Union
between Austria and Hungary took place in 1867. Overall political
authority was held by Emperor Franz Josef.
Over 51 million people lived in the 675,000 square kilometres of the
empire. The two largest ethnic groups were Germans (10 million) and
Hungarians (9 million). There were also Poles, Croats, Bosnians, Serbians,
Italians, Czechs, Ruthenes, Slovenes, Slovaks and Romanians. Overall,
fifteen different languages were spoken in the Austro-Hungarian empire.
Austria and Hungary shared the same currency but other state functions
rested with the national governments. Both states had unelected upper
houses and elected lower houses of parliament. Hungarian politicians
complained that the Austrian parliament was too powerful and that
they were considered to be junior partners.
The Austro-Hungarian government feared attack from Russia
. In 1879 Austro-Hungary and Germany
agreed to form a Dual Alliance. This became the Triple
Alliance when in 1882 it was expanded to include Italy.
The three countries agreed to support each other if attacked by either
France or Russia.
The Triple Alliance was renewed at five-yearly
intervals. The formation of the Triple Entente
in 1907 by Britain, France
and Russia, reinforced the belief that
they needed a military alliance.
The Austro-Hungarian Imperial Army was
officially under the control of the Commander-in-Chief, Emperor Franz
Josef. By 1914 Josef was 84 years old and the chief of staff,
Count Franz Conrad, had more power over
the armed forces. Conrad, favoured an aggressive foreign policy and
advocated the use of military action to solve Austro-Hungary's territorial
disputes with Italy and Serbia.
The Austro-Hungarian
Navy was fairly small. By 1914 it had 16 battleships,
5 cruisers, 18 destroyers
and 5 submarines. Austro-Hungary neglected
military aviation and in 1914 the Austro-Hungarian
Air Service only had 35 aircraft
and one airship.

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