Facts about Austria
Although Austria is rarely in the headlines these days, it was once part of a dominant European power. Following are the key facts about Austria you should know.
Facts about Austria
The Austro-Hungarian Empire played a decisive role in central European history. It occupied strategic territory containing the southeastern routes to Western Europe and the north-south routes between Germany and Italy. Present-day Austria retains this unique position.
Soon after the Republic of Austria was created at the end of World War I, it faced the strains of catastrophic inflation and of adapting a large government structure to the needs of a new, smaller republic. In the early 1930s, worldwide depression and unemployment added to these strains and shattered traditional Austrian society. In 1933, Engelbert Dollfuss formed a conservative autocracy. In February 1934, civil war broke out, and the Socialist Party was outlawed. In July, a coup d'etat by the National Socialists failed, but Nazis assassinated Dollfuss. In March 1938, Germany occupied Austria and incorporated it into the German Reich. This development is commonly known as the "Anschluss" (annexation).
At the Moscow conference in 1943, the Allies declared their intention to liberate and reconstitute Austria. In April 1945, both Eastern- and Western-front Allied forces liberated the country. Subsequently, the victorious allies divided Austria into zones of occupation similar to those in Germany with a four-power administration of Vienna. Under the 1945 Potsdam agreements, the Soviets took control of German assets in their zone of occupation. These included 7% of Austria's manufacturing plants, 95% of its oil resources, and about 80% of its refinery capacity. The properties returned to Austria under the Austrian State Treaty. This treaty, signed in Vienna on May 15, 1955, came into effect on July 27, and, under its provisions, all occupation forces departed by October 25, 1955. Austria became free and independent for the first time since 1938.
Facts about Austria – Government
The Austrian president convenes and concludes parliamentary sessions and under certain conditions can dissolve Parliament. However, no Austrian president has dissolved Parliament in the Second Republic. The custom is for Parliament to call for new elections if needed. The president requests a party leader, usually the leader of the strongest party, to form a government. Upon the recommendation of the Federal Chancellor, the president also appoints cabinet ministers.
The Federal Assembly (Parliament) consists of two houses--the National Council (Nationalrat), or lower house, and the Federal Council (Bundesrat), or upper house. Legislative authority resides in the National Council upon elections. Its 183 members serve for a maximum 4-year term in a three-tiered system, based on proportional representation. The National Council may dissolve itself by a simple majority vote or the president may dissolve it on the recommendation of the Chancellor. The 62 members of the Federal Council are elected by the legislatures of the nine states for 5- to 6-year terms. The Federal Council only reviews legislation passed by the National Council and can delay but not veto its enactment.
The highest courts of Austria's independent judiciary are the Constitutional Court; the Administrative Court, which handles bureaucratic disputes; and the Supreme Court, for civil and criminal cases. While the Supreme Court is the court of highest instance for the judiciary, the Administrative Court acts as the supervisory body over government administrative acts of the executive branch, and the Constitutional Court presides over constitutional issues. Justices of the three courts are appointed by the president for specific terms.
The legislatures of Austria's nine Laender (states) elect the governors. Although most authority, including that of the police, rests with the federal government, the states have considerable responsibility for welfare matters and local administration. Strong state and local loyalties have roots in tradition and history.
Facts about Austria – Economy
Austria has a well-developed social market economy with a high standard of living in which the government has played an important role. The government nationalized many of the country's largest firms in the early post-war period to protect them from Soviet takeover as war reparations. For many years, the government and its state-owned industries conglomerate played a very important role in the Austrian economy. However, starting in the early 1990s, the group broke apart, state-owned firms started to operate largely as private businesses, and the government wholly or partially privatized many of these firms. Although the government's privatization work in past years has been very successful, it still operates some firms, state monopolies, utilities, and services. The Schuessel government has presented an ambitious privatization program, which it is implementing, and which should further reduce government participation in the economy. Austria enjoys well-developed industry, banking, transportation, services, and commercial facilities. Some industries, such as several iron and steel works and chemical plants, are large industrial enterprises employing thousands of people. However, most industrial and commercial enterprises in Austria are relatively small on an international scale.
Austria has a strong labor movement. The Austrian Trade Union Federation (OGB) comprises constituent unions with a total membership of about 1.4 million--about 40% of the country's wage and salary earners. Since 1945, the OGB has pursued a moderate, consensus-oriented wage policy, cooperating with industry, agriculture, and the government on a broad range of social and economic issues in what is known as Austria's "social partnership." The OGB has announced opposition to the new government's program for budget consolidation, social reform, and improving the business climate, and indications are rising that Austria's peaceful social climate could become more confrontational.
Austrian farms, like those of other west European mountainous countries, are small and fragmented, and production is relatively expensive. Since Austria became a member of the EU in 1995, the Austrian agricultural sector has been undergoing substantial reform under the EU's common agricultural policy (CAP). Although Austrian farmers provide about 80% of domestic food requirements, the agricultural contribution to gross domestic product (GDP) has declined since 1950 to about 2%.
Austria has achieved sustained economic growth. During the 1950s, the average annual growth rate was more than 5% in real terms and averaged about 4.5% through most of the 1960s. In the second half of the 1970s, the annual average growth rate was 3% in real terms, though it averaged only about 1.5% through the first half of the 1980s before rebounding to an average of 3.2% in the second half of the 1980s. At 2%, growth was weaker again in the first half of the 1990s, but averaged 2.5% again in the period 1997 to 2001. After real GDP growth of 1.4% in 2002, the economy grew again only 0.7% in 2003, with 2001-2003 being the longest low-growth period since World War II. In 2004, Austria’s economy recovered and grew 2.0%, driven by booming exports in response to strong world economic growth.
Austria became a member of the EU on January 1, 1995. Membership brought economic benefits and challenges and has drawn an influx of foreign investors. Austria also has made progress in generally increasing its international competitiveness. As a member of the Economic and Monetary Union (EMU), Austria has integrated its economy with those of other EU member countries, especially with Germany’s. On January 1, 1999, Austria introduced the new Euro currency for accounting purposes.
In January 2002, Austria introduced Euro notes and coins in place of the Austrian schilling. Economists agree that the economic effects in Austria of using a common currency with the rest of the members of the Euro-zone have been positive.
Trade with other EU-25 countries accounts for about 71% of Austrian imports and exports. Expanding trade and investment in the new EU members of central and eastern Europe that joined the EU in May 2004 represent a major element of Austrian economic activity. Austrian firms have sizable investments in and continue to move labor-intensive, low-tech production to these countries.
Facts about Austria – Hard Facts
The official name of the country is Republic of Austria. It covers a relatively small area of land, 32,000 square miles. The capital is beautiful Vienna, which has a population of just over 1.6 million people. Other cities of note include Salzburg and Innsbruck which has hosted a winter Olympics. The country is predominantly a mountainous one and has a climate categorized as continental with plenty of rain and snowfall. Summers in the mountains of Austria are simply dazzling.
The people of Austria are known as “Austrians.” The total population for the country is just over 8 million people, and barely growing each year at a rate of .4 percent. The ethnicity of Austrians breaks down as 98 percent German with a mix of neighboring country natives mixed in. The dominant language is German. Roman Catholic is the faith of 73 percent of Austrians although 12 percent claim no religion at all. The literacy rate in this well-developed country is 98 percent. Life expectancy for women is 81.7 years while men average 75.9.
As these facts about Austria demonstrate, the country has seen all sides of the power ledger. Regardless, Austria is a beautiful country with a rich cultural heritage and is definitely worth a visit.