Paris Peace Treaties (1919-1923); aims, issues and responses

Overview- in SL, this is the impact of the treaties in detail Versailles Neuilly Trianon St Germain Sèvres/Lausanne

Paris Peace Treaties overall effects

• Created a power vacuum in Eastern Europe; Germany, being the strongest country in the region, able to use this to its advantage.

St Germain and Trianon

• Austria-Hungary used to be a large multiethnic empire

• Peacemakers faced tensions whilst splitting up the empire + creating new states

• Some states contained minorities- could appeal to LoN in a minorities Commission for protected rights

• Before war, AH was a big economic unit, after not- resulted in economic chaos

• Creation of many small states in EU, reduced stability + increased political and economic vulnerability

• New currency introduced

• Both gained authoritarian governments

St Germain overall impact on Austria

Economic + political

• Lacked sufficient food

Economic crisis as an impact of St Germain on Austria

Most Austrian industries shut down for lack of supplies + markets so unemployed workers unable to afford food and basic supplies

• Vienna’s centre of manufacturing used to be supplied with coal from Czechoslovakia and food for processing from Hungary

• Neighbouring states wanted to develop own industries- placed taxes and barriers on Austrian imports

Hyperinflation

• Krone increased from 16.1 to one US dollar in 1919 to 70,800 by 1923

• Prices increased over 14,000%

• LoN in Oct 1922 arranged for a 650 mil crown loan + by end of 1923, stable schilling replaced the crown- economy more stable + potential investors reassured

• 1922, Treaty of Lana w Czechoslovakia arranged for coal to be supplied to Aus industries

Political crisis as an impact of St Germain on Austria

• 1919-20 coalition of 2 parties: Christian Social Party and Social Democrats

• Both formed paramilitary organisations to protect themselves + intimidate opponents because of political instability

• Led to conservative paramilitaries shooting people

• Conservative groups established authoritarian regime in 1933 under Dolfuss

Separation of coalition

First in 1919-1920 there was a coalition of the ‘Christian Social Party’ and the ‘Social democrats’

Christian Social Party

• conservative

• support from middle class, industrialists

• based in smaller cities + rural areas

Social Democrats

• working class projects, tax luxuries

• based in Vienna

Both formed paramilitary organisations

What happened in January 1927?

Conservative paramilitaries shot and killed several people whilst attacking a socialist paramilitary group

• Social democrats burned Vienna main court to the ground because the conservative paramilitaries were acquitted of any crime in July

• This led to a political rift between 2 major groups, there was a strike with 600 wounded

• Conservative groups called for an end to parliamentary democracy

• In 1933, in the midst of a political and economic crisis, Christian social leader Dolfuss banned other political parties and established a Fascist authoritarian regime

Trianon overall impact on Hungary

• Economic crisis

• but stable gov

What did Hungary suffer from unlike Austria at the ‘end of the war’?

Continued war: 1919-1920

• Communist revolt in 1919 under Jun inspired by Russian Bolsheviks

• Temporary Hungarian Soviet Republic created

• Kun’s communists + other opponents (some by Admiral Horthy a war hero) fought

• By August 1919 Romanian army defeated communists

• Then by March 1920, Romanians left Hungary and took 50% railroad equip, 30% all livestock & agricultural equip, 35,000 wagon loads of animal feed and grain as COMPENSATION FOR LOSSES IN WAR + RECENT CONFLICT

What did the T of Trianon do?

Compounded economic and political problems

• 6 million Hungarians displaced

• Lost 84% iron mines

• Lost 89% former timber resources

Economic crisis as an effect of Trianon

Hungary not prepared for independence

Produced 500% supplies of farm products- Hungary produced but Austria recieved- now that markets separated in empire caused surplus + drop

• unemployment rose + grain production went down by 70%

Lack of raw materials

Industrial output declined due to hostile neighbours

• sought independence + wanted to develop own economies

Hyperinflation until 1924 due to crown

• 1924, LoN introduced pengo- helped stabilise economy + soon private bank gave loans

Silver lining of economic crisis

With new currency helping to stabilise economy…

• 75% increase in no of factories by 1929

• Foreign trade value increased by over 100%

Stable gov in Hungary?

Yes.

• After Romanian army left in March 1920, former Admiral Horthy received powers of monarch

• Bethlen (arch-conservative nationalist) PM form 1921-1931- led coalition of smaller parties (Party of Unity)

• Bethlen kept political opposition tightly controlled + placed wealthy industrialists/landowners in gov positions

• As a result, limited land reform, peasants, Jews suffered from discrimination

• Bethlen didnt challenge Trianon aggressively (needed foreign loans- didnt want to provoke Little Entente)

Hungary + Italy signed T of Friendship in 1927- hopes this would lead to a political leverage- revise treaty, but in VAIN

Little Entente

A coalition of Czechoslovakia, Romania + Yugoslavia to work against Hungarian attempts to reclaim now occupied lost lands