Federal State of Austria

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Federal State of Austria
Bundesstaat Österreich (German)
1934–1938
Anthem: 
President 
• 1934–1938
Wilhelm Miklas
Chancellor 
• 1934
Engelbert Dollfuss
• 1934–1938
Kurt Schuschnigg
• 1938
Arthur Seyss-Inquart
Legislature
May Constitution
1 May 1934
25 July 1934
12 February 1938
13 March 1938
CurrencyAustrian schilling
ISO 3166 codeAT
Preceded by
Succeeded by
First Austrian Republic
Nazi Germany
Today part ofAustria
Patriotic Front
.

The Federal State of Austria (

Catholic
influences.

It ended in March 1938 with the Anschluss (the German annexation of Austria). Austria would not become an independent country again until 1955, when the Austrian State Treaty ended the Allied occupation of Austria.

History

Fatherland Front rally in 1936

In the 1890s, the founding members of the conservative-clerical

Karl von Vogelsang and the Vienna mayor Karl Lueger had already developed anti-liberal views,[2] though primarily from an economic perspective considering the pauperization of the proletariat and the lower middle class. Strongly referring to the doctrine of Catholic social teaching, the CS agitated against the Austrian labour movement led by the Social Democratic Party of Austria
.

Self-coup

Kurt Schuschnigg in 1936
Flag of the Fatherland Front

During the

Nationalrat, after irregularities occurred during a voting process. Dollfuss called the incident a "self-elimination" (Selbstausschaltung) of the parliament and had the following meeting on 15 March forcibly prorogued by the forces of the Vienna police department. From then onward, Dollfuss governed by emergency decree. His fellow CS party member, President Wilhelm Miklas
did not take any action to restore democracy.

Chancellor Dollfuss then governed by emergency decree, banning the

Fatherland's Front as a unity party of "an autonomous, Christian, German, corporative Federal State of Austria". On 12 February 1934 the government's attempts to enforce the ban of the Schutzbund at the Hotel Schiff in Linz sparked the Austrian Civil War. The revolt was suppressed with support by the Bundesheer and right-wing Heimwehr troops under Ernst Rüdiger Starhemberg
, and ended with the ban of the Social Democratic Party and the trade unions.

The path to dictatorship was completed on 1 May 1934, when the Constitution of Austria was recast into a severely authoritarian and corporatist document by a rump National Council. Direct parliamentary elections were abolished. Instead, deputies were nominated by four non-elective, corporatist-styled councils – the State Council (Staatsrat), Federal Culture Council (Bundeskulturrat), Federal Economic Council (Bundeswirtschaftsrat), and the States' Council (Länderrat). In practice, however, all governing power was now in Dollfuss' hands.

Dollfuss continued to rule under what amounted to martial law until his assassination on 25 July 1934 during the Nazi

Second Italo-Abyssinian War of 1935–36, when Mussolini, internationally isolated, approached Hitler. Though Schuschnigg tried to improve relations with Nazi Germany by amnestying several Austrian Nazis and accepting them in the Fatherland's Front, he had no chance to prevail against the "axis" of Berlin and Rome
proclaimed by Mussolini on 1 November 1936.

One of the reasons for the failure of the putsch was Italian intervention: Mussolini assembled an army corps of four divisions on the Austrian border and threatened Hitler with a war with Italy in the event of a German invasion of Austria as originally planned, should the coup have been more successful. Support for the Nazi movement in Austria was surpassed only by that in Germany, allegedly amounting to 75% in some areas.[3]

Ideology

The Federal State of Austria glorified the history of Austria. The Habsburg Monarchy was elevated as a time of greatness in Austrian history. The Catholic Church played a large role in the nation's definition of Austrian history and identity, alienating German culture. Unlike Hitler's comparatively secular regime, the Catholic Church was given a prominent voice in a variety of issues. The state de-secularized schools in education, requiring religious education to complete the Matura graduation exams. According to this ideology, Austrians were "better Germans".[4] In keeping with the regime's Catholicism, the regime elevated the non-communist[clarification needed] and non-capitalist teachings of Papal Encyclicals, most prominently Quadragesimo anno of Pope Pius XI.

Despite its nominal embrace of corporatism and shunning of liberal capitalism, the Federal State pursued a fiscal conservative monetary policy.

better source needed
]

The Federal State pursued harsh deflationary policies to balance the currency. It also cut spending drastically, and high interest rates were the norm. The budget deficit was slashed from over 200 million shillings to less than 50 million.[6] By 1936, only 50% of the unemployed were receiving unemployment benefits. These policies coincided with a catastrophic economic contraction. According to Angus Maddison's estimates, unemployment peaked at 26% in 1933, failing to fall under 20% until 1937.[7] This can be contrasted with German unemployment, which peaked at 30% in 1932 and had fallen to less than 5% by 1937. Additionally, real GDP collapsed, not returning to pre-1929 levels until 1937.

Whether the Federal State could be considered genuinely fascist is debatable. Although it was authoritarian and used fascist-like symbols, it never achieved broad support among Austrians. Its most prominent policy was an embrace of Catholicism, and its economic and social policies bear only a passing resemblance to those of Fascist Italy and Nazi Germany and more of a resemblance to Portugal under Salazar. .[citation needed]

Civil rights

John Gunther wrote in 1940 that the state "assaulted the rights of citizens in a fantastic manner", noting that in 1934 the police raided 106,000 homes in Vienna and made 38,141 arrests of Nazis, social democrats, liberals and communists. He added, however:[8]

But—and it was an important "but"—the terror never reached anything like the repressive force of the Nazi terror. Most of those arrested promptly got out of jail again. Even at its most extreme phase, it was difficult to take the Schuschnigg dictatorship completely seriously, although Schutzbunders tried in 1935 got mercilessly severe sentences. This was because of Austrian gentleness, Austrian genius for compromise, Austrian love for cloudy legal abstractions, and Austrian Schlamperei.

Anschluss

According to the

interior ministry
.

After the British ambassador to Berlin,

Federal Chancellery
and forced Schuschnigg to resign. Seyss-Inquart was sworn in as his successor by Miklas and the next day Wehrmacht troops crossed the border meeting no resistance.

Hitler had originally intended to retain Austria as a puppet state headed by Seyss-Inquart. However, the enthusiastic support for Hitler led him to change his stance and support a full

"accession of my homeland to the German Reich". A highly dubious referendum
was held on 10 April, ratifying the Anschluss with an implausible 99,73% of votes.

References

  1. .
  2. ^ "AUSTRIA: Eve of Renewal". Time. 25 September 1933. Archived from the original on November 6, 2012 – via www.time.com.
  3. .
  4. ^ Hoppe, Hans-Hermann (1997). "The Meaning of the Mises Papers". mises.org.
  5. ^ Berger, Peter (2003). The League of Nations and Interwar Austria: Critical Assessment of a Partnership in Economic Reconstruction. New Brunswick: Transaction Publishers. p. 90.
  6. ^ Maddison, Angus (1982). Phases of Capitalist Development. Oxford: Oxford University Press. p. 206.
  7. ^ Gunther, John (1940). Inside Europe. New York: Harper & Brothers. p. 416.

Further reading