gress of Vienna, Austro-Hungarian Compromise of 1867, and Austria-Hungary The long reign of Leopold I (1657–1705) saw the culmination of the Austrian conflict with the Turks. Following the successful defense of Vienna in 1683,[17] a series of campaigns resulted in the return of all of Hungary to Austrian control by the Treaty of Carlowitz in 1699. The later part of the reign of Emperor Charles VI (1711–1740) saw Austria relinquish many of these fairly impressive gains, largely due to Charles's apprehensions at the imminent extinction of the House of Habsburg. Charles was willing to offer concrete advantages in territory and authority in exchange for other powers' worthless recognitions of the Pragmatic Sanction that made his daughter Maria Theresa his heir. With the rise of Prussia the Austrian–Prussian dualism began in Germany. Map of Austria-Hungary Austria became engaged in the war with Revolutionary France, which lasted until 1797 and at the beginning proved unsuccessful for Austria. Defeats by Napoleon meant the end of the old Holy Roman Empire in 1806. Just two years before the abolition of the Holy Roman Empire in 1806,[18] in 1804 the Empire of Austria was founded, which was transformed in 1867 into the dual-monarchy Austria-Hungary. However, in 1814 Austria was part of the Allied forces invading France and conquering it. Following the Napoleonic wars Austria emerged from the Congress of Vienna in 1815 as one of four of the continent's dominant powers (together with Russia, Prussia and defeated France). In 1815 the German Confederation, (German: Deutscher Bund) was founded under the presidency of Austria. Austria and Prussia were the leading powers of the German Confederation. Its central institution was the Bundesversammlung in Frankfurt. Because of unsolved social, political and national conflicts some of the German inhabitants took part in the 1848 revolution to create a unified Germany.[19] The Frankfurt Parliament in the St. Paul's Church elected the arch duke Johann of Habsburg as a Reichsverweser, an administrator of the German Empire. For a new German empire would have been possible three options: a Greater Germany, Großdeutschland, with the German-speaking territories of the Habsburg Empire; a Greater Austrian solution, Großösterreich, the German Confederation with the whole Habsburgian territories; and a smaller German solution, Kleindeutsche, the German Confederation without Austria at all. As Austria was not willing to relinquish its German-speaking territories to what would become the German Empire of 1848 the parliament offered the crown to the Prussian King Friedrich Wilhelm IV. Austria grew out of Germany; Prussia grew in. In 1864 Austria and Prussia fought together against Denmark, to free the independent duchies of Schleswig and Holstein. Austria and Prussia could not agree on a solution to the administration of Schleswig and Holstein, which led to the Austro-Prussian War of 1866. Austria, together with most of the other German states, was defeated by Prussia in the Battle of Königgrätz in Bohemia.[19] Austria had to leave the German Confederation and subsequently no longer took part in German politics.[20][21] After 1871, it was one of two Empires: the German Empire to the north and Austria-Hungary to the south. The Austro-Hungarian Compromise of 1867, the Ausgleich, provided for a dual sovereignty, the empire of Austria and the kingdom of Hungary, under Franz Joseph I, who ruled until his death on 21 November 1916.[22] The Austrian-Hungarian rule of this diverse empire included various Slav groups such as Poles, Ukrainians, Czechs, Slovaks, Slovenes, Serbs and Croats, as well as large Italian and Romanian communities. As a result, ruling Austria-Hungary became increasingly difficult in an age of emerging nationalist movements. Yet the central government tried its best to be accommodating in some respects; minorities were entitled to schools in their own language, for example. [edit] World War I and its aftermath The assassination of Archduke Franz Ferdinand in Sarajevo in 1914 by Gavrilo Princip (a member of the Serbian nationalist group the Black Hand)[23] was the immediate cause for the outbreak of World War I, leading to the downfall and the end of the Austro-Hungarian Empire. War left the country in political chaos and economic ruin, the Central Powers (being Austria-Hungary, Bulgaria, Germany and Turkey) having been defeated in 1918. The Empire was broken up - Austria, with most of the German-speaking parts became a republic (see Treaty of Saint-Germain) and the remaining subordinate territories became independent states. However, over 3 million German Austrians found themselves living outside of the Allied inspired borders of the Austrian Republic in the nations of Czechoslovakia, Yugoslavia, Hungary and Italy. A particular large German minority was found in the newly-established Czechoslovakia with the entire historic German populations of Bohemia, Moravia and Austrian Silesia cut off from their motherland of Austria. Austria was also deprived of half of Tyrol, which was awarded to Italy as a prize for entering the war on the Allied side.[24] Austria has sustained this loss to the present day and this had been a major source of friction with Italy until the 1980s. Today the situation in Alto Adige/South Tyrol is resolved, serving as a model for inter-ethnic and transnational cooperation in Europe. Between 1918 and 1919, Austria was officially known as the Republic of German Austria (Republik Deutschösterreich). Many territories it claimed under its control included regions that were later assigned to neighboring nations. Not only did the Entente powers forbid German Austria to unite with Germany, they also forbade the name; it was therefore changed to the Republic of Austria.[25] The monarchy was dissolved in 1919 and a parliamentary democracy was set up under the constitution of 10 November 1920. In the autumn of 1922, Austria was granted an international loan supervised by the League of Nations.[26] The purpose of the loan was to avert bankruptcy, stabilize the currency, and improve its general economic condition. With the granting of the loan, Austria passed from an independent state to the control exercised by the League of Nations. At the time, the real ruler of Austria became the League, through its commissioner in Vienna. The commissioner was a Dutchman not formally part of the Austrian government. Austria had fallen under an international receivership, which had not been seen openly since Lord Croner became the financial adviser to the bankrupt Khedivial Government of Egypt a little less than half a century earlier. [edit] Austrofascism and the Third Reich See also: Austrofascism and Austrian Civil War The First Austrian Republic, lasted until 1933 when Chancellor Engelbert Dollfuss dissolved parliament and established an autocratic regime tending towards Italian fascism, (Austrofascism) in order, partly, to check the power of Nazis who were still advocating union with Germany.[27][28] The two big parties at this time —the Social Democrats and the Conservatives— had paramilitary armies, which fought each other.[29] The "Heimwehr" (later integrated into the "Vaterländische Front") , the paramilitary arm of the Conservative party supported Dollfuss' s Fascist regime; the "Republikanischer Schutzbund", was the military arm of the Social Democrats which was outlawed in 1933 but still existed underground - civil war was to break out.[27][28][30] After the Austrian Civil War in February 1934, several members of the Schutzbund were executed,[31] the Social Democratic party was outlawed and many of its members were imprisoned or emigrated.[30] In May of that year the Fascists introduced a new constitution ("Maiverfassung") which cemented Dollfuss's power but on 25 July he was assassinated in a Nazi coup attempt.[32][33] His successor Kurt Schuschnigg, struggled to keep Austria independent (even a restoration of the Habsburgs was contemplated), but on 12 March 1938 German troops occupied the country[34] and established a plebiscite confirming union with Germany. Hitler was himself a native of Austria who had lost Austrian citizenship in 1925. Hitler proclaimed the annexation (Anschluss) of Austria by Germany. Austria was incorporated into the Third Reich and ceased to exist as an independent state. The Nazis called Austria "Ostmark"[34] until 1942 when it was again renamed and called "Alpen-Donau-Reichsgaue." Some Austrians joined the resistance, but many more joined the German armed forces (Wehrmacht). Vienna fell on 13 April 1945 during the Soviet Vienna Offensive. This was just before the total collapse of the Third Reich, the defeat of Nazi Germany, the fall of Berlin, and the end of the war in May. Karl Renner astutely set up a Provisional Government in Vienna in April with the tacit approval of the victorious Soviet forces,[35] and declared Austria's secession from the Third Reich. [edit] After the defeat of Germany, Allied Occupation See also: Allied-administered Austria Much like Germany, Austria, too, was divided into a British, a French, a Soviet and an American Zone and governed by the Allied Commission for Austria.[36] Largely owing to Karl Renner's action on April 27th in setting up a Provisional Government, however, there was a subtle difference in the treatment of Austria by the Allies.[35] The Austrian Government was recognized and tolerated by the Four Powers. Austria, in general, was treated like it had been originally invaded by Germany and liberated by the Allies. Although the Eastern part of Austria, including the greater Vienna area, lay in the Soviet Zone, the capital itself was equally divided into four occupational zones. Outside of Vienna, however, travel across zone borders, in particular leaving or entering the Soviet zone, was difficult and time-consuming if possible at all. During the time of the Berlin Air Lift, Soviet military pressure was increased further, but could be successfully overcome by skillful military, political and diplomatic influence on the part of the other Allies. On 15 May 1955 Austria regained full independence by concluding the Austrian State Treaty with the Four Occupying Powers. On 26 October 1955 Austria was declared "permanently neutral" by act of Parliament, which it remains to this day.[37] [edit] Recent history The political system of the Second Republic came to be characterized by the system of Proporz, meaning that most posts of some political importance were split evenly between members of the Social Democrats (Labour Party) and the People's Party (Conservatives).[38] Interest group representations with mandatory membership (e.g. for workers, businesspeople, farmers etc.) grew to considerable importance and were usually consulted in the legislative process, so that hardly any legislation was passed that did not reflect widespread consensus.[39] The Proporz and consensus systems largely held even during the years between 1966 and 1983, when there were non-coalition governments, but this era has now passed. Austria today has five major political parties: The SPÖ (Labour Party) , the ÖVP (Conservatives) , the "Greens" (Environmental, social-liberal) and FPÖ/BZÖ (both right-wing, nationalist). SPÖ and ÖVP share about 75% of the parliamentary mandates, while the remaining 25% are divided between the other three parties. Austria became a member of the European Union in 1995[40] and retained its constitutional neutrality, like some other EU members, such as Sweden. The major parties SPÖ and ÖVP have contrary opinions about the future status of Austria's military neutrality: While the SPÖ supports a neutral role in the EU (together with other neutral EU members like Sweden), the ÖVP argues for stronger integration into the EU's security policy; even a future NATO is not ruled out by some ÖVP politicians. Since the "permanent neutrality" forms part of the Austrian constitution, a two-thirds majority in the Austrian parliament would be needed for such a change in policy. [edit] Politics Austrian Parliament in Vienna Main article: Politics of Austria [edit] Political system The Parliament of Austria is located in Vienna, the nation's largest city and capital. Austria became a federal, parliamentarian, democratic republic through the Federal Constitution of 1920. It was reintroduced in 1945 to the nine states of the Federal Republic.[41] The head of state is the Federal President, who is directly elected by popular vote. The chairman of the Federal Government is the Federal Chancellor, who is appointed by the president. The government can be removed from office by either a presidential decree or by vote of no confidence in the lower chamber of parliament, the Nationalrat. The Parliament of Austria consists of two chambers. The composition of the Nationalrat is determined every five years by a general election in which every citizen over 16 years (since 2007) is allowed to vote to fill its 183 seats. A recent extension of that term from four to five years will become effective after the next election. While there is a general threshold of 4 percent for all parties at federal elections (Nationalratswahlen) , there remains the possibility to gain a direct seat, or Direktmandat, in one of the 43 regional election districts. The Nationalrat is the dominant chamber in the formation of legislation in Austria. However, the upper house of parliament, the Bundesrat has a limited right of veto (the Nationalrat can — in almost all cases — ultimately pass the respective bill by voting a second time. This is referred to as 'Beharrungsbeschluss, lit. "vote of persistence"). A convention, called the Österreich -Konvent[42] was convened in June 30, 2003 to decide upon suggestions to reform the constitution, but has failed to produce a proposal that would receive the two thirds of votes in the Nationalrat necessary for constitutional amendments and/or reform. However, some important parts of the final report were generally agreed upon and are still expected to be implemented. [edit] Recent political developments In February 2000 the conservative People's Party formed a coalition with the controversial nationalistic Freedom Party, headed by Jörg Haider. The (at that time) 14 other member states of the European Union - but not the EU itself - condemned Austria's new coalition and froze diplomatic contacts. These measures were commonly referred to as "sanctions" although they were more or less just motions of diplomatic unfriendliness. Given the controversy, Haider chose not to join the government, but he continued to wield influence from the sidelines. This was not, however, the first time that the Republic of Austria had displeased international opinion. In 1986, the population voted for Kurt Waldheim as president despite his revelation that he had been active in the Wehrmacht as an intelligence officer during World War II. In September 2002, the coalition between the People's Party and the Freedom Party dissolved after a shake-up in the Freedom Party. In November 2002, the People's Party made large gains in general elections again. After a lot of coalition talks with other parties, the People's Party again formed a government with the Freedom Party in February 2003 with Wolfgang Schüssel as Chancellor. After general elections held in October 2006, the Social Democrats emerged as the largest party, whereas the People's Party lost about 8% in votes. Political realities prohibited any of the two major parties from forming a coalition with smaller parties. In January 2007 the People's Party and Social Democrats formed a Grand Coalition with the social democrat Alfred Gusenbauer as Chancellor. [edit] Foreign policy Embassy of Austria in London Main article: Foreign relations of Austria The 1955 Austrian State Treaty ended the occupation of Austria following World War II and recognized Austria as an independent and sovereign state. In October 1955, the Federal Assembly passed a constitutional law in which "Austria declares of her own free will her perpetual neutrality." The second section of this law stated that "in all future times Austria will not join any military alliances and will not permit the establishment of any foreign military bases on her territory." Since then, Austria has shaped its foreign policy on the basis of neutrality. Austria began to reassess its definition of neutrality following the fall of the Soviet Union, granting overflight rights for the UN-sanctioned action against Iraq in 1991, and, since 1995, contemplating participation in the EU's evolving security structure. Also in 1995, it joined the Partnership for Peace and subsequently participated in peacekeeping missions in Bosnia. Austria attaches great importance to participation in the Organisation for Economic Co-operation and Development and other international economic organizations, and it has played an active role in the Organization for Security and Cooperation in Europe (OSCE). [edit] Energy politics In 1972, the country began construction of a nuclear-powered electricity-generation station at Zwentendorf on the River Danube, following a unanimous vote in parliament. However, in 1978, a referendum voted approximately 50.5% against nuclear power, 49.5% for,[43] and parliament subsequently unanimously passed a law forbidding the use of nuclear power to generate electricity. Austria currently produces more than half of its electricity by hydropower. Together with other renewable energy sources such as wind, solar and biomass powerplants, the electricity supply from renewable energy amounts to nearly 80% of total use in Austria. The rest is produced by gas and oil powerplants. [edit] Military Austrian Guard Company on parade - July 14th 2007, Champs Elysées, Paris. Main article: Military of Austria The manpower of the Austrian Armed Forces ("Bundesheer") mainly relies on conscription. All males who have reached the age of eighteen and are found fit get recruited for a six months long military service, which can be postponed under some circumstances. Conscientious objection is legally possible and obliges to serve an institutionalized nine months civilian service instead. Only since 1998, women can volunteer to become professional soldiers. The main sectors of the Bundesheer are Joint Forces (Streitkräfteführungskommando, SKFüKdo) which consist of Land Forces (Landstreitkräfte) , Air Forces (Luftstreitkräfte) , International Missions (Internationale Einsätze) , and Special Forces (Spezialeinsatzkräfte) ; next to Mission Support (Kommando Einsatzunterstützung; KdoEU) and Command Support (Kommando Führungsunterstützung; KdoFüU). In 2004, Austria expends about 0.9% of its GDP for defense. The Army currently has about 45,000 soldiers, of which about half are conscripts. As head of state, Austrian President (currently Heinz Fischer) is nominally the Commander-in-Chief of the Bundesheer. In practical reality, however, command of the Austrian Armed Forces is almost exclusively exercised by the Minister of Defense, currently Norbert Darabos. With the end of the Cold War, and more importantly the removal of the former heavily guarded "Iron Curtain" separating Austria and Hungary, the Austrian military have been assisting Austrian border guards in trying to prevent border crossings by illegal immigrants. This assistance came to an end when Hungary joined the EU Schengen area in 2008, for all intents and purposes abolishing "internal" border controls between treaty states. Some politicians have called for a prolongation of this mission, but the legality of this is heavily disputed. In accordance with the Austrian constitution, armed forces may only be deployed in a limited number of cases, mainly to defend the country and aid in cases of national emergencies, such as in the wake of natural disasters etc. They may general