How Successful Were The Russian Governments In Promoting Economic Change And Modernisation Between 1881 and 1904? When Alexander III came into power, he made sure that industrialization was at the forefront of his plans. So under Vyshnedgradsky and Witte, various measures were imposed to help kick start industrialization, which led to significant economic change The improved transport system, which resulted from government investment in infrastructure like the railways, helped to vastly improve Russia’s economic situation. This is evident through the clear positive correlation between railway improvements and increases in Russia’s industrial output. The length of railway tracks in Russia increased form 31219 miles in 1891 to 58392 miles by 1904.
While it has been argued that an exceptional economic growth caused some problems, the advantages that came with it, outweigh the negatives. Germany’s economic growth was exceptional, industries such as the production of coal and iron doubled in the years up to 1914. By 1900, Germany’s particularly strong steel industry had exceeded that of Britain’s and by the beginning of the first world war, Germany‘s share of trade in the world was equal to Britain’s. Therefore, the power of the elites was not being threatened, as the country was benefitting from the money that the economic growth had brought in, to a high extent. Germany led the way on Europe with the creation of new industries such as chemicals, pharmaceuticals, electrics and motor manufacture.
Nationalism held the several German states together as one and a new German empire with Bismarck as emperor was formed. This brought on industrial and scientific progress in Germany causing their economy to prosper. When the Germans were unified and working together within themselves they became a leading role in Europe growing immensely in
Some historians such as Lipson and Passant have argued that the Zollverein became an integral tool in the coming of German unification, and the part it played in breaking down the traditional state boundaries which in turn led to unification. Lipson indicates that the Zollverein built the foundations for a united Germany, and writes; “Economic unity paved the way for political unity, and community of material interests stimulated the growth of national feeling and fostered national consciousness.’1 Lipson argues that the Zollverein acted as a tool that would unite Germany economically at first, but in time it led to political and eventually total unification. When the Zollverein came into establishment on the 1st January 1834 it brought together 18 states with a population of 26 million people, all unified under the terms of free trade; tariffs were to be the same across all frontiers. We can see how the Zollverein began to unify Germany because by 1837 all of the southern states were sharing the same currency, the florin, and that by 1844, almost all of Germany, bar Austria and three other states, were unified. Bowring can be seen supporting Lipson’s argument by writing in 1840, “In fact the Zollverein has brought the sentiment of German nationality out of the regions of hope and fancy into those of positive and material interests.2” Here Bowring agrees with Lipson’s statement that the creation of the Zollverein brought about the first form of German unification by breaking down the stately barriers that had previously hindered unification.
This enabled Germany to make regular easy payments. Eventually, this led to massive foreign investment in Germany. As a positive multiplier effect, factories were set up, jobs increased, unemployment declined, wealth was created and standard of living improved. Germany had begun to establish it’s stability as a nation. In addition to economic improvements, changes were made internationally, regarding foreign relations resulting in reclaiming their pride and status.
Kleindutch supporters saw in Prussia a more cohesive state, which was less archaic and more progressive economically. Also Bismark was more determined to prepare his army and do anything to unify with Prussia. It was the famous blood and iron theory. Also his international diplomacy was a key figure on the unification with Germany. Between 1864 and 1865 he promoted an alliance with Austria reasoning that this would allay the fears of the southern German states, which were more naturally inclined towards Vienna than Berlin.
The unification of Germany, to a certain extent, was achieved due to the contribution of Otto von Bismarck. This essay will discuss the impact that Bismarck had and also other factors that had an effect on German unification. These other factors include the rise of nationalism with in German states and economic changes such as the Zollverein. The boost in industrialisation and also the expansion of the railway network which had the domino effect on the sudden population growth also had a role in German unification. Firstly we will look at the role of which Bismarck played towards German unification.
As a result of the Zollverein, unification was encouraged, as the states within the German Confederation could now trade with each other easily, and their trading interactions helped lead to a common sense of nationalism. The Zollverin also reduced protectionist barriers among the German states (excluding Austria). This improved transportation of raw materials and goods. Materials moved easier across borders, which was less costly. This was important for emerging industrial centers.
To what extent was Bismarck solely responsible for the unification of Germany by 1871? There is often historical debate over who and what was responsible for the unification of Kleindeutsch (small Germany); Otto Van Bismarck was by no means solely responsible for the unification of Germany, however, he was a key player in bringing unification around and has to be recognised as an important factor contributing towards German unification by 1871. Other elements of German life that allowed for Unification to finally be brought about included the strong position of the German economy by 1871, nationalisn and its rapid growth up to and including 1871 and the political factors that made unification in Germany possible in the end The economic union in Germany had quite a large and to all effects major impact upon the unification of Germany. This is not to state however, that it was by any means the main factor contributing to the unification of Germany. Mckinnon emphasizes that the unification of Germany was not an unavoidable outcome of economical forces.
J.M. Keynes said that “The German unification was built more truly on coal and iron than blood and iron”. To him it was economic development of Prussia was a decisive factor. The economic unity of Prussia, in fact created political unity among German states. Establishment of Zollverein was a victory for free trade.