The Ottoman military action began, after a protest against the watch

kept by British warships at the mouth of the Dardanelles to prevent

the _Goeben_ and _Breslau_ from escaping, and against the British

navigation of the Shatt-el-Arab, by an incursion on October 28 into the

Sinai Peninsula of an armed body of 2,000 Bedouins whose objective was

the Suez Canal; and on the same day the Turkish Fleet bombarded Odessa,

Theodosia, and Novorossyisk, Russian unfortified harbours in the Black

Sea. No reply having been given to the protest of the ambassadors of

the Allies against this outrage, they demanded their passports and left

Constantinople on November 1. The Dardanelles forts were bombarded by

a combined British and French squadron on November 3, and the fort

and troops at Akaba in the Red Sea were shelled by H.M.S. _Minerva_,

upon which the town was evacuated and a landing party destroyed the

fort, the barracks, the post office, and the stores. On November 5

"a state of war" was declared to exist between Great Britain and

Turkey and the former annexed Cyprus (p. 226). On November 13 Turkey

responded by a declaration of war against Great Britain, alleging that

the bombardment of the Russian ports in the Black Sea had taken place

because the Russian Fleet had tried to lay mines outside the Bosphorus

and committed other hostile acts against Turkey. A British and Indian

force also made its way up the Shatt-el-Arab to Basra (Nov. 8-22; p.

245). On November 18 another naval encounter took place in the Black

Sea, in which the Russian Fleet engaged the _Goeben_ and the _Breslau_

off Yalta, compelling them to retire, and inflicting severe injuries on

the _Goeben_.

The failure of the Turkish invasion in the Caucasus (p. 348) caused

much friction between the Turkish and the German officers, the latter

having preferred the plan of an invasion of Egypt. On December 30 the

Sultan of Turkey deprived Hussein Kamel, the new Sultan of Egypt, of

all his decorations for rebellion against Turkey. The attempt to start

a Holy War in Egypt and other Mahommedan countries proved an utter

failure, as it was disregarded by the Mohammedans outside the Ottoman

Empire.

Among the minor incidents which occurred in Turkey during the year was

the death of "Kutchuk" Said Pasha, who was seven times Grand Vizier

(_post_, Obit.), and the trial by court-martial in April of Colonel

Aziz Ali, a distinguished Egyptian officer who had gained popularity

and renown among the Mohammedans by his leadership of the Arab

resistance to the Italians in Cyrenaica, on charges of having caused

loss of life among his troops in Tripoli, of having provoked the enmity

of the Senussi, and of having appropriated public funds to his personal

needs, and his condemnation to death in consequence of the pressure

put upon the members of the Court by his enemies in the Young Turkish

party. The news had caused great perturbation and distress in Egypt,

where Aziz Ali was well known and highly esteemed, and he was finally

pardoned by the Sultan. Another court-martial, which was not influenced

by party motives, showed considerable activity in dealing with offences

committed by Mohammedans against public morality and the State

religion. It ordered the expulsion from Constantinople of fifty Turkish

women found guilty of practising or abetting clandestine prostitution,

and steps were also taken against "white slave" traffickers, two

Turkish women having been found guilty of selling their daughters to

Egyptian houses of ill-fame.

In Albania affairs were in a very disturbed state throughout the year.

In January an Austrian steamer arrived at Valona from Constantinople

with Turkish troops to proclaim Izzet Pasha, the late Turkish War

Minister, as sovereign of Albania, but they were at once arrested

by the Provisional Government in agreement with the International

Commission of Control and the Dutch gendarmerie officers. A more

formidable candidate for the throne was Essad Pasha (A.R., 1913, p.

356), whose troops had a sharp fight on January 11 with those of the

Provisional Government. On January 15 Ismail Kemal Bey handed to the

International Commission his resignation of the Presidency of the

Provisional Government, which he had held since the winter of 1912

(A.R., 1912, p. 356), and Essad Pasha then concluded an agreement with

the British and German delegates on the International Commission of

Control to the effect that he would resign his position as Minister

of the Interior and meet Prince William of Wied as the representative

of the people of Albania. On February 8, the Powers having agreed to

guarantee a loan of 3,000,000_l._ to Albania, Austria-Hungary and

Italy made an advance to the Prince of 500,000_l._ for immediate

requirements, and Essad Pasha started from Durazzo at the head of

a deputation of Albanians for Neuwied, the ancestral castle of the

Prince, who was to bear in Albania the title of "Mpret," a corruption

of "Imperator." The deputation, whose leader was described by the

Bishop of Durazzo as "a brigand in the best and worst sense of the

term," and "a fox who would require an iron hand to keep him under

control," were received at Neuwied by the Prince on February 21, one

of its members bringing with him a small casket containing sand,

earth, and water from Albania. Addressing the Prince in Albanian,

Essad Pasha said that the deputation represented the whole of Albania,

and that the Albanians were happy to welcome their new sovereign, to

which the Prince replied in German, formally accepting the Crown. The

difficulties and responsibilities, he said, had at first made him

hesitate, but now that he had decided to meet them he would give all

his heart and strength to Albania. He proceeded to St. Petersburg,

however, on a visit to the Tsar, before taking up his new duties.

Meanwhile an insurrection broke out in Epirus, the Greeks in the

districts assigned to Albania demanding a Government of their own under

M. Zographos as its chief.

Prince William arrived at Durazzo on March 7, and was welcomed by two

members of the International Commission and Essad Pasha, whom the

Prince at once appointed an Albanian general. On reaching the palace

he appeared on the balcony, while deputations from the neighbouring

towns and Albanian societies abroad marched in file before him, but the

Albanian people were scantily represented, as the date of his coming

was not generally known. The difficulties of his task were considerably

greater than those with which the sovereigns of newly formed States

have in past times had to contend; the northern clans of the country

are totally different in character, language and religion from those of

the south, the former, 140,000 in number, being Roman Catholics, and

the latter, about 260,000, followers of the "Orthodox" Church, while

there were 600,000 Mohammedans scattered all over the country; and the

Albanians generally, who had been the spoilt children of Turkey, to

whom they furnished some of her best statesmen, generals, and soldiers,

had not only hitherto never been taxed, but had received substantial

grants of money from the Sultan, Austria-Hungary, and Italy. Moreover,

Albania is a land of barren mountains, without roads or railways,

which it would require a considerable State revenue to develop. Only

a week after the Prince's arrival, the Albanians attacked the Greeks

at Koritza, and an intertribal feud broke out between the partisans of

Essad Pasha and those of Ismail Kemal Bey; a force of 100 gendarmes

under Dutch officers was sent to restore order, but the officers were

imprisoned and the fighting went on, houses in the villages being

ransacked and women outraged.

On March 18 the first Albanian Cabinet was formed under Turkhan Pasha.

Of the other Ministers two were Roman Catholic, two "Orthodox," and the

rest, including Essad Pasha, the War Minister, Mohammedans. The first

task of the Minister was to deal with the rising in Epirus. The Dutch

officer who had been appointed High Commissioner for Southern Albania

offered the Epirotes an autonomy which almost limited the union with

Albania to a personal one, though he rejected their claim that the

Greek language should be allowed absolute equality with Albanian; but

the Government repudiated even the concessions he had offered. On March

29 the Ministry requested the Powers, through their representatives

at Durazzo, to use their influence with the Greek Government in order

that "the regrettable situation in Epirus" should come to an end,

pointing out that while the Greek troops were being withdrawn from the

districts to be evacuated their place was being taken by insurgent

bands (Komitadjis) organised and armed by the Greek authorities; and as

no steps were taken to put down the rising, the Prince decided to take

over by force if necessary the territory occupied by the insurgents,

and himself to take the command of the troops to be sent against them.

Meanwhile men were arming in all parts of Albania for the liberation

of the threatened territory, and a force of some 10,000 volunteers

marched against them. Several encounters took place between them and

the Epirotes with varying success.

Events now took a sudden and unexpected turn. Essad Pasha, Minister

of War and of the Interior, and hitherto the virtual ruler of the

country, was arrested by Austro-Hungarian and Italian sailors on May

19. Essad's house, which was within 300 yards of the Prince's palace,

had for some time been filled with armed retainers, and it was no

secret that he was planning to dethrone the Prince and take the Crown

for himself. On the evening of the 18th it was ascertained that a

number of insurgents were marching on Durazzo, and at daybreak on the

following morning the Dutch commandant of the gendarmerie called upon

Essad's men to lay down their arms. Essad then ordered his men to

fire, upon which 300 Austro-Hungarian and Italian marines landed and

occupied the town, sending a detachment to Essad's house to escort

him to the jetty, where he was placed on board an Austro-Hungarian

man-of-war and deported to Italy. The insurgents, however, who had now

come within gunshot of Durazzo, assumed such a threatening attitude

that on May 24 the Prince and his wife and children took refuge on

board an Italian warship, though they returned to the palace two

days afterwards. Negotiations were opened with the insurgents by the

International Control Commission, but without result. Their demands

were chiefly of a religious character, as they asked for guarantees

that the Catholic Albanians (the Malissori) would not be sent against

them, and they objected to the banishment of Essad Pasha, whom they

regarded as a martyr to the Mohammedan religion; but the promoters of

the rising appear to have been some officers of the Young Turkish party

at Constantinople who were present in the insurgents' camp. One of the

demands of the insurgents was for the appointment of a Mohammedan

member of the Control Commission. They attacked Durazzo on June 15,

but were repulsed by the Prince's adherents, chiefly Mirdites. A two

days' armistice was concluded between the Prince and the insurgents

on June 22, but at its conclusion the fighting was renewed without

any decisive result. On July 9 Koritza was captured by the Epirotes

after three days' fighting, and a severe bombardment by the regular

Greek Army. As no progress was made in dealing with the insurgents

either before Durazzo or elsewhere, a meeting of the loyal populations

was held on July 19 at Valona, at the instigation of many influential

Albanians, including Ismail Kemal Bey, at which it was unanimously

decided to beg the Prince and the protecting Powers to dismiss the

Cabinet and place the Government in the hands of the International

Commission of Control, as no Albanian Cabinet could deal with the

existing crisis, and the Commission alone "can maintain the sovereign

on the throne, assure national unity and territorial integrity, and

save from certain death over 100,000 refugees." The Prince on his

part summoned to the palace the Ministers of Austria-Hungary, France,

Germany, and Italy (Great Britain and Russia having no representatives

at Durazzo), and addressed them in a brief speech, stating that from

the outset the Albanian problem had been complicated by the Epirote

question and that the slightest sign of unrest elsewhere only increased

the trouble in the South; that the Powers who had placed him on the

throne had shown singularly little readiness to assist him in coping

with his difficulties; they had helped all the other Balkan States,

but had rendered little or no assistance to their special creation;

that immediate help was imperative, and he therefore urged the

Ministers to address a final appeal to their Governments for military

and financial aid. A collapse of the Albanian Government seemed to be

imminent; the towns of Klisura and Tepelen, as well as Koritza, were

captured by irregular Greek bands with, it was said, Greek troops

in disguise, the Mohammedan villages were in flames and horrible

atrocities were committed upon their inhabitants. M. Venezelos, the

Greek Premier, admitted that deserters from the Greek Army had assisted

the Epirotes, but declared that he was powerless to prevent "Greek

national sympathies being so strongly engaged on the Epirote side."

He added that he thought "the Powers had taken insufficient measures

for the creation of an Albanian State." On August 31 a detachment of

insurgents with the Turkish flag occupied Valona without opposition,

and on the same day another, with artillery, attacked Durazzo, firing

several shots at the palace. Next morning they sent a letter to the

representatives of the Powers, stating that they expected the Prince to

leave the country, and issued a proclamation to the people declaring

that as the Prince had not left, the town would be bombarded unless

its inhabitants agreed at once to surrender. The Prince then left

Durazzo (Sept. 4), and on September 11 Burhan Eddin Effendi, son of

the ex-Sultan Abdul Hamid, who was practically the leader of the

insurrection, succeeded him, though in the proclamation issued by

Prince William to the people on leaving he did not abdicate, but stated

that he thought it was best for the task "to which he had sacrificed

his strength and life" that he should go for a time to Western Europe,

and that the International Commission of Control would carry on the

Government during his absence. The Government, however, was taken over

by Burhan Eddin, the self-constituted Prince, with Essad Pasha as his

Prime Minister and Commander-in-Chief. At the end of the year Albania

was under six different regimes. Scutari and its neighbourhood was

governed by a local Commission composed of Moslems and Christians.

Valona was also administered by a Commission. The Mirdites formed a

separate State under Prenk Bib Doda. The Malissors remained isolated

under their patriarchal institutions. The southern districts had been

appropriated by the Greek invaders. Durazzo and the central regions

obeyed Essad Pasha, who enjoyed the title of Prime Minister and was

recognised by the International Commission.

On October 1 a noteworthy declaration was made by M. Venezelos in the

Greek Chamber, to the effect that Greece would remain neutral, but

that she had treaty obligations with regard to Serbia which she would

fulfil; he hoped, however, that nothing would occur which should bind

her to interfere, as Greece desired that the European War should not

spread to the Balkan Peninsula, whose people required peace after

the late war. Greece at any rate would not take the initiative in

disturbing the peace. As to Epirus he had said on March 10 that the

decision of the Powers involved a great disaster for the nation, and

nobody could suggest that Greece was in a position to fight Austria and

Italy. Greece considered Albania now necessary to the preservation of

the balance of power in the Balkans, and, with Serbia, hoped for the

success of the new State. On March 19 the Minister of Marine announced

in the Chamber, amid enthusiastic cheers from all parties, that three

battleships of the Dreadnought type, three armoured cruisers, and a

proportionate number of lighter vessels, would be added to the Fleet.

On June 13 Greece annexed Chios and Mytilene, the islands which the

Powers had agreed were to be ceded to her on the evacuation of Northern

Epirus and the cession of the Island of Saseno to Albania; but in

October she announced her intention of reoccupying provisionally

Northern Epirus owing, among other reasons, to the breakdown of the

Albanian Government substituted by the Powers under the Prince of

Wied and the expediency of putting an end to the sanguinary anarchy

prevailing in that country, as the forces collected by the head of the

provisional Epirote Government, M. Zographos, had not been capable

of maintaining order or security for life and property against the

Albanian insurgents. The Powers not having raised any objection, Greece

occupied Northern Epirus with her troops, and at the same time Italy

occupied the Island of Saseno, which completely dominates the sea

approaches to Valona.

In Bulgaria Parliament opened on January 1 in a new guise, as the

general election which had taken place at the end of the previous year

in consequence of the resignation of the Cabinet (A.R., 1913, p. 358)

had been conducted under a system of proportional representation, and

had resulted in a considerable increase of the number of Agrarian

and Socialist deputies, doubtless due to the disastrous issue of the

last war. There were ninety-nine Ministerialists in the new Chamber,

forty-nine Agrarians, thirty-six Socialists, fourteen Democrats, five

Nationalists, five Radicals, and one Zankovist. As the Royal party

entered the Chamber a Socialist member shouted, "Down with Monarchy,

long live the Republic," and when the King began to read the Speech

from the throne another Socialist member interrupted him with similar

exclamations, saying that 60,000 of the sons of Bulgaria had been

sacrificed to the ambition of the Monarchy; after which all the

Socialists left the Chamber. The Speech laid stress on the resumption

of friendly relations with Roumania and Turkey, and expressed the

conviction that the Bulgarian people would now "recuperate its forces

in lasting peace and work, and dream only of winning victories in the

domain of peaceful development and progress." On the following day the

Premier, M. Radoslavoff, resigned to test the strength of his party,

and on January 5 the King re-appointed him together with the whole of

his Cabinet. Another general election took place to include the newly

annexed districts in Macedonia and Western Thrace, which were to elect

forty-one members in addition to the 204 of whom the old Chamber was

formed. The result of the election was that in the new chamber there

were 128 Ministerialists, fifty Agrarians, twenty-eight Democrats,

twenty-one Socialists, nine Nationalists, five Radicals, and three

Zankovists, giving the Government a majority of twelve over all the

Opposition parties, and showing a considerable loss for the Socialists,

who seemed to have few supporters in the annexed districts, where the

whole Turkish population voted for the Ministerial candidates, with the

result that twelve Mohammedan deputies were elected, besides four from

Northern Bulgaria. A provisional budget for the months of April and

May was introduced by M. Jencheff, Minister of Finance, on April 12.

As a reassuring symptom he pointed to the fall in the rate of exchange

from 20 per cent. at the end of 1913 to 7-1/2 per cent. The expenditure

for 1913 he estimated at 8,000,000_l._, and the floating debt of

19,000,000_l._ was to be consolidated. Diplomatic relations with Serbia

were resumed on February 17. On June 9 the Prime Minister conveyed

the regret of the Government for the attacks which had been made on

Greek churches at Sofia, Varna, and Burgas by the people, who had been

incited by the priests and an official of the Russian Consulate. During

a debate in the Sobranje on the subject the Premier said Bulgaria would

do everything to preserve neighbourly relations with the other Balkan

States, but that it was difficult to follow this policy owing to the

ill-treatment suffered by Bulgarians in Greece and Serbia; a number

of refugees who had been beaten and outraged had arrived only on the

previous day. Both the Greek and Serbian Governments had ever since

the partition of Macedonia done their utmost to destroy all trace of

Bulgarian life and culture in the districts which they had annexed.

As regards the European War the Premier declared on October 29 that

the Bulgarian Government felt it a duty to proclaim the neutrality

of Bulgaria and to preserve such neutrality strictly and loyally, in

accordance with international needs and principles and the interests

of the country, and on the same day the organ of the Bulgarian Foreign

Office, _Echo de Bulgarie_, said that now the dissensions between

Turkey and Bulgaria had been settled by force of arms, a bond of

friendship had been created by the persecutions to which both the Turks

and Bulgarians were being subjected in Macedonia.

In Roumania, which also proclaimed her neutrality at the beginning of

the war, at the same time informing the Russian Government that she

would not agree to the Russian troops crossing her frontier, a very

drastic law was proposed by the Government in May with regard to the

districts annexed by her under the Treaty of Bucharest (A.R., 1913,

p. 352). It deprived the population of Parliamentary representation,

which it had enjoyed for upwards of thirty years under Bulgarian rule,

denied them the right of association or public meeting, deprived of

his land every landed proprietor who did not accept the Roumanian

nationality within one year, and provided that all the Bulgarian

schools should be closed or reopened under Roumanian teachers and their

revenues confiscated. On June 14 the Tsar arrived with his family

on board the Imperial yacht at Constanza, the Roumanian port on the

Black Sea, and was enthusiastically received, the Liberal Government

and its adherents among the people being in sympathy with the Triple

_Entente_, though the King and his Court were notoriously in favour

of Germany and Austria-Hungary. One of the strongest advocates of a

policy of friendship with Austria-Hungary, the Roumanian statesman and

historian Demetrius Stourdza, died at the beginning of October in his

eighty-first year, and King Charles, who with Stourdza was regarded as

the founder of the Roumanian State, also died a few days after his old

companion and friend. On October 15, as the funeral procession was on

its way from the palace to the railway station, an attempt was made

on the life of Messrs. Charles and Noel Buxton, happily without any

serious result, though both were wounded, by an Albanian Mohammedan who

said he acted from political motives, as the Buxtons had been agitating

against Turkey. King Charles was succeeded by his nephew Ferdinand

of Hohenzollern, like his uncle a Roman Catholic, and married to the

daughter of the late Duke of Edinburgh; their six children, however,

are members of the Roumanian "Orthodox" Church.

In Serbia the War Minister stated to the Skupshtina on February 23 that

the losses of the Serbian Army during the war with Turkey were 5,000

dead and 18,000 wounded, and in the Bulgarian War 7,000 to 8,000 dead

and 30,000 wounded. In both wars 2,500 died of their wounds, 11,000

to 12,000 from sickness, and 4,300 from cholera, mostly during the

Bulgarian War. A treaty of peace with Turkey was signed on March 13,

under which Serbia agreed not to make any distinction as regards the

franchise between her new Mohammedan and Christian subjects in the

annexed territories, and to allow former Ottoman subjects residing in

them three years to decide whether they would remain of the Turkish

nationality or accept the Serbian, during which they were not to be

liable for military service. In June a Ministerial crisis occurred

in consequence of a Government decree giving the civil authorities

precedence over the military in the newly annexed provinces. This

measure was strongly opposed by the military party, and the Premier, M.

Pashitch, asked the King to dissolve the Skupshtina in order to give

the people an opportunity of expressing their views on the matter.

The King refused unless the decree was first rescinded, upon which M.

Pashitch resigned, but, all attempts to form a coalition Cabinet having

failed, he was reinstated (June 11). On June 24 the King left Belgrade

for the baths at Vranya on account of ill-health, and before leaving

delegated full royal authority to his son, the Crown Prince Alexander,

for the period of the King's illness.

When Austria-Hungary declared the answer to her ultimatum to Serbia

(p. 330) insufficient, and her Minister accordingly demanded his

passports and left Belgrade on July 26, the Serbian troops were at once

mobilised. Austria-Hungary declared war on July 28, and on July 30 the

Serbians partly destroyed by explosion the bridge connecting Belgrade

with the Hungarian town of Semlin and attempted some raids across

the frontier which were repelled by the Austro-Hungarian frontier

guards. The Austrian artillery replied by a bombardment of the upper

and lower forts of Belgrade, in which they were assisted by their

monitors on the Danube and the Save. The war in Serbia did not really

begin, however, until August 12, when the Austrian Army crossed the

Save and the Drina and captured Shabatz and Lesnica. War had meantime

been declared by Serbia against Germany on August 6. On August 17 the

Austrians continued their advance against the Serbians, the Croats in

the Austrian Army, who are of the same race as the Serbians, but are

Roman Catholics while the Serbians are "Orthodox" Greeks, specially

distinguishing themselves in the fighting. The Austrians were repulsed,

however, in a sanguinary battle in the valley of Iddar on August 16 to

19, and had to retire to Shabatz and Lesnica. The fighting in these

engagements was stated to have been much fiercer and more sanguinary

than any in the recent Balkan Wars. On August 26 Shabatz was retaken

by the Serbians, but meanwhile an attack made by them on Wyszegrad

and Rudo, in Bosnia, had been repelled with great loss on August 20

and 21. On September 8 the Austrians were defeated in an attempt to

cross the Drina near Sacha, and on the 14th the Serbians captured

Wyszegrad; but notwithstanding the desperate efforts made both by them

and the Austrians to penetrate into the enemy's country neither had

for some time any success. Another sanguinary battle, which lasted

three days, was fought on the road to Valjevo on September 15 to 18,

but with no decisive result. The first effective attack was made by

the Austrians down the Morava; it began on November 9 and ended in the

occupation of Valjevo, the former headquarters of the Serbian Army, on

November 15, and the capture after much violent fighting of Belgrade

on December 2. On December 3, however, fresh troops were brought up

by the Serbians,[21] which inflicted a heavy defeat on the Austrians,

after six days' fighting over a front of more than sixty miles; on

December 8 Valjevo was retaken, the Austrian retreat became a rout, and

the Serbians re-entered Belgrade, after another battle in which the

Austrians were stated to have lost 60,000 killed and wounded.

On September 19 Serbia declared that she would not conclude peace alone

and would not act separately from the Triple _Entente_.

In Montenegro the Skupshtina was opened after a general election by the

King on February 11. He said in the Speech from the throne that though

"the snatching of Skutari from Montenegro was an incurable wound in

every Serbian heart" the Peace of Bucharest had laid the foundations

for a new order of things in the Balkans and had secured Montenegrin

national interests. "Further national successes," he continued,

"will depend solely upon constant joint effort with Serbia and upon

traditional loyalty to our powerful Russia." Accordingly, when Serbia

was attacked by Austria-Hungary, Montenegro mobilised her army at

the request of the King of Serbia for her assistance. This _entente

cordiale_ between the Kings of Serbia and Montenegro had not long

been established, the two States having been for some time estranged

by an attempt of Serbian subjects, with the alleged assistance of the

Crown Prince of Serbia, on the life of the King of Montenegro similar

to that which had just been made, with fatal results, on the lives of

the Archduke Franz Ferdinand and his wife (A.R., 1908, p. 335). The

two Balkan Wars, in which Serbians and Montenegrins fought side by

side, had to some extent wiped out the memory of old quarrels, and the

propaganda for a union of the two countries was now equally strong

in them both, though it was not much to the taste of the astute and

ambitious King Nicholas, who had hoped before the war that he and not

King Peter would be the ruler of Serbia as well as of Montenegro. This,

after the Serbian victories, and in view of the far greater material

prosperity of Serbia, had now become impossible. The Montenegrins who

fought in the war and were treated with special consideration by the

Serbians, and especially those who had come from the United States to

join their countrymen against the Turks, and found their country as

backward in all the arts of civilisation as when they had left it,

while the Serbians had made great material progress, were among the

most ardent advocates of the movement for a union of their people with

Serbia. On the other side, such a union would gratify Serbia's dearest

wish--for a port on the Adriatic; and the great popularity of the aged

Montenegrin King was the only obstacle to such a union, the Crown

Prince Danilo not having gained any sympathisers either in Serbia or in

Montenegro.

Montenegro, as Serbia's ally, declared war against Austria-Hungary on

August 3. She made several attempts to invade Bosnia together with the

Serbians, but without success.

FOOTNOTES:

[20] The money to pay for those two battleships (the _Sultan Osman_

and _Reshadich_, renamed the _Agincourt_ and _Erin_) had been raised

in Turkey by public subscription, and their retention was bitterly

resented, the more so as Greece had just purchased two ships from the

United States (_post_, c. viii.).

[21] This rally was caused by the arrival of fresh ammunition, and by

a speech from the King. Despite his age and infirmities, he went to

the front and addressed the army as follows: "Heroes, you have taken

two oaths, one to me, your King, and the other to your country. I am

an old, broken man on the edge of the grave, and I release you from

your oath to me. From your other oath no one can release you. If you

feel that you cannot go on, go to your homes, and I pledge my word that

after the war, if we come out of it, nothing shall happen to you. But I

and my sons stay here." Not a man of the army left.

CHAPTER IV.

LESSER STATES OF WESTERN AND NORTHERN EUROPE.

I. BELGIUM.

Until the abrupt violation of Belgian neutrality by the German armies

on August 3 the political antagonisms of Clericals and Liberals and

of Flemings and Walloons seemed to be growing more acute. The German

invasion, with its almost incredible atrocities, swept away the memory

of these feuds. The Belgian nation saw all but a small fraction of its

land swept by the invaders, and either found refuge and hospitality in

Holland, Great Britain, and to some extent in Switzerland, or became

dependent for its very subsistence on the charity of the people of the

United States. But it did not flinch in its determination to maintain

its independence, and at the close of the year it was gallantly aiding

the resistance of the Allies to the German advance on Calais and

Northern France.

When the year began the Chambers were still debating the Bill for

subsidising voluntary schools, and the Flemish Nationalists in both

the Liberal and Clerical parties were endeavouring (unsuccessfully, as

it proved) to amend it so as to promote the spread of their own tongue

at the expense of French. But another question arose which tended

to injure the Government. Towards the end of January a severe frost

closed the waterways and blocked the State railways with their traffic.

The efforts made to cope with the block showed grave defects in the

management and the equipment of the lines, and the Central Industrial

Committee of manufacturers and traders formally complained to the

Minister of the Interior that factories had been stopped and orders and

consignments diverted to foreign countries and ports. Politics were

said to influence the management, and the financial administration was

condemned as defective and unintelligible. A scheme of reorganisation

was contemplated, under which the Railway Budget would be rearranged

and the management of the system assigned to a Board of fifteen paid

members, Senators, Deputies, and State officials being ineligible. This

Board would be under the supervision of a Council of seven members,

chosen from and by the Parliament, and subordinated to the Minister of

Railways. But the scheme was left over till a convenient season.

After much debate and some critical situations, the Schools Bill

finally passed the Chambers on May 20, thus terminating the struggle

begun by M. Schollaert in 1911. The Liberals and Socialists in the

Senate formally denounced the measure as unconstitutional, but declined

to take part in the division. The debates on it had crowded out some

measures of social reform, but a Bill passed the Chamber providing

for the insurance against old age, sickness, or premature disablement

of all employed persons, including such State or municipal officials

as were not already provided for by pension or disablement funds. But

all persons were exempt whose income exceeded 2,400 francs (96_l._)

annually, as also home-workers with more than one employer. As in Great

Britain, the funds were provided by payments from workmen, employers,

and the State.

This Bill was hurried through before the elections for the renewal of

half the Chamber (May 31), the representatives affected being those of

East Flanders, Limburg, Hainaut, and Liège. The Ministry had offended

its rural supporters by the new taxes of 1913, and by making military

service and school attendance compulsory, and the Moderate Liberals had

begun to return to their party, which they had left in 1912 owing to

its coalition with the Socialists, now dissolved. Thus the Government

majority in the Chamber fell from sixteen to twelve. They lost two

seats to the Liberals, who lost one, however, to the Socialists. The

Chamber now numbered ninety-nine Clericals, forty-six Liberals, forty

Socialists, and two Christian Democrats, and the Ministerial votes

in the four provinces amounted to some 570,000, while those of the

Opposition--Liberals, Socialists, and Christian Democrats--were some

760,000. Assuming that the party strengths in the other provinces

had remained constant since 1912, it was estimated that a Government

majority in that year of 83,000 had now been converted into a minority

of 7,000. The three Opposition groups, however, could scarcely have

formed a coalition, but the Ministerialists had for some years showed

signs of cleavage, and there were rumours that the Government were

about to appeal to the Flemish vote by either substituting Flemish

for French as the language of the University of Ghent or establishing

a Flemish University there along with the French one; and M. de

Broqueville indicated (at Turnhout, July 5) that the Senate might be

invited to amend the Insurance Bill. But all domestic disputes were

effaced by the war.

The growing wealth of the kingdom had been shown by an official return

issued at the end of March, giving the average annual investment for

the past four years in shares or debentures of companies as 870,000,000

francs, of which 450,000,000 francs had been put into Belgian companies

engaged in business abroad--mainly in South America, Russia, and the

Congo State. Belgium had now definitely joined the group of "creditor

nations"--Great Britain, France, the Netherlands and Germany.

Though the violation of Belgian neutrality astounded the world and even

upset the defensive scheme of the French Government, there had been

ominous signs earlier in the year, which had attracted little notice.

Thus the Stavelot-Malmedy Railway, crossing the German frontier, was

opened in January without ceremony, for fear of indiscreet allusions by

the speakers at the opening festivities to a possible invasion; there

was some anxiety as to the fortification of Flushing (A.R., 1913, p.

364), and also as to the undefended character of the frontier of Dutch

Limburg, a province which overlies part of Belgium; and in July it

was reported that more troops were being sent to Hasselt and to the

entrenched camp of Beverloo. Later it became known that King Albert

had pressed for the reform in military service effected in 1913, and

that in November of that year he had been convinced by a conversation

with the German Emperor that that potentate would no longer resist

the German war party (French Yellow Book, No. 6). Moreover, military

measures to be taken in the event of a German violation of Belgian

neutrality had been worked out in 1908 between the British Military

Attaché at Brussels, Colonel Barnardiston, and the Belgian General

Staff, which had previously worked out a corresponding plan with the

General Staff of France. The German Government discovered evidence of

this after the occupation of Brussels, and alleged it as a proof of

British perfidy, though the plans were purely contingent on German

action.[22]

Apprehending danger, the Belgian Government decided to call up three

classes of reserves (July 29), and two days later to mobilise--a step

which somewhat surprised the British Minister at Brussels. On July

29 the German Chancellor told the British Ambassador at Berlin that

German action in Belgium depended on that of France, whom the German

Government believed to be massing troops at Givet. Thereupon the

British Government asked the French and German Governments whether

they were prepared to respect Belgian neutrality so long as no other

Power violated it, and asked Belgium whether she were prepared to

remain neutral. France and Belgium gave satisfactory assurances;

Germany did not (p. 178). Meanwhile the French Minister at Brussels,

M. Klobukowski, had repeated to M. Davignon, the Belgian Foreign

Minister, that French troops would not invade Belgium, even if massed

on the frontiers, and Herr von Below-Saleske, the German Minister, had

repeated to M. Davignon an assurance given by the German Chancellor

in 1911, to the effect that Germany did not intend to violate Belgian

neutrality, but that to say so publicly would give France an advantage

in arranging her plan of operations (July 31). He repeated this, though

only as his personal opinion, on August 2; but at 5 P.M. on that day

he presented an ultimatum from his Government, demanding that, in view

of the massing of French troops near Givet, Belgium should observe

an attitude of friendly neutrality towards Germany, and allow German

troops to pass through her territory; Germany would in return maintain

the independence of Belgium and her possessions, but, in the event

of a refusal, she would treat Belgium as an enemy. Twelve hours were

given for a reply. A Council of State was at once held, and, after some

hours' discussion, a reply drafted by MM. Hymans and Van den Heuvel,

was finally decided on at 4 A.M. (Aug. 3). It was presented by 7

A.M., and was a dignified and eloquent refusal. The German Government

meantime had sent a Note announcing that the French attack on Germany

had begun, and at 6 A.M. on August 4 sent another, announcing that a

refusal would be disregarded, and on August 4 intimated that as Belgium

had declined her "well-intentioned proposals," they must be carried

out by force of arms in view of the French menaces.[23] King Albert on

that day addressed the Belgian Parliament, amid a scene of patriotic

enthusiasm, and urged a united and stubborn resistance. "A nation which

defends itself," he said, "commands the respect of all. Such a nation

cannot perish." The union of the nation was marked by the appointment

of M. Vandervelde, the Socialist leader, to be a Minister of State.

Meanwhile the King had telegraphed a personal appeal for aid to King

George V., and had received a reply assuring him of British support

to protect the independence, integrity, and neutrality of Belgium. A

moratorium was declared; fresh classes of recruits were called up; some

53,000 sappers and navvies were set to dig trenches in the wide spaces

between the Liège forts; and Belgium prepared for defence.

Meanwhile the Germans were pressing on. On August 3 they entered

Belgian territory at Gemmenich, near Aix-la-Chapelle, Stavelot and

Francorchamps, just south of Spa, Dolhain, between Verviers and

Herbesthal, and at Visé, on the Meuse between Liège and Maastricht.

Their front extended from Visé southward, as far as Luxemburg. At Visé

they were fired on by civilians, and the town was subsequently burnt;

and on the night of August 4 they attacked the forts round Liège. They

advanced in close order, and suffered enormous losses; but by August 6

they had silenced two forts and had vainly asked for an armistice to

bury their dead. But passing through the gap thus made, they occupied

Liège itself on August 9.

The Belgian resistance had amazed the world. The Germans had not

expected it, for they had come without adequate supplies or heavy

guns; and on August 9 their Government appealed vainly through that

of the Netherlands to the Belgian King and Government, urging them,

after their heroic resistance, to spare Belgium further suffering, and

declaring itself ready for any compact with Belgium compatible with its

conflict with France.

The Germans now came into contact with advanced posts of the Belgian

Army, which held a line running from Namur through Ramillies,

Tirlemont, and Diest. They were repulsed at Hasselt, Eghezee, and

Diest, and Haelen (Aug. 12 and 13), but took Huy after a bombardment.

But though they were thus unexpectedly checked, their vast numbers

proved irresistible. There was a short lull while they were coming up;

but on August 17 the Belgian Government hastily removed to Antwerp;

the last forts round Liège fell on August 19; on August 18 the Germans

entered Tirlemont, on the 19th they bombarded Louvain, and next day

camped outside Brussels for the night. That day (Aug. 20) M. Max,

the Burgomaster, had issued a proclamation warning the population

against panic, advising them to give no information to the invaders,

and promising that he, as Burgomaster, would stand by them. He met

the Germans at their entrance, and declared the city undefended; they

imposed a levy of 200,000,000 francs on it, and of 450,000,000 francs

on the province of Brabant.

Though the French General Staff had regarded a German advance through

Belgium as possible, it had made no provision against it till August

2; but it then directed its principal efforts to strengthening the

northern section of the French front, and awaited the concentration

of the British Expeditionary Force. Meanwhile, however, French troops

drove the Germans from Dinant, after a fierce battle. The main German

Army (some 600,000 men) having reached Brussels, marched southwards

towards Charleroi and Namur. On August 20 the French advanced towards

the Sambre. The centre of the Allied Army comprised two armies, the

left a third, reinforced to the extent of two army corps, a corps of

cavalry, the reserve divisions, and the British Expeditionary Force

(p. 189). The French were beaten back on August 22, the Germans, after

heavy losses, reaching and crossing the Sambre between Charleroi and

Namur, and constraining the British force, by their superior numbers,

to retreat from Mons south-westwards into France (p. 190). Meanwhile

the Germans had been overrunning northern Belgium; they had occupied

Louvain on the 19th after a fierce fight, Alost on the 21st, and

concentrated before Antwerp next day; but were driven back from Malines

by a sortie of the Antwerp garrison. And, after failing to take the

forts at Namur, the Germans had overcome them by bringing up their

heavy siege artillery, of 42 centimetres calibre, while the Belgian

field force defending it were awaiting their attack. They placed

guns in position beyond the range of the Belgian guns, and, after a

tremendous bombardment of ten hours, the forts were wrecked. Namur fell

suddenly and unexpectedly on August 24; and on that night a Zeppelin

airship dropped bombs on Antwerp, doing much damage.

In the war of 1870 the Germans had severely repressed civilian attacks

on their troops; and their standard manuals of warfare recommended

terrorism. This was now carried out to the full. Infuriated by the

unexpected Belgian resistance, they killed wounded men, fired on the

Red Cross, violated women and little girls, mutilated some of their

victims, and even made Belgian civilians of both sexes march in front

of them as a screen. But besides these atrocities, which were not

repressed by the commanders, the latter deliberately gave up towns

and villages to destruction and plunder on the ground--which was

usually unsubstantiated--that their troops had been fired on by the

inhabitants. Visé was burnt on August 15, Aerschot four days later,

the young son of the Burgomaster, it was stated, having shot a German

officer; after their defeat at Malines they retreated on Louvain,

burning the villages _en route_; they apparently fired on one another

in entering Louvain, and charged the civil population with attacking

them; as a punishment they bombarded the town, looted it, and then set

fire with hand grenades to the houses that had escaped, destroying the

Cathedral, the University Buildings, and the famous Library, with a

multitude of priceless MSS., including much early Celtic literature;

and they grossly maltreated a number of priests, including two

Spaniards and an American. Dinant was sacked (Aug. 22-25) without

assignable provocation. Many of the men were shot deliberately, and

1,200 houses burnt out of 1,400; a similar fate had befallen Andenne

(Aug. 20-21) for equally unintelligible reasons. These atrocities,

unmatched in Europe, except perhaps in the Near East, for nearly three

centuries, finally turned the mass of European and American opinion

against Germany, and seemed likely to make reconciliation impossible

for many years after the war.[24]

For the first four weeks of September the Belgian Army was acting as

a screen to Antwerp, mainly in the district between that city and

Malines and Termonde. This latter place was bombarded and plundered

on September 4, and deliberately destroyed next day; but the Belgians

defeated the Germans on September 5 by opening the dykes on them,

and so capturing many prisoners. From September 9 to 13 there was

heavy fighting round Malines as the result of a sortie from Antwerp,

intended to hamper the German advance of reinforcements through Belgium

to France, and the main line of communication between Brussels and

Liège by Louvain and Tirlemont was cut, thus delaying the inrush of

the German troops. But eventually the superior German numbers drove

the Belgians back. Again on September 25 the Belgians repulsed the

Germans at Audeghem near Termonde, and that place and Malines changed

hands more than once. But Malines was finally occupied by the Germans

on September 7. The Germans now having brought up their heavy siege

artillery opened fire on September 28 on the outer forts of Waelhem

and Louvre-St. Catherine (two or three miles north of Malines) and

destroyed them by September 30. Two days later the Belgians were driven

by German artillery fire from the shallow and hastily dug trenches they

had occupied in rear of these forts to new positions on the other side

of the River Nethe, their front extending from near Boom eastwards

to Lierre. Next day the German attack on this front developed; the

neutral Legations began to leave; but the defenders were encouraged by

the arrival of a British Marine Brigade under General Paris, which was

sent into the trenches at Lierre and repulsed a German attempt to cross

the Nethe, but the German artillery forced back the defenders, and on

Monday afternoon, October 5, the bulk of the Belgian Army was compelled

to retire westwards towards Eecloo and Ghent. Two British Naval

Brigades arrived subsequently (p. 220) and assisted in the defence;

but the Germans forced their way across the Nethe, and captured Lierre

(Oct. 6); the remaining Belgians and British fell back on the inner

ring of forts, and the King and the Allies' Legations withdrew to

Ostend. To cut off the Belgian withdrawal, German troops attempted

to cross the Scheldt along the line from Termonde to Wetteren, but

succeeded after fierce fighting only on October 7, when it was too

late. On that day General von Beseler summoned the city to surrender,

and on its refusal bombarded it; and on the following night, after

destroying quantities of stores, including much petrol, and disabling

the German merchant steamers interned in the harbour, the remaining

British and Belgian forces withdrew towards Ostend; but many of the

First Naval Brigade were captured or crossed the frontier into Holland,

and a portion of the Marine Brigade had to fight its way through the

Germans at Morbeke. On October 9 the city was occupied by General von

Beseler's troops. Four German Army Corps were stated to have taken part

in the attack. The fall of the city caused the utmost enthusiasm in

Germany, and General von Beseler received the Iron Cross. The refugees

were estimated at upwards of 400,000.

From Antwerp the Belgian Army retreated in the first instance on

Ostend, its retreat being immediately covered by 8,000 men of the

British Naval Brigade and 6,500 French bluejackets, and, farther off,

by the British force under Sir Henry Rawlinson, operating in the

neighbourhood of Ghent (p. 222).[25] But the Germans, after severe

fighting, occupied Ghent on October 12; next day the Belgian Court

and Government left Ostend (which the Germans occupied October 16)

and proceeded by sea to Havre, where the suburb of St. Adresse became

the temporary capital of Belgium. The Germans now occupied Bruges and

Zeebrugge, strongly defending the latter place with a view to its

conversion into a base for submarines; the Belgian Army, now reduced

to some 60,000, at first had been directed to make a stand in French

territory, but eventually took up a position extending along the

canalised Yser, from Nieuport-Bains on the Channel by Lombaertzyde

to Dixmude; from the last-named place to Ypres and the French border

at Ménin the Allies' line was held by French forces and by Sir Henry

Rawlinson's troops. On October 17 the German front in Belgium extended

from Ostend through Thielt and Roulers to near Ménin; and their

primary aim was to capture Dunkirk and Calais as bases for an attack

on England. Their direct route thither was blocked by the Belgian

Army in the Battle of the Yser (Oct. 16-Nov. 2) in which some French

troops, including marines and territorials, took part. Three points in

the front were of special importance--the village of Lombaertzyde, a

bend of the river near Tervaete, projecting towards the German front,

and Dixmude. After two days' fighting, the Belgian advanced posts

were driven back (Oct. 10-19); for the next four days the Belgians,

now behind the Yser, were fiercely attacked, those in the salient at

Tervaete being enfiladed by German heavy artillery; on the night of

October 22 the Germans crossed the Yser at Tervaete, and the Belgians,

though reinforced and partly relieved by a French force, the 42nd

division, were gradually driven back (Oct. 23-30) to a front behind

the railway from Nieuport to Dixmude, two or three miles from the

Yser. Reinforced again on October 31, but forced back by overwhelming

numbers, they opened the dykes, flooded the land with sea-water, and

gradually forced the Germans back across the Yser, except from a

few isolated farms among the flooded land, which were fiercely and

repeatedly contested for some time. On November 16 the Germans fell

back from the left bank of the Yser Canal; and for some weeks there was

little change in the positions, but in December there was a renewal of

activity, and on Christmas Day the Belgians were again on the right

bank of the Yser.

During the Battle of the Yser and for some time afterwards--altogether

from October 17 to November 9--the Belgians were supported on the left

by a British squadron under Rear-Admiral Hood, consisting at first

of the river monitors _Humber_, _Mersey_, and _Severn_ (p. 224), the

light cruisers _Attentive_ and _Foresight_, and some destroyers, and

subsequently reinforced from time to time by the battleship _Venerable_

and a number of older cruisers and sloops, carrying heavier guns, which

bombarded the German troops along the coast and prevented them from

advancing on Nieuport by land, while precluding any effort to do so by

sea. Machine-gun detachments were landed, German submarine attacks were

repelled, and on October 30 the Admiral led a French destroyer flotilla

into action off Lombaertzyde. The arrival of French reinforcements and

the flooding of the country rendered further bombardment unnecessary;

and the Germans, instead of showing themselves in the open, were driven

to construct hidden artillery defences in the sand dunes along the

coast. Some of the British ships, among them the _Amazon_, _Mersey_,

_Wildfire_, and _Vestal_--the two latter old sloops of war--were

damaged, and there were some British casualties from the Germans'

shrapnel and heavy guns. In all thirty British vessels took part,

including two submarines, and five French destroyers. The Germans were

again bombarded at Westende by a British squadron on December 16; but

a month earlier their efforts to reach Dunkirk and Calais by the coast

route had been definitely checked by the Belgians--supported by French

marines, bluejackets, and territorials on land, and by the British

and French squadron at sea. Their attempts to reach the coast through

Belgian territory farther south, round Ypres, had meanwhile been

frustrated by the British and French forces, and the year closed amid

signs that they were now on the defensive, and with a reasonable hope

that they would be driven back by the Allied Forces in the spring.

Throughout the war King Albert acted as Commander-in-Chief of his Army

and displayed the utmost heroism. He was visited by King George V.

on December 4 (p. 245) on the only fragment of Belgian territory not

occupied by German troops. The Queen brought her children to England

in August, but soon returned to her country.

A Belgian Mission visited the United States in August and September,

and had an excellent reception from both people and Government. Much

was done to shelter and provide for the 200,000 refugees in Great

Britain and the 500,000 in the Netherlands, and for the comparatively

small numbers which reached Switzerland; and those who remained in

Belgium were actually saved from starvation by philanthropic effort

from the United States, directed by an American Commission, and largely

administered by Rhodes scholars from Oxford. Belgium had earned the

gratitude of the non-Germanic world. Her first resistance to the

invaders gave time for the British and French Armies to concentrate,

the defence of Antwerp held back forces which would otherwise have

been hurled at the Allies on the Aisne, and the battle of the Yser

saved Calais and Dunkirk. The Allies were firmly resolved that no peace

should be concluded which did not secure the Belgian people all the

reparation possible for their tremendous losses, and that they should

receive a due recognition of their heroic resistance.

II. THE NETHERLANDS.

Since the formation of a non-party Cabinet in August, 1913, political

conflict had been suspended; and for the first seven months of the

year the country had little history. In January a Royal Commission

was appointed to devise a settlement of the schools question, which

had been the subject of repeated controversies since 1878. It was

understood that, while regard was to be paid to the interest of

denominational schools, the existing State schools would be left

untouched. An attempt to settle another controversial question of

long standing was made by the Royal Commission on Proportional

Representation, whose Report (issued in June) recommended a complicated

modification of the Belgian system, treating the whole country as a

single constituency, but providing for the representation of localities

by allowing voters to indicate their preference for particular

candidates on the list put forward by their respective parties. An

elaborate and intricate method of determining the successful candidates

was also recommended, but the Report was not acted on during the year.

A great demonstration in favour of equal suffrage for both sexes had

been held in February at Amsterdam by the extreme Liberals and Social

Democrats. The heavy cost of social legislation, especially the old-age

pensions, necessitated increased direct taxation and an addition to the

excise duty on beer. The creation of a new Navy for colonial defence

was also proceeded with (A.R., 1913, p. 365). The anxiety set up in

France and Belgium by the projected fortifications at the entrance to

the Scheldt (A. R., 1913, p. 364) was enhanced early in the year by the

announcement that the new fort would not, as had been expected, be

situated on a shoal opposite Flushing, where it would have prevented

the occupation by an enemy of that town or the coast opposite, but

would be placed higher up the Scheldt: so that it might conceivably

serve to block that river against the approach of a fleet sent to

relieve Antwerp in the event of the violation of Belgian neutrality.

Just before the war broke out, again, it was stated that the German

Vulkan Company, which owned a huge shipyard at Stettin and was

controlled by a well-known millionaire, Herr Thyssen, had acquired a

site for a harbour on the Nieuwe Waterweg, one of the chief approaches

to Rotterdam. This it was feared might ultimately be used as a German

naval base. Questioned on the subject in the House of Commons, Sir E.

Grey stated that he was informed that the place would only serve for

the transfer of iron ore from sea-going ships to river barges. But

anxieties as to German influence in Holland were swept away by the

events of the war.

On the outbreak of the war the Government issued a declaration of

neutrality (Aug. 3); it had already mobilised its army, to the extent

of some 125,000 men, with remarkable efficiency and speed. The export

of coal, food, horses and vehicles was prohibited, and an opening of

the dykes was contemplated so as to protect the land frontier of the

"Holland Fortress," or defended area of the kingdom, if necessary, by

inundation. This, however, was not done, since no attempt was made to

violate Dutch territory--except, indeed, that a German airman dropped

bombs on Maastricht, probably by mistake. The financial disturbance set

up was serious for a time; there was a run on the savings banks, and

a tendency to hoard coin. The Post Office Savings Bank exercised its

right to defer payments to depositors for a fortnight--a step which

caused some comment. The Amsterdam Stock Exchange was closed, and a

Bill was passed empowering the Bank of the Netherlands to reduce the

proportion of specie it was bound to hold against liabilities to 20 per

cent. Small paper money was also created, in the form of "silverbons"

of one, two and a half, and five florins, and fresh silver was rapidly

coined; but some of the towns issued their own "silverbons," to make

good the lack of change. A Credit Bank was formed by the retail

traders, to enable them to meet the demands of manufacturers and

wholesale dealers for payment in cash, and arrangements were made for

advances by the Bank of the Netherlands on approved security, under

a guarantee from a group of banks against possible loss. A Bill was

passed in September, after considerable opposition, enabling the courts

to extend the time allowed for payment of debt. The Bourse was placed

under Government supervision. A loan of 275,000,000 florins (about

22,000,000_l._) was issued in November, subscription being compulsory

on persons whose fortunes exceeded 75,000 guilders (about 6,500_l._).

The Queen's Speech at the opening of the States-General (Sept. 14)

appealed confidently to the nation to avoid endangering neutrality in

trade and traffic, and expressed satisfaction at the success of the

mobilisation and the union of the people, noting also some improvement

in certain branches of trade.

The war, however, did grave injury to industry, notably to the

Amsterdam trade of diamond cutting, and to shipping, and food prices

rose sharply. Moreover, the country was burdened with the support of

some 1,560 British marines and bluejackets and some 22,000 Belgian

soldiers who accidentally entered Dutch territory after the fall of

Antwerp, besides half a million Belgian refugees. But the burden was

borne nobly, and though there was an active German propaganda, the fate

of Belgium estranged Dutch sympathy from the German cause.

_Luxemburg._ The visit of the King and Queen of the Belgians (April

27-29) was entirely successful, and their Majesties received a most

cordial welcome. It was thought likely to open the way to closer

commercial connexion between the two countries, thus tending to

counterbalance the growth in the Grand Duchy of German industrial and

trade interests. A projected visit from the Queen of the Netherlands in

August was prevented by the war.

The general election, held in June, was fought mainly on the School

Law, condemned by the Bishop and clergy, and was a great success for

the Government. To some extent, too, it was said to be a demonstration

against German influences.

On Saturday evening, August 1, a small body of German troops arrived in

motor cars at Trois Vierges, and seized it, but were presently called

back as having exceeded their instructions. Next morning, however,

a trainload of German soldiers reached Luxemburg itself, seized the

station and the bridges on the lines to Trèves and Spa, and proceeded

to the barracks, thus violating the neutrality guaranteed by the Powers

by the Treaty of London, 1867. But the far more conspicuous case of

Belgium drew off attention from this German outrage. The Grand Duchess

and the authorities protested, but in vain. For the rest of the year

the Grand Duchy was occupied by German troops; and it was, for a

time, the residence of the Emperor. Swiss papers stated that numerous

citizens were arrested at the instance of German residents, but, as

no resistance could be made to the Germans, there were no cruelties.

The Grand Duchess was very active in Red Cross work. An indemnity was

paid by Germany of 1,600,000 francs, of which 1,283,000 represented

damage done to crops and real property, and the remainder the use of

roads and public buildings by German troops. It was said to be quite

inadequate. The civil administration was allowed to go on under the

native authorities, but there was a strict German censorship of the

postal, telegraphic, and telephonic services.

III. SWITZERLAND.

Before dealing with the great difficulties imposed on Switzerland by

the European War a brief summary must be given of domestic politics

during the first seven months of the year. In the spring session the

Federal Legislature completed the revision of the factory law, passed

the scheme of reorganisation of the Federal Council, and decided to

institute a Federal Administrative Court. The National Council had

pronounced by a large majority against the Initiative demanding the

establishment of proportional representation; but another Initiative,

aiming at the prohibition of the games of chance permitted in the

Casinos at tourist centres, obtained the requisite number of signatures

required for its submission to a popular vote.

The National Exhibition at Berne, opened auspiciously on May 15, was a

superb collection of manufactures, of works of art--which gave rise to

much discussion--and of exhibits of all sorts representing the actual

condition and social and industrial development of the Swiss nation. On

July 7 the King of the Belgians visited Berne and was received by the

Federal Council. He joined the Queen in the canton of Vaud, and then

went on to the Alps of the Valais.

The elections and popular votes in the various cantons made no

appreciable difference in the position of parties, or in policy, but in

two cantons--Ticino and Uri--financial mismanagement entailed serious

consequences. In the former the failure of the Credito Ticinese, of

the Banco Cantonale, and of a third and private banking establishment

involved losses estimated at 40,000,000 fr. (1,600,000_l._) and the

arrest of several prominent persons. It necessitated the intervention

of a Syndicate of Swiss banks, formed under the auspices of the

National Bank. In Uri the Savings Bank, guaranteed by the canton, had

invested several million francs in industrial enterprises, and almost

the whole of this sum was lost.

Early in July the canton of Geneva celebrated the centenary of its

admission to the Swiss Confederation. Of this memorable celebration

the climax was the representation in a large and specially constructed

theatre of a pageant, arranged by MM. Daniel Baud-Bouy, A. Malsch and

Jacques Dalcroze, entitled "La Fête du Juin."

The Federal elections, it may here be added, took place at the end

of the year. By common consent they were uncontested, except in a

few districts where attempts were made to force on the electorate

supporters of the St. Gothard Convention (A.R., 1913, p. 368). The

President of the Confederation for 1915 was M. Motta of Ticino, the

Vice-President M. Decoppet of Vaud, while another citizen of Vaud, M.

F. Bonjour, was elected President of the National Council. The chief

work of this body during the year was the passing of the Budget and

(in December) of certain fiscal measures designed to cope to some

extent with the immense deficit caused by the war in the Customs

revenue and the Federal railway receipts. The cost of the mobilisation

alone by the end of the year amounted to 104,480,000 francs. At first

the Federal Council had considered the immediate establishment of a

Federal monopoly of tobacco, or, alternatively, of a special tax on

it, and a special levy on capital and earned income; eventually both

were postponed for further examination, and also as necessitating an

amendment of the Federal Constitution. Provisionally, therefore, new

revenue was obtained by an increase of existing taxes and of telephone,

telegraph, and certain postal rates. The requisite legislation was

formally declared urgent, and was thereby exempted from possible

submission to a popular vote.

On the outbreak of the war it became the primary duty and effort of the

Swiss nation to preserve its integrity and independence. On July 31 the

whole Swiss Army received notice to hold itself in readiness; on August

3 a general mobilisation was ordered, which was most satisfactorily

carried out. On the latter day the Federal Chambers assembled, and

elected Colonel Ulrich Wille to the chief command of the Army, and

Colonel Sprecher von Bernegg Chief of the General Staff. They also

invested the Federal Council with the widest possible powers.

For the rest of the year the Federal Administration had to face

a very difficult situation. Its declaration of neutrality was

followed by a long series of measures necessitated by one of the

most critical situations in Swiss history.[26] Besides the purely

military measures originating especially with the General Staff--the

mobilisation and training of the troops, the war time-table (involving

a reduced service) of the Federal Railways, and the construction of

fortifications, the deficiency of grain had to be supplied from abroad

by the Federal Council, and a kind of monopoly of cereals became

inevitable.

On the declaration of war the stocks of grain and flour in hand,

together with those in the hands of traders, secured the food supply

of the country for three months at most. With the home crop there

would be enough, with strict supervision, to last till mid-December.

Refraining from sequestration of home-grown grain, the Federal Council

confined itself to demanding its sale at the price of imported grain,

though its yield was lower. This step had not the desired effect, but

fortunately in the spring the Federal Council had made arrangements

for a supply with Germany and France. The arrangement concluded with

Germany proved ineffectual, the war stopping the transit of grain up

the Rhine. Cargoes on their way to Rotterdam were intercepted by the

British Fleet. But as compensation Switzerland obtained the delivery

of the 2,600 carloads of wheat and some hundreds of carloads of oats

stored in German warehouses or in transit by the Rhine at the outbreak

of the war. Meanwhile the Federal authorities made considerable

purchases in America. The arrangement with France permitted the daily

discharge and despatch to Swiss territory of quantities of wheat and

oats representing the daily Swiss consumption, but in fact the ports

of St. Nazaire and Bordeaux, which were to secure the maintenance of

this service, at no time did so, and the average supply continuously

fell short of the normal need. As it happened, the deficit could be

made good through Genoa, notably in December, when the importation

reached its maximum. In January, 1915, the crowded condition of the

port of Genoa caused a decline, but the French authorities just then

gave permission for importation to Switzerland through Marseilles.

Charges were made that the export of wheat to the belligerents had been

permitted; but they were unfair and baseless.[27] The supply of fuel

was a still greater difficulty; but the courtesy of the neighbouring

countries enabled it to be maintained.

The Federal Council had also to prohibit the exportation of commodities

indispensable to the nation, and to attempt to obtain the raw materials

necessary to the continuance of Swiss industries, it had also to

induce the Press as far as possible to observe neutrality so as not to

hamper it in negotiation. It had to repress espionage, to regulate the

relations of debtors and creditors so as to avert a financial crisis,

to enable payments to be deferred, to lessen unemployment, to regulate

the relations of workmen with employers whose business was affected by

the crisis; it had specially to supplement the stock of silver coin,

to issue notes and Treasury bonds of 5, 10, 20, 25 and 40 francs, to

create a Loan Bank, and to contract two Federal Loans, of 25,000,000

francs and 40,000,000 francs respectively, and to prepare legislation

enabling the repayment of part of the expenditure incurred, which would

reach 200,000,000 francs early in 1915.

Immense services were rendered to the country in all financial

operations by the National Bank. Under the earlier system of a number

of cantonal banks of issue, the crisis would have been far more

serious. Nevertheless a host of industries were paralysed, beginning

with the hotel industry (p. 187) and the building trade. Fortunately

agriculture has remained important in the national economy.

After a few days of panic on the outbreak of the war among certain

classes, with a run on the banks and the provision shops, the public

reverted to a saner view of the position. The establishment of

military rule and the total prohibition of demonstrations of all sorts

contributed largely to this result. Apprehension was quieted by the

publication of a statement of the resources of the country and by the

means taken to assure fresh supplies of food, and, up to the end of the

year at any rate, the gravest results of the economic crisis had been

averted by a judicious administration of relief. The public services

were put to a severe test, but their immediate difficulties had been

overcome. The military organisation had proved to be excellent; so had

the railway administration. The financial administration had emerged

but slowly from its difficulties. Despite its honesty, soundness

and prudence, the crisis seemed to have shown that it needed some

additional mechanism.

Protests were made by the Federal Government against the seizure of

grain cargoes destined for Swiss use and against an alleged violation

of Swiss territory during the air raid on Friedrichshafen (Nov. 21;

p. 245). The first difference was arranged amicably; the violation of

territory was denied by the British Government.

Finally, the country recovered itself and rallied when confronted by

the immensity of the misery demanding relief. The Red Cross Society was

unsparing in its exertions. Conclusive reasons prevented the despatch

by it of ambulances to the seat of war, but many medical men and

nurses went abroad to devote themselves to the care of the wounded.

The International Red Cross Committee at Geneva created an Agency for

Prisoners of War, which collected the names and addresses of French

prisoners in Germany and of German prisoners in France. It transmitted

to them letters or parcels sent by their relatives, and though,

eventually, direct communication became possible, the Agency was still

receiving thousands of demands for information daily after the New Year

had begun.

An Agency to deal with interned civilians was also established at

Berne, and was assisted by a Committee at Geneva for the Germans and at

Schaffhausen for the French. It was indefatigable in its exertions. It

served as an intermediary between the belligerents for the repatriation

of the persons interned. It took thousands of them under its charge at

one or other frontier and conducted them to their own country.

In offering hospitality to Belgian refugees Lausanne led the way. By

the close of the year some hundreds of them had arrived and the stream

was continuing. They were received by the whole people with a thrill of

sympathy, and were distributed throughout the French-speaking cantons.

The wave of pity for them spread to German Switzerland; gifts for them

poured in; subscriptions were opened for them by the Press; workrooms

were filled with clothing and underclothing, and much work was done

for them in private houses. While the ingenuity of their hosts was

taxed on their behalf and on that of the wounded, it was necessary also

to provide for the Swiss who had been deprived by the occupation of

the frontiers of their means of subsistence. Here also the Red Cross

organisation lent its aid, distributing clothing, boots, underclothing

and relief. In charitable work the nation recovered its unity, which

for a short time had been compromised by sectional differences of

opinion and reciprocal violence of language. The alleged divergence

of view between French and German Swiss was largely generated by the

allegations in the Press that it existed, and was misinterpreted as

a manifestation of cantonal antagonism. Facts may be differently

appreciated and feelings may vary in degree, but in the hour of danger

the unity of the Swiss people is complete.

IV. SPAIN.

The first days of the year saw the opening of an electoral campaign

of a kind entirely novel in Spanish history. By a decree of January

4 the electors of the kingdom were summoned for March 4 to choose

the members of the Cortes; the renewal of the Senate was fixed for a

slightly later date, in conformity with a precedent dating from the

period of the Sagasta Ministry. The various parties had thus two whole

months for their propaganda; not too much, considering their strange

complication on entering the contest. The old historic parties were

irremediably broken up. The former Liberal group was divided into

Romanonists and Prietists, who were violently hostile to each other;

the Conservative adherents of the Prime Minister were treated by

Señor Maura's supporters as renegades, and, with their leader, were

advancing by imperceptible stages towards a broad conception of social

progress which was destined to win them the sympathy of the King and

eventually the Romanonists' support. Señor Dato did not entirely give

up the advantages traditionally possessed by Spanish Ministries,

but he did not desire to abuse them, and he bid for support for his

cause by showing fair play, inasmuch as he allowed his opponents

full freedom of speech, of the Press, and of public meeting, so far

as was compatible with the preservation of order, and met them, not

with prosecutions and arbitrary interferences, but with arguments and

projects of reform. As a security that this judicious policy would be

continued, he was bold enough to cut short the constant advance towards

decentralisation, which had been retarded for years by Parliamentary

trickery, by procuring the issue of a Royal decree authorising

_mancomunidades_ or combinations of local authorities for public

purposes (A.R., 1912, p. 372). That the time was ripe for this reform

was proved by the fact that the provinces forming the ancient Kingdom

of Castile immediately combined for poor-relief and public works; their

example was followed by Valencia and Catalonia. This step visibly

discomfited the Opposition. The Carlists and Maurists even accused the

Government of stealing other people's plans. The King loyally supported

its efforts to combine order with freedom. A few brief periods of

temporary difficulty were easily surmounted. The railway strike in

Portugal in the middle of January occasioned a careful watch of the

whole Western frontier; and through this vigilance the movement was

prevented from spreading to Spain. Colonel Labrador, a Protestant, had

been condemned by court martial to six months' detention in a fortress

for having refused to attend a Mass of the Holy Spirit; the King

pardoned him. The increasing popularity of the Ministry exasperated

the Opposition to such a degree that it led them into a blunder. They

decided to organise a great electoral demonstration at the very heart

of the region where their leader had most influence. Don Ossorio

Gallardo, who when Governor of Barcelona had mercilessly suppressed

the rising of 1909, went there to preside at a great Conservative

meeting and banquet. As he was proceeding to the place of meeting

at the head of a very demonstrative procession, he was attacked by

a band of counter-demonstrators; revolvers were fired, and one of

the organisers of his campaign who was beside him was wounded. The

Acting-Governor, Señor Andrade, tendered him his condolence; he refused

it, and exhibited his irritation even more decidedly by declaring in

public that the government of the province had been put up to auction

and had gone to the least deserving bidder. These denunciations the

Liberal Conservatives and their allies decided to disregard, and these

tactics were successful. Order was gradually restored at Barcelona.

It was disturbed at Valencia by causes which were not political but

social. A general strike was set up (Feb. 25) by a fresh increase of

the municipal taxes; as a precaution, all the shops, warehouses, and

offices were closed; the troops had to intervene forcibly to restore

order.

The result of the general election of the Chamber was considered as

a victory not only for the Ministry, but also for the King. He had

made himself the mediator between the parties, and it was his delight

to enter into relations with all the more important personages of

the Kingdom either at the great open receptions at the Royal Palace,

or in private interviews, which he granted freely. According to the

official figures, of the 404 members elected 356 were Liberals, Liberal

Conservatives, or "Reformist" Republicans, the last named having

practically come to support, not perhaps the monarchy, but at any rate

the monarch. The Ministerial organs, and even the Romanonist, exulted

in the success; but the figures were disputed by the Opposition,

and eventually the divisions following the more important debates

in the Cortes showed that the seats won by the Carlists (or rather

Jaïmists), by the Ultramontanes or Integrists, and by the Maurists on

the Extreme Right and the Republicans and Socialists on the Extreme

Left might be estimated at a third of the total. The elections to the

Senate had been completed on April 22. The results were: Conservatives

ninety-two, Liberals fifty-one, Catholics ten, of whom eight were

prelates, Regionalists six, Republicans seven, Integrists and Jaïmists

two each. The session formally opened on April 2, when the newly

elected deputies and Senators attended to hear the Royal Speech. But

the Chamber adjourned almost immediately for Easter, and then proceeded

leisurely to examine whether its members were duly elected; it was

not definitively constituted until April 28. Señor Besada was elected

President without a dissentient vote, and it was not till May 5 that

the debate on the Address was begun. This policy of gaining time

seemed to have quieted the Maurist ardour for attack. In the Senate

three days sufficed for the debate; the Address was passed by 145 to

71. A much longer time was required in the Chamber; the Ministerial

text was passed by 184 to 90 on June 18. But several debates on other

subjects had taken place meantime, and had resulted in disorder. That

on the interpellation on Morocco introduced by Don Gabriel Maura, son

of the ex-Premier, had been especially uproarious, and had led to

encounters in the lobbies between deputies and journalists, and to

street fights, with bloodshed, between the supporters of the different

parties, which compelled the police to take vigorous measures to

restore order. Meanwhile a shipping strike was met by the owners with a

lock-out, and they refused the arbitration offered by the Government.

The strike lasted more than a fortnight, but ended on June 22, without

the strikers' demands being satisfied. During this time the Government

introduced a naval programme into the Chamber, in the shape of a Bill

providing for an annual grant for nine years of 36,000,000 pesetas

(1,440,000_l._) for the construction of two battleships, two fast

cruisers, and a number of submarines; it also secured the passing of a

Treaty of Commerce with Italy.

The end of the session was comparatively calm. The Chamber adopted the

Treaty of Commerce already voted by the Senate, and the Republicans,

by proposing a lengthy series of amendments, prevented the discussion

of the naval scheme. As soon as the only measures remaining to be

considered were not purely political, the two Chambers were overcome by

fatigue. But interesting questions were raised nevertheless. Thus Don

Rogelio de Madariaga proposed that a Commission of experts should be

appointed to study the question of reducing the gauge of the railways

of the Kingdom so as to make it uniform with that of Central and

Western Europe. The change became imperative in view of the impending

connexion of the French system with the lines of Northern Spain by

two new railways through the Pyrenees. The matter was postponed, and

the Cortes separated for the recess, first, however, passing (July 9)

a slight modification in the concession for the Morocco railway from

Tangier to Fez in respect of the part traversing the Spanish zone.

During the recess, the question arose of the attitude to be observed

by Spain in the war in Europe. This gave rise to active discussion.

The geographical position of the kingdom assured it great advantages,

whatever side it might take, unless indeed it should become engaged in

a war with France. On July 30 Señor Dato emphatically contradicted a

statement to the effect that Spain had undertaken to send an army to

relieve the French expeditionary corps in Morocco, and declared that

Spain was not bound to any Power whatever by either an offensive or a

defensive alliance. As the various declarations of war were issued,

the Government intimated its intention to remain neutral, and its

behaviour up to the close of the year was in accordance with this

decision. The Liberals and Republicans set up an active agitation in

favour of Spanish support for the Triple _Entente_; but the great

mass of the priesthood, the Carlists, and a section of the Maurists,

demanded a benevolent neutrality towards Germany and Austria-Hungary.

The King observed strict impartiality; but he combined the attitude

of reserve taken up by him as monarch with a chivalrous recognition

of the help given to Spain on various occasions by France. The

diplomatic representatives of Spain in Germany and Austria-Hungary

were instructed to undertake the protection of French subjects and

interests in those countries, and fulfilled their mission with

conspicuous dignity. In Spain itself economic measures had to be taken;

at the beginning of August a moratorium was established by decree,

and the export of cereals and cattle for slaughter prohibited. The

censorship was not revived, but the President of the Press Association

and the editors-in-chief of the Madrid newspapers were summoned to

the Ministry of the Interior, and Don Sanchez Guerra explained to

them very clearly the conditions on which the Government would allow

the system of freedom for the Press to continue. It was forbidden to

cause assemblages or demonstrations by announcing news through the

medium of illuminated notices; to circulate false news relating to

the events of the war or to diplomatic action; and to insert articles

insulting to any of the belligerent Powers. At the same time an active

supervision was exercised over the agencies established in Spain to

support the interests of Germany, and it disclosed strange manoeuvres,

both at Barcelona and on the Atlantic coasts. Thus wireless stations

were discovered, surreptitiously established in monasteries; they were

suppressed, but people were not so optimistic as to hope that there

were no others. From the middle of September, and especially after the

bombardment of Reims, Spanish opinion gradually turned to open support

of the Allies; but the Government remained faithful to its original

determination, and the Minister of Public Instruction, Señor Bellarmin,

who had gone beyond the reserve imposed on him by his office, was

obliged to resign. On October 2 a decree was issued summoning the

Cortes for the autumn session, which was a very busy one. The business

was, in fact, the Budget of 1915, which had not been dealt with in the

spring, being crowded out by the debates on Morocco. The Opposition

made some attempts at obstruction, but in vain. Count Romanones loyally

and effectively supported the Ministers in limiting the debates on

political and diplomatic questions to a few sittings each week, so as

to devote the rest of the time to the Finance Bill. The method was

straightforward and its effects were happy. The Chamber and Senate

approved the Ministerial declaration of neutrality, and took note of

Señor Dato's promise to consult them if the course of events should

necessitate exceptional measures. Meanwhile, Spain performed her duties

with courtesy, and reminded her foreign guests, when necessary, of the

respect due to her laws. The German Consul-General at Barcelona had the

presumption to demand the prohibition in that city of the sale of all

French newspapers whatever, on the pretext that they contained insults

to the Emperor and the German Army; he was met with a categorical

refusal. On November 15 the Chamber discussed the shooting of Spanish

subjects at Liège by the Emperor's troops. The Marquis of Lerna replied

for the Government that explanations had been demanded at Berlin, and

that an inquiry had been promised by the Secretary of State. In the

same sitting the Minister informed the Chamber that France no longer

proposed to claim for her members the maintenance of the rights and

privileges resulting from the capitulations in Morocco, on condition

that they should be treated by the Courts on a footing of equality with

subjects of Spain. Two days later the Chamber approved the proposed

amnesty for political offenders, in spite of the opposition of the

Right. The Maurists did not relax their hostility, but their agitation

in no way helped their cause, nor that of their Germanophil allies.

A Jesuit, Father Ricardos, great-grandson of the General who invaded

Roussillon in 1793, undertook, in a sermon at Alicante, to defend the

German Armies; he was hooted by his hearers and compelled to leave

the pulpit. A newspaper started by the _Hamburger Nachrichten_ to

carry on the pro-German propaganda in Spain insulted the ex-Empress of

the French; it was seized by the Spanish police and suppressed. King

Alphonso XIII saw his popularity and prestige increasing daily; the

Republicans themselves paid homage to his loyalty to the country and

his patriotism. When the session of the Cortes closed on December 1,

the political and economic situation of Spain was more satisfactory

than it had been for a long time past. The rate of exchange had

undergone a remarkable improvement; still, great circumspection was

necessary, and the Government appealed to the Spanish capitalists who

had subscribed for the Treasury Bonds, of which 250,000,000 pesetas

were repayable at the end of December, urging them not to require

repayment, in order that there should be no interruption in the public

works undertaken to relieve unemployment.

V. PORTUGAL.

The complicated mechanism of the Republican Constitution of Portugal

could only have worked regularly if a small number of parties, well

organised and under strict discipline, had secured the support of the

immense majority of the electorate for simple programmes, leaving the

form of Government entirely outside discussion. But things did not

stand thus. The Monarchists remained irreconcilable and active; the

rural classes, whose ignorance was extreme, cared little about the

Republic; in the great towns the syndicalist propaganda threatened

even the first principles of social order; the middle-class political

parties were hardly more than coteries, whose leaders struggled

amid personal intrigues. Some excellent people felt anxiety at this

condition of affairs, and strove to form homogeneous parties; their

efforts were paralysed by the bad habits which were a legacy from

traditions that were already ancient. Thus, when on January 5 the

session opened, there was reason to apprehend grave complications.

However, Señor Affonso Costa, the Prime Minister, made the best of

a bad situation. He announced extensive schemes; a Bill forbidding

members of the Cortes to hold their seats together with certain

offices; reforms in the Budget, securing a surplus of 3,400 contos

or 17,000,000 francs (680,000_l._), of which 2,400 contos would be

spent on national defence. But the majority of the Senate declared

itself opposed to him, and on January 10 the Evolutionist Senator Joâo

de Freïtas addressed an interpellation to the Prime Minister on a

personal question, charging him with having placed his influence as a

Minister at the service of clients who consulted him as a barrister.

The Minister refused to reply to a calumny. His supporters opposed

the nomination of a Committee of Inquiry, and left the House. Other

incidents became associated with this scandal; grave Senators sent

one another challenges, and for three days a tumult hitherto unheard

of converted the Senate Chamber into the semblance of a revolutionary

club let loose. Along with this disturbance in the Senate there was

a serious strike among the men employed by the Portuguese Railways

Company. Seven thousand men left work on a question of pensions. They

demanded that the age limit of sixty should be lowered to fifty. Every

railway service to Spain was disorganised. The movement rapidly took

on a revolutionary aspect. Trains and engines were taken into Spain,

and the staff refused to bring them back into Portugal. The Government

had the stations occupied by troops; it protected the works of art

and, after a week of vigilant efforts and of negotiations, induced the

men to resume work (Jan. 21). But it was constantly harassed by the

Senate, and the Prime Minister refused to appear in that body until

satisfaction had been rendered for the insult offered him. He was

supported by the Chamber. The Senate then appealed to the President of

the Republic to intervene, by asking him, as guardian of the Republic,

to invite his Ministers to observe its orders. The President declared

that the settlement of this difficulty lay with the legislative power.

The two Chambers met in a joint sitting to vote the adjournment of

the session. The Ministerialists proposed a vote of confidence, which

was adopted by 114 to 93. The Opposition Senators and deputies then

withdrew, and by their withdrawal precluded the regular passage of

the other measures before the House. The Ministry found its course

hopelessly blocked. It resigned (Jan. 24).

The two Chambers were in conflict. The Democratic Left had the

majority in the Lower House; the Unionist and Evolutionist groups

of the Opposition in the Senate. Each group, by leaving the House,

prevented the other from having a quorum and taking a valid division.

The President of the Republic made lavish efforts at conciliation.

He selected as Prime Minister Senhor Bernardino Machado, who had

come back from Brazil; on February 8 a Ministry was formed, on the

9th it presented itself to the President of the Republic, and on the

day following to the Cortes. Its programme comprised an amnesty for

political offences, pardons, sufficiently wide in their range, for

other convicted persons, the revision of the law separating Church

and State, impartiality in electoral contests, and abatement of party

strife. As a security that these pacific declarations would be carried

out, the new Ministry met the wishes of the Senate on a subject which

had brought that body into conflict with the preceding Cabinet,

viz. the right of exercising a check on the appointment of Colonial

Governors; in return, it obtained from the Senate the passing of a

Bill re-establishing the Lisbon Labour Exchange, and, after some days

of delicate negotiation, it induced both Houses to vote the proposed

amnesty (Feb. 23). The day following, the railwaymen again went on

strike, and for some days there was reason to expect disturbances of

the gravest kind. The crisis, however, was terminated without resort

to force; and, for some months, the Ministry followed a prudent policy

of conciliation which diminished the violence of controversy and kept

matters going till June. But this temporising method was violently

attacked, especially by the Democrats. Senhor Machado decided that the

time had come to obtain a new confirmation of his power. On June 20

he resigned, and, when re-appointed by the President of the Republic,

he formed an entirely non-party Ministry, to proceed with complete

impartiality to new elections; and it secured the passing of the

Budget. The election campaign was marked by considerable disturbance,

and was abruptly interrupted by the declaration of war by Great

Britain on Germany. Portugal found herself involved in the conflict,

and was obliged to repel German attacks on Angola. The elections were

postponed; the Cortes were summoned for August 7, and were requested

by the Government to empower it to take all the measures necessary to

guarantee the maintenance of public order, to secure national defence,

and to provide for the expenditure that would have to be undertaken

in view of the international situation. The Chamber voted urgency and

unanimously adopted the Bill laid before it; the day following, the

Senate likewise passed the measure unanimously, and the Chambers were

prorogued. It must be acknowledged that thenceforward the attitude of

the Republican parties was perfectly correct. The Monarchists hesitated

to follow their example, although King Manuel wrote on August 20 to

his chief representative, Don Azevedo Coutinho, that he had personally

placed himself at the disposal of King George V., and the Portuguese

Monarchists must think first of their country and the defence of its

sacred soil. In the course of October a few irreconcilables attempted

a rising, which was a miserable failure; its only consequence was

to cause the chief of their party, Don Joâo de Azevedo Coutinho,

to write to the President of the Republic demanding permission to

serve in the Army should Portugal take part in the European War. His

goodwill was not put to the test. The Government contented itself with

sending reinforcements to Angola; it suppressed without difficulty a

disturbance at Oporto caused by the high price of provisions; and on

November 25 it convoked the Chambers in extraordinary session. They

unanimously and promptly passed a resolution giving the Government full

power to take part in the war in conformity with the national interests

and obligations. This resolution differed from that adopted in August,

inasmuch as at the earlier date the question had only been one of

defensive measures, while this time participation was contemplated in

the war in Europe. But Great Britain did not call on her ancient ally

for assistance, and it was well she did not, the more so inasmuch as

the Germanophil parties in Spain were carrying on an agitation for

"Iberian Union," which distinctly involved a menace to the independence

of Portugal.

The Machado Ministry did not long survive its triumph. At the beginning

of December it decided that its mission was fulfilled, and that party

politics again claimed their rights. It therefore resigned, and on

December 11 a new Cabinet took office. The Prime Minister was Dom

Victor-Hugo Azevedo Coutinho, President of the Chamber, who also

took the Ministry of Marine; Dom Augusto Soares took that of Foreign

Affairs, Colonel Cervera de Albuquerque that of War, and Dom Alexandro

Braga that of the Interior. The Ministry was dominated by the influence

of the Democrats and of Dom Affonso Costa, and was commended by the

alliance with Great Britain, which was indicated as part of its policy

by its organs in the Press. The Ministerial declaration (Dec. 14)

contained three essential articles: (1) Defence of the Republican

system of government; (2) execution of the measures determined on by

the vote of November 23 regarding the war; (3) a general election as

soon as possible. These elections were to take place in conformity

with the method established by a decree of the Provisional Government,

unless the Cortes preferred rapidly to pass a law sanctioning the

schemes then before it. The Chamber approved these declarations, and

passed a vote of confidence in the Government by 63 to 39. The Senate

passed a vote of want of confidence by 27 to 26. Thus at the close of

the year the Parliamentary situation was precisely what it had been at

the opening; but, given the state of things in Portugal, it was much to

have gained a year without a catastrophe or a sanguinary convulsion,

for a system as frail as that of the young Republic. The fact that

it had lived in spite of pessimistic predictions and hostile attacks

afforded some assurance that it would last.

VI. DENMARK.

Whilst in Sweden the war effected a happy solution of an all-important

question, which for years had been prominent above all other

matters, it had in Denmark the very opposite effect. Instead of the

determination which made the Swedes put aside their party feuds in

order to arrive at a final and adequate settlement of the question of

national defence, the Danish legislators agreed, in view of the war,

to suspend the consideration of their leading issue, the reform of the

Constitution; but, until this determination was arrived at, the reform

dominated the session.

On January 8 Dr. Edward Brandes, the Minister of Finance, introduced

the Supplementary Budget for the current year. It showed an additional

expenditure of some 11,000,000 kroner (611,111_l._), and, as usual,

the report on the Budget for the next year was presented the same day,

at the first sitting after the Christmas recess. The three political

parties supporting the Constitutional reform, the Left, the Radicals,

and the Social Democrats, had agreed to a kind of armistice, and

although the Report contained 199 amendments, it was exceptionally

free from matters likely to cause dissent. The Exchequer Reserve Fund

on November 30 had amounted to 15,750,000 kr. (875,000_l._), and the

sum lent to banks, etc., to 34,364,000 kr. (1,909,111_l._). On March

14 the Folkething passed the Budget. For the first time the vote was

unanimous. The Social Democrats had never before accepted a Budget.

On March 17 M. Claus Berntsen, the former Premier, as Chairman of the

Sub-committee on the Constitution, stated that the most important parts

of the Constitutional reform were those referring to the election of

members of the Rigsdag. In the Folkething the Government proposal

had been maintained, _viz._, that the vote should be accorded to all

citizens of either sex who had completed the twenty-fifth year of their

age, and that proportional representation should not be established.

As to the Landsthing, the discussion had shown that not only the

Conservatives, but also several members of the Left in both Houses

would not accept the Ministerial proposal that this House should

be elected by the municipal councils. It was therefore now proposed

to adopt "the principle of age," allowing all citizens of either

sex to vote who had passed the age of thirty-five, and to introduce

proportional representation. But persons who already possessed a

vote and had completed their thirtieth year would be allowed to

vote at the first election to the Landsthing. The Landsthing was to

comprise ten members for Copenhagen and the adjoining municipality of

Frederiksberg, forty-two would be elected by the larger divisions of

the kingdom, one by the Island of Bornholm, one by the Faröe Islands,

and twelve were to be appointed by the King after selection, under

proportional representation, by the fifty-four elected members. The

members appointed by the King under the existing system were still to

retain their seats for a further term of eight years. The King would

have the power to dissolve the Folkething, and might also dissolve the

Landsthing, when the latter had twice rejected a measure twice passed

by the Folkething, provided that a general election had taken place

between its first and second passing by the latter assembly. Some

questions were left open in order to leave room for discussion with

the Conservatives and concessions to them. The Radicals and the Social

Democrats accepted the proposal now set forth, whilst the Conservatives

expressed great disappointment and surprise at the "alliance" between

these two parties. Prior to this decision a number of discussions had

taken place, the Premier declaring the Conservative amendments to be

impossible, and a debate on them futile. The Conservatives desired

that the electoral qualification should be determined by income,

that the minimum age of voters should be higher, that alterations in

the Constitution and in taxation should only be carried by specified

majorities, and that the Landsthing should in no circumstances be

subject to dissolution.

On April 7 the definitive constitutional measure was introduced in the

Folkething. It was on the lines of the above proposal; and, as regarded

the respective position of King and Government, it followed in the main

the existing Constitution. The number of members of the Folkething is

to be fixed by a special law--it must not, however, exceed 140--and

this measure is also to determine the different constituencies and

the mode of election. The members are to be elected for a period of

four years. The Landsthing is to comprise seventy members, fifty-four

elected as in the proposal above referred to, and sixteen to be

co-opted by proportional representation by the fifty-four elected

members, detailed rules for the proceedings to be embodied in the

forthcoming Elections Bill already mentioned. Henceforward a deputy

will be elected for each member of the Landsthing, to take his place

if absent or succeed him in the event of his resignation or death.

All persons are to have a vote in the elections to the Landsthing who

have completed the thirty-fifth year of their age, and any person will

be eligible for election to the Landsthing who has a vote in the

election for it, provided he resides within the division for which he

is a candidate. This last restriction does not apply to the sixteen

co-opted members. The last clause dealt with future alterations in

the Constitution, which may be introduced both during ordinary and

extraordinary sessions. Should an alteration in the Constitution be

accepted by both Houses and the Government desires to advance the

matter, the Rigsdag is to be dissolved and a general election to both

Chambers held. Should the measure be passed both by the Folkething and

the Landsthing during the next ordinary or extraordinary session, in

unaltered wording, and be sanctioned by the King, it will become law.

On April 17, M. Rode, Minister of the Interior, introduced the new

Elections Bill in the Folkething, at the same time announcing the

withdrawal of the election measure passed by the Folkething the

previous autumn, and then before the Landsthing. The number of

constituencies for the Folkething was fixed at 120; besides their

representatives, twenty members were to be elected as follows: When

the results of an election of the 120 members are known and the number

of votes recorded for each party has been added up, the total number

of votes recorded for the whole country is then divided by 140. The

aggregate votes of the different parties are then divided by the

quotient of the above-mentioned division by 140, and by this method

it is determined to how many out of the 140 members each party is

entitled by the aggregate number of votes cast for its candidates.

It is then ascertained how many members each party has returned in

single divisions and it is then calculated to how many additional

members each party is entitled. Parties which have not returned any

candidates are debarred from obtaining any additional members, as are

parties which at the general election have returned their full number

of members or more. The additional seats due to each party go to those

of its candidates who were not returned, but who obtained the highest

percentage of votes within a constituency.

As for the Landsthing, the fifty-four members elected by a general

election are divided amongst nine electoral divisions. The mode

of election resembles that existing at present, inasmuch as it is

indirect, and conducted by chosen electors. At present, however, each

rural municipality only chooses one elector, but for the future at

least three must be elected. The rule is, one chosen elector for each

350 inhabitants, and the election is by proportional representation.

Should a municipality not have the 875 inhabitants which is the minimum

entitling it to three electors, it combines with its neighbouring

municipality to form one electoral division. The d'Hondt method of

election is used in the municipalities. The sixteen members of the

Landsthing referred to above are elected for eight years, as are

the other members, of whom half are elected every fourth year as at

present.

The Bill came up for first reading on April 21 and was supported by

spokesmen of the Left, the Radicals and the Social Democrats, although

the spokesman of the first mentioned gave it a somewhat reluctant

support, as his party did not favour proportional representation or an

increase in the numbers of the Folkething. The Conservative spokesman

was not at all satisfied. The Bill was referred to a Committee of

fifteen.

On April 28 the so-called constitutional parties--those in favour of

the new Constitution--held meetings confirming their agreement of April

4 and extending it to the Election Bill, "the faithful follower" of the

constitutional measure. On May 6 the Folkething passed the Elections

Bill with some modification as to the distribution of constituencies

between the different parts of the country. It was passed by

ninety-seven votes to one. The single opponent was one of the seven

Conservatives, the other six abstaining, and seven members were absent.

The Bill then went to the Landsthing.

In the Landsthing the spokesman of the Left, on May 13, stated that

some members of his party were not greatly in favour of the Bill;

the representative of the Conservatives was still less so, but the

measure was promptly referred to a Committee of fifteen. The Left in

the Landsthing framed a fresh Elections Bill, which, after several

party meetings, was accepted by the Left, the Radicals, and the Social

Democrats of both Chambers, on May 22. The new proposal, which was more

provisional in character, did away with the twenty additional members

of the Folkething and introduced proportional election in Copenhagen

and the three largest provincial towns.

The three "Constitutional parties" now thought that all difficulties

had been removed and that both Bills would be promptly passed, but on

June 2 the Conservatives stopped progress in the Landsthing by leaving

the House in a body before the third reading of the Elections Bill.

When the division was taken thirty-three votes were recorded for the

third reading, but the Chairman ruled that the division was invalid,

thirty-four votes, or at least one above half the number of the

Landsthing being required. The Conservatives similarly obstructed the

Constitutional reform when the measure, coming from the joint committee

of the two Houses, was introduced in the Landsthing for final reading

on June 8. None of them were present; but the two groups (thirty-two

members) forwarded a communication to the President, stating that they

did not propose to attend and giving their reasons for their decision.

Their chief reason was that the Elections Bill and the Constitutional

reform had been linked together by the three other parties, and that

the Conservatives held that the former Bill ought to be laid before the

constituencies at a general election. Again thirty-three votes were

recorded in favour of the Bill then before the House, and the President

again declared the vote invalid.

On June 13 the Landsthing was dissolved in a Council of State, for the

first time since the Constitution of 1866 came into operation. The

King and the Premier differed on the question whether the dissolution

also applied to the members appointed by the King for life, the

King maintaining that they could not be affected by a dissolution.

Eventually the Government agreed that the question should be left

in abeyance until after the election, as the voting might produce a

majority in the Landsthing for the measures in question independent

of the life members, in which case the question might remain an open

one until disposed of otherwise. Should it, however, prove necessary

for the Ministry to propose to the King that he should nominate other

members in order to effect the object of the dissolution--a prompt and

clear decision as to the two measures--His Majesty's attitude to this

proposal would decide whether the Ministry should retain office or not.

The election to the Landsthing took place on July 10. The Left gained

three seats, the Radicals two, twenty-nine supporters of the two

measures and twenty-five opponents being returned. The Landsthing

now, with the retention of the Crown nominees as before, contained

thirty-eight supporters of the two measures and twenty-eight opponents.

The new Landsthing met on July 21. M. A. Thomsen was elected President,

an office which the Conservatives now had to relinquish after

forty-eight years of undisputed sway. The Constitutional reform and the

Elections Bill were both promptly reintroduced on that day and referred

to committees on the day following. On July 29 the seven Conservative

members of the Landsthing Committee produced twelve amendments which

the Government could not accept. Then, before a final result had been

achieved, the war broke out. By mutual consent it arrested the progress

of these much-discussed measures.

On August 1 the King issued a message to the nation, emphasising the

strict neutrality of the Government and all responsible persons, and

urging the people collectively and individually to act accordingly. On

the same day, as a precautionary measure, 19,000 men were called to

the colours; Danish neutrality was safeguarded by placing mines in the

Belt, and the German frontier was guarded by Danish troops.

Within a few days several emergency measures were passed by the

Rigsdag, including a first extraordinary vote of 10,000,000 kr.

(555,555_l._) for the War Minister, laws empowering the Government

to prohibit the export of a number of articles and to regulate the

price of articles of food, and providing State grants in support of

municipal aid funds. Three of the above measures were passed by both

Houses in one day, August 6, at a series of sittings, the fourth the

day following. It may here be added that though great efforts were made

to influence Danish opinion in favour of Germany in the war--a work in

which M. Bjorn Björnson, son of the famous author, was prominent--they

were by no means successful.

On August 19 the Folkething passed new rules of procedure, under which

the President and the two Vice-Presidents are elected by proportional

representation and a permanent financial committee is established.

The extraordinary session closed on September 22. Although the

Government had determined that the Constitutional reform and the

Elections Bill should be passed during the session and thus made ready

for the general election, which was required in order to confirm them,

the two measures were left undisposed of. A number of minor measures

regulating various matters in view of the war had been passed in the

meantime.

The Rigsdag assembled again at the usual time, the first Monday in

October. The Budget for the next financial year was introduced in due

course. The revenue side had risen to 124,930,000 kr. (6,940,555_l._)

against 121,337,000 kr. (6,740,944_l._) in the Budget for the current

year; the total expenditure amounted to 111,380,000 kr. (6,187,777_l._)

against 108,768,000 kr. (6,042,666_l._) for the current year. From the

apparent surplus of 13,500,000 kr. must, however, be deducted about

10,700,000 kr. to cover expenditure under the "acquisition of capital"

clause, the final surplus thus being some 2,800,000 kr. The Minister of

Finance stated that it had been difficult to draw up a Budget, in view

of the uncertainty as to the development of the political crisis in

Europe; he had tried to steer a sober middle course.

In a Council of State on November 30, the Minister for Iceland laid

before the King proposals from the Althing for alterations in the

Constitution and the flag for Iceland, asking the King to sanction

them. The Althing desired that measures concerning Iceland should

not be introduced, as under the existing system, in a Danish Council

of State, but should be laid separately before the King as a purely

Icelandic matter. This the King refused to sanction and the Minister

for Iceland then withdrew the proposals.

The King next refused to sanction the proposal for a separate flag

for Iceland, as he desired first to confer personally with leading

politicians of the island, whom he intended to summon to Copenhagen,

about the different proposals. The Minister for Iceland, M. Sigurd

Eggers, then tendered his resignation, which the King accepted.

The royal meeting in Malmö (Dec. 18 and 19) caused sincere satisfaction

in Denmark; King Christian and King Haakon both expressed to King

Gustaf their lively pleasure in accepting his invitation. The official

announcement subsequently issued briefly stated that not only had

the meeting further cemented the existing good relations between

the three northern kingdoms, but the negotiations had confirmed the

mutual agreement existing as regarded the various special questions

raised, and it had been decided to continue the co-operation so happily

inaugurated when circumstances made it desirable, through renewed

meetings of representatives of the respective Governments.

VII. SWEDEN.

In the political history of Sweden 1914 will stand out as remarkable

in more respects than one, many anticipations were upset, and one

very vital problem was at last satisfactorily solved. It afforded

the Swedish nation further opportunities of manifesting its fervent

patriotism, and its different phases produced dramatic incidents of

singular interest. That the European War also set its stamp on much of

the history goes without saying.

The great speech delivered by M. Staaff, the Premier, at Karlskrona

(Dec. 21, 1913), had further stimulated public interest in the problem

of national defence, and M. Staaff's disinclination to grapple promptly

with the entire question excited an opposition which was encouraged in

many ways and grew rapidly, manifesting itself especially amongst the

ancient and proud class of freehold peasant farmers.

The Riksdag was opened as usual on January 16. The new Budget caused

some apprehension, inasmuch as it reached the formidable total of

311,461,200 kroner (17,303,400_l._), an apparent increase compared with

1913 of some 37,000,000 kr. (2,055,555_l._). The revenue comprised

212,367,600 kr. from taxes, etc., 50,733,800 kr. from the State's

productive funds (railways and other investments), 7,500,000 kr. share

of the Rigsbank's profit for 1913, 1,226,100 kr. sundry minor items and

39,633,700 kr. loans. The increase was mainly from taxes, etc., _viz._

about 35,000,000 kr., new items of importance being the tobacco tax

and the yield from spirits under the new system. On the debit side the

ten different departments accounted for 167,718,271 kr. ordinary and

46,362,729 kr. extraordinary expenses, making a total of 214,081,000

kr. (11,893,388_l._). Interest on national debt, etc., amounted to

27,042,000 kr., fund reserved for defence expenditure to 5,000,000

kr., and expenditure for increase of capital 63,807,100 kr., etc. Most

branches of expenditure showed an increase.

The chief question which marked the year, that of national defence,

became prominent almost at once. On the first day of the so-called

"Remisse" debate, January 23, in a crowded house, with the Crown

Prince and Prince Eugen amongst the listeners, Professor Trygger in

the First Chamber and the ex-Premier, Admiral Lindman, in the Second,

severely criticised the Government policy of defence. Professor

Trygger vehemently denounced it as lacking in clearness, energy, and

consistency, the two features he most condemned being those relating to

the period of drill for the infantry and to the increase of the number

of ironclads. The defence tax the Conservatives would gladly bear, if

the money were effectively applied. Admiral Lindman spoke in a similar

vein, pointing out that the Riksdag could never wish for a higher task

than the satisfactory solution of the defence question, but things did

not promise well. An unprecedented responsibility, said M. Lindman,

at this moment rested upon the Government. If it would, it could

really solve the defence question, but would it? Was it altogether a

vain hope, that the Government and a majority in the Riksdag might

be seen working together on this question, firmly resolved to raise

it above other questions, above party ties, in unity for the sake of

the Fatherland? M. Staaff spoke in both Chambers, reiterating the

substance of his Karlskrona speech, and he was supported by the Liberal

spokesmen, the Social Democrats speaking in their usual vein. The

proceedings gave little hope of the desired solution.

Meanwhile the preparations for a national demonstration, such as had

rarely, if ever, been witnessed, were progressing, and on February 6

some 30,000 "peasants" (the Swedish peasant has always been ready, when

his country called upon him) from all parts of the country arrived

in Stockholm--admirable arrangements being made for their journey,

reception, and accommodation--to wait upon the King and give expression

to their patriotism and zealous desire to see the defence of the

country promptly and adequately provided for. From time immemorial, it

must be remembered, the Swedish peasant has frankly gone to his King

when he was in trouble or had something special at heart. King Gustaf's

reply to the effect that he would abide by the demands of the naval and

military experts raised a twofold storm, of loyal enthusiasm within

the defence parties, of dissent and anger amongst the Liberals and

Social Democrats. The supporters of the Government maintained that the

King had gone beyond the purpose of the great peasant demonstration,

and that he wanted to bring his personal influence to bear upon the

development of the question, irrespective of the Constitutional

Government. The Liberal party at once held a meeting, and determined

that the Ministry should in any case await further developments, and

the next day the Social Democrats in the Riksdag demonstratively showed

their displeasure in the debate on the King's civil list.

Demonstration now followed upon demonstration. Two days after the

imposing peasant procession the Social Democrats arranged a counter

move, and had no trouble in mustering a similar number, aided, to

some extent, by their women and children. M. Staaff and some of his

colleagues received a deputation from the Social Democratic procession,

headed by Mr. Branting as spokesman, who handed an address to the

Premier, demanding a reduction of the military burdens and insisting

that the Swedish people never would yield to demands from a personal

Monarchy; only the will of the people should rule in Sweden. M. Staaff

in his reply maintained the necessity of national defence, declaring

that the principles of democracy were as sacred to him as to them.

The day following a vast number of the leading representatives of

Swedish science, art, and literature decided to present an address

to the King, thanking His Majesty for having, through his firm words

to the peasants' procession, maintained the King's ancient and

constitutional right to represent the country's highest interests,

irrespective of party politics.

Sooner, probably, than was expected came the result of the King's

message to the peasants. M. Staaff, the day after the Royal speech,

forwarded to the King a lengthy communication, to the effect that

the measures of defence which the Government was about to lay before

the Riksdag, though very comprehensive, yet might not fulfil all the

expectations or demands of the military authorities. The King, however,

in his message to the peasants, had said that he "would not abandon

the demands as to the efficiency and readiness of the field army,"

"which by the experts within my army are stated to be indispensable."

M. Staaff wanted to know whether the King would refuse to sanction any

proposal which did not fully comply with these demands, and whether

His Majesty in any respect had made up his mind beforehand as regarded

the impending proposals, before his constitutional advisers had had

an opportunity of humbly submitting their proposals and the views

which had prompted them. The King replied that, as he had not seen

the Government proposals or the experts' opinion upon them, he could

not yet answer that question. (Hence the King could not have made up

his mind beforehand.) To the second question the King's reply was to

the effect that it was evident that he had not beforehand made up and

could not make up his mind in any question, without first hearing the

statements of his constitutional advisers or their proposals in Council.

This answer was not considered satisfactory by M. Staaff, who again

addressed a communication to the King containing a drafted reply to be

signed by His Majesty, stating amongst other things that his speech to

the peasant procession was in no way intended to have the character of

an act of State. The King's reply was in the main a short repetition

of his answer to the former communication. A third letter from M.

Staaff asked the King, when he intended to make any public statement

of a political nature, to communicate it beforehand to the Government.

The King replied, that he could not consent to this, as he would not

deprive himself of the right to speak untrammelled to the people of

Sweden.

The Staaff Ministry then resigned (February 10). On the day following

some 5,000 Swedish students, in a great and enthusiastic procession,

waited upon the King, and were greeted on their way to the palace

with the utmost enthusiasm. In answer to their loyal and patriotic

homage the King made a lengthy reply, maintaining at the outset his

constitutional right and duty to state openly and without restraint

his opinion of what he thought was for the good of his people; and,

having urged the youth of the nation to assist him in his labours,

the King wound up by saying: "Forward to our goal; a free and strong

Sweden!" The proceedings were altogether marked by the most spontaneous

enthusiasm.

The same day M. Staaff made a lengthy statement in the Second Chamber;

the Liberals placed the responsibility upon the new Cabinet, and M.

Branting, on behalf of the Social Democrats, thanked the retiring

Government.

The formation of a new Ministry, as might have been expected, did not

prove easy. Baron de Geer tried, but failed, and on February 13 the

King entrusted M. Hammarskjöld with the task. Whilst Baron de Geer

had tried to form a purely Liberal Ministry, M. Hammarskjöld, who

had been a member of two previous Governments and Swedish Minister

in Copenhagen, favoured the formation of a Conservative Ministry;

the King, however, asked him to attempt the formation of a Liberal

Government. On the 16th M. Hammarskjöld had his list ready as follows:

M. Hammarskjöld, Premier and War Minister; M. K. Wallenberg, a

well-known banker, Foreign Affairs; M. B. Hasselrot, President of one

of the Courts, Minister of Justice; M. D. Broström, a large steamship

owner, Minister of Marine; M. O. P. von Sydow, Interior; Baron J. G.

Beck-Friis, Agriculture; M. A. F. Vennersten, Finance; Professor G.

Westman, Ecclesiastical Minister; and Colonel B. Murcke, M. S. I.

Stenberg, and M. S. N. Linner, Consulting Ministers. It may be noted

that M. Wallenberg is the first Swedish Foreign Minister not of noble

birth. The Hammarskjöld Ministry, admittedly, counted amongst its

members some very able and distinguished men. It was formed solely to

solve the defence problem.

The Riksdag was promptly dissolved (March 5), the Government at the

same time publishing its manifesto or defence programme. The latter

contained the various items embodied in the proposals of the defence

committees, with the so-called "winter-line,"[28] coupled with the

adoption of the _Sverige_ type of warship. On the 11th the Liberal

Union issued their manifesto, also containing the Defence Committee's

proposals, but with the "summer-line" and leaving the naval plan in

abeyance, as the committee had not completed its report on the Fleet;

this programme consequently kept all which had been promised in the

Karlskrona speech.

Ultimately the Ministerial programme was substantially as follows.

The period of training for the Army was extended to 250 days (Nov.

to July) with courses of thirty days each in four subsequent years.

To the Navy were to be added two new divisions of four warships each

for coast defence, the _Sverige_ being included in the first; sixteen

destroyers, two divisions of sea-going submarines, and two divisions of

torpedo-boats.

An electioneering campaign followed, more violent and passionate

than Sweden had ever witnessed, and perhaps rather disproportionate

to the actual differences between the combatants. But there were, no

doubt, deeper political instincts and influences at work. The result

was a most serious set-back for the Liberals; most of the seats they

lost went to the Conservatives, the rest to the Social Democrats. The

respective strength of parties in the former or "A" Riksdag had been:

Right 65, Liberals 101, Social Democrats 64; in the new or "B" Riksdag,

the Right took the first place with 86 seats, the Social Democrats had

73, whilst the Liberals had become the smallest party, with but 71.

The Left or Liberal joint majority in both Chambers, however, had not

disappeared, though reduced from 76 to 34.

The new Riksdag assembled on May 18, and was occupied solely with the

question of national defence. M. Staaff presided over the deliberations

of the Defence Committee in a manner for which even his staunchest

opponents felt it right to compliment him. Meantime no progress could

be made, no solution reached, and even distinctly Liberal organs urged

a speedy settlement, even if the demand for strictly Parliamentary

Government must be postponed. The defensive programme set forth by the

Social Democrats found no support whatever outside their own party.

On June 13 the Government introduced the Bill imposing a special

tax for national defence. This tax is charged on income and capital

jointly, according to a comprehensive sliding scale, the taxed sum

comprising 10 per cent of capital; an income of at least 5,000 kr. is

taxed on its full amount; on smaller incomes the tax is degressive, on

larger it is progressive, the limit being reached at incomes exceeding

250,000 kr. (13,888_l._), a sum which is increased, for purposes of

taxation, by 1,250 per cent. The tax is 1 per cent. of the taxed

amount; in other words, instead of increasing the percentage, the

amount is increased. The measure in question devoted about 37,000,000

kr. (2,055,555_l._) to land defence and 24,000,000 kr. (1,333,333_l._)

to naval defence, the expenditure being non-recurrent. The entire

revenue from the defence tax was estimated to amount to 75,000,000 kr.

(4,166,666_l._).

Eventually the Liberals went a considerable way towards meeting the

Government, declaring themselves ready to accept the ironclads of the

_Sverige_ type and to extend the "summer-line" drill period from 280

to 310 days, the additional thirty days to be applied, ten for the

extension of winter drill and the balance to the drill of the older

classes in accordance with the Ministerial proposal. The Ministerial

party, or rather the distinctly Conservative section, declined to

accept this offer, which gave a month less for the period of drill

than that of the Government. The offer of the Liberals to go beyond

the Karlskrona programme was made just as the European War began; the

Social Democrats now also rallied to the support of the Government.

Their leader, M. Branting, at a large meeting of his party, telegraphed

to M. Hammarskjöld, offering his support in the efforts to preserve and

defend the neutrality of Sweden, and assuring the Premier that he might

"reckon upon the confidence of a united people." M. Hammarskjöld at

once telegraphed back an appreciative acknowledgment.