the sphere of central authority. Count Taafe, as well as independent politicians, has within a year or two labored to form a middle party that would attract the German elements that can reconcile themselves to accomplished facts, and would enable the Government to resist further tendencies to disintegration.

The War of Languages.-The language question in Bohemia became a more serious matter when it extended from the arena of parliamentary discussion into the field of social life. The success of the Czechs in restoring their national tongue as the language of the courts, of official intercourse, and of instruction, did not settle the question for those parts of Bohemia where there is a preponderant or considerable German element. The German party responded with a proposition to separate from the kingdom the German districts. There followed a social persecution of the Czechs in those districts more grievous than the Germans had suffered in the Czechish districts during the earlier stages of the conflict. In the Reichsrath the Constitutionalists offered a challenge, by presenting Count Wurmbrand's resolution affirming German to be the state language of Cisleithania, which the House of Deputies rejected by 186 votes to 155, after a declaration of the ministry that a statute was unnecessary, since the position of German as the actual language of the state was not assailed. A proposal to refer the language question in Bohemia to a committee composed of members of all the groups, which should codify and harmonize the ordinances in force in the various districts, was broached by the Left and withdrawn when the Czechish party showed a willingness to accept this plan. The Liberals threatened to abstain from legislative work, but changed their mind in order to follow the National Liberals of Germany in the new path of social legislation, offering the normal work-day bill in earnest of their conversion to socialistic principles. The language conflict was transferred to the Bohemian Diet, where the German Liberals fought a losing battle with interpellations and fruitless motions.

Suspension of the Constitution in Vienna.-Austria and Hungary were until recently free from socialistic agitation. For three or four years past refugees from Germany and agents from Switzerland have spread among the industrial population the Anarchist doctrines in a dangerous and revolutionary form. Still, the Governments of the two monarchies felt no inclina

tion to copy the anti-Socialist enactments of Germany. The invitation from Germany and Russia to join in a treaty for the extradition of Socialists and revolutionists was rejected. In 1883 a murder for the sake of robbery was committed by persons who were evidently connected with Anarchist associations. The police began to subject the Socialists to an exasperating surveillance, and to treat them as a quasi-criminal class. Collisions occurred, and finally a policeman, Hlubeck, was murdered. On New-Year's-eve a Jesuit preacher in the Vienna suburb of Favoriten, who had offended the Socialists by defending the rights of property, was stoned from the chancel and the congregation dispersed in a panic. On the 10th of January a money-changer, named Eisert, was robbed and murdered in the suburban Marienhilf-Strasse by a band of Socialist desperadoes. A number of revolting crimes, notably the murder of Count Majlath, chief judge in Hungary, and the series of murders committed by Hugo Schenk, who enticed away several women on promise of marriage and killed them for the sake of their money and valuables, alarmed people at this time with the idea of an epidemic of crime. On the 26th of January, in the suburb of Floridsdorf, the detective Bloch, who had been active in tracking out the murderers of Hlubeck, was assassinated. After this deed the Government felt the necessity of providing against a state of terrorism, though still averse to special anti-Socialist legislation. Count Taafe therefore took advantage of an act, passed May 5, 1869, to meet a state of insurrection. This law empowers the Government to suspend constitutional rights in particular localities. On Jan. 30 a decree of the ministry was issued suspending civil rights in Vienna, Kornenburg, and WienerNeustadt, the judicial districts of the metropolis. The rights suspended are the inviolability of the post, the guarantee against domiciliary visits without warrant, the liberty of association, the right of assembly, and the freedom of the press. Another decree, based on the law of May 23, 1873, suspends trial by jury, enacting that certain crimes shall be tried by a bench of six judges. Both decrees remain in force till Dec. 31, 1884. Count Taafe had difficulty in finding a majority in the House of Deputies to confirm these decrees. The Constitutional party denounced them as a reactionary stroke aimed against the freedom of political and religious opinions, while among the young Czechs and other liberal sections of the majority there was a reluctance to consent to the exercise of dictatorial powers and the employment of repressive measures.

Anarchist Trials. The murderer of Bloch, the detective, was arrested while escaping, and was tried in June. He proved to be a shoemaker, named Stellmacher, a young man of remarkable intelligence and resolution, who was deeply versed in socialistic theories, and had been active in their propagation. Facts were revealed

showing an organization, with head-quarters bination between Hungarian cattle-growers in Switzerland, and ramifications throughout and Vienna commission merchants. The dealAustria-Hungary, for the spread of Anarchist ers refused to use the market, subject to such literature. By the confession of Stellmacher, a control, and transferred the wholesale busithe murder of the detective was conspired by ness to Presburg. In the beginning of April, a group of Socialists, who appointed him to 1884, the Government issued an order reperform the act. On the evidence, though stricting the direct importation of beeves meager and conflicting, of members of Eisert's from Presburg, by imposing quarantine and household, he was convicted of the murder of sanitary inspection at the frontier. The order the banker, after confessing that he killed raised a storm of indignation in Hungary, Blöch, and was executed, Aug. 8. Kammer- where it was declared to be conceived in the er, the murderer of Hlubeck, and one of the interest of the Bohemian and Moravian stockmurderers of Eisert, was tried and condemned. raisers. Minister-President Tisza threatened Several of the accomplices in the Eisert rob- retaliatory measures, and hinted at the abrogabery were arrested. The police soon made up tion of the Austro-German reciprocity treaty. their minds that the two convicted murderers, The measure failed of its purpose. The Boheand a very few other persons, were the only mian cattle that were offered at the market Anarchists that were capable of desperate and were below the standard, so that the butchers criminal deeds. In September they discovered went to Presburg for their supply. On that a secret printing-press in the house of a decora- account, and because the decree was considtive painter named Bachmann. He, with his ered an infraction of the customs union, and wife and several associates, who were also ar- was likely to lead to a serious conflict with rested, had been engaged since the execution Hungary, it was rescinded. of Stellmacher in printing and distributing black-rimmed circulars of incendiary import, pretending to emanate from an executive committee of the revolutionary party.

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Normal Work-Day. The party of the Left formerly opposed social legislation as obstinately as the German Liberals. But after the conversion of the most influential section of the latter to the principle of social reform, they have recanted the theory of laissez-faire, and, in order to regain the sympathies of the working-classes, and to prove their capacity for positive legislative work, inaugurated industrial legislation by proposing a legal limit to the working-day. They copied the Swiss law, which makes eleven hours a legal day's work. The fractions that compose the majority readily acceded to such a proposition, emanating from the party that especially represented the manufacturing class. The effect of the measure, however, was defeated by an amendment, which passed by a scant majority, leaving the Ministry of Finance to make out a list of industries, upon representations from the Chambers of Commerce, in which twelve hours' labor will be allowed, which list is subject to revision every three years.

Other Legislation.-The Government made no further progress in their programme of tax reform. Authorization was obtained for the acquisition of several railroads by the state. Additional transfers of state railroads from the central administration to the provincial authorities were effected against the lively resistance of the German Liberals. Notable among the minor legislation was an act according indemnity to individuals condemned by the tribunals whose innocence is subsequently established.

Vienna Cattle Regulations. Simultaneously with the opening of the new Vienna cattle-market, built at a cost of 2,000,000 guldens, the Lower Austrian Government undertook to regulate prices of beef, which were kept up by a com

Hungary. The kingdom of Hungary possesses an ancient Constitution, consisting of fundamental statutes enacted at various dates since the foundation of the kingdom in the ninth century. The Constitution was abrogated after the rebellion of 1848, restored in 1860, and extended to its ancient limits in 1867, when the dual compact was concluded with Austria. The Hungarian Diet consists of an upper chamber, called House of Magnates, and a lower, called House of Representatives.

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The Cabinet. The Council of Ministers is composed as follows: President and Minister of the Interior, Koloman Tisza de Brosjenō; Minister Adlatus, Baron B. d'Orczy; Minister of Public Instruction and Worship, A. de Trefort; Minister of the Honved, Lieut. - Gen. Baron Féjervary, who was appointed on the death of Count Guido Raday in October, 1884; Minister of Communications and Public Works, Baron G. Kemény; Minister for Croatia and Slavonia, K. Bedekovich de Komer; Minister of Justice, Dr. T. Pauler; Minister of Finance, Count J. Szápáry; Minister of Agriculture, Industry, and Commerce, Count P. Széchényi.

Finance. According to the closed accounts for 1881, the ordinary receipts amounted to 284,780,897 guldens; the extraordinary receipts to 203,806,965 guldens; total, 488,587,862 guldens; the ordinary disbursements to 309,729,876 guldens; the extraordinary disbursements to 195,163,961 guldens; total, 504,893,837 guldens, leaving a deficit of 16,305,975 guldens. The total receipts are estimated in the budget for 1881 at 301,029,869 guldens, and the total expenditures at 322,711,484 guldens, showing an estimated deficit of 21,681,615 guldens.

The direct taxes, on lands, bouses, industrial establishments, financial societies, capital and incomes, transportation, military exemption, etc., are expected to produce 89,080,400 guldens; the excise duties, 15,734,873 guldens; the tobacco monopoly, 38,363,464 guldens;

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