Early 1800s, German-speaking people lived in a number of small and medium sized states as well as Prussia and Austria. Napoleon’s raids unleashed new forces in these territories. - dissolved the Holy Roman Empire - organized the Confederation of the Rhine Some welcomed Napoleon as a hero – but many wanted to free their lands from French control and wanted a unified state. Congress of Vienna created German Confederation headed by Austria. Prussia created economic union called the Zollverein. Frankfurt Assembly (1848) offered throne to Frederick William IV of Prussia. He declined said that throne was offered by the people.

Otto von Bismarck was selected prime minister by King William I In 1872 he became chancellor. He had come from the Junker class of conservative land holding nobles. He used his policy of “blood and iron” to united German states under Prussian rule. Otto von Bismarck

Realpolitik – realistic politics based on the needs of the state. Power is more important than principles. His loyalty was to the Hohenzollerns, the ruling dynasty of Prussia. He was not a nationalist, through unification he hoped to increase the power of the Hohenzollerns.

Bismarck’s first action was to build up the Prussian army. The liberal legislature refused to vote for it – so Bismarck used money collected for other purposes. With a strengthened army, he was ready to move on his aggressive foreign policy. Bismarck would lead Prussia into 3 wars over the next decade. Each increased Prussian prestige and power and paved the way for German unity.

Bismarck formed an alliance with Austria in 1864 to help him get 2 Germany-speaking territories administered by Denmark – Schleswig and Holstein. Prussia and Austria “freed” the 2 provinces - Austria > Holstein - Prussia > Schleswig

In 1866, Bismarck invented an excuse to attack Austria. Wanted to take Holstein for itself. The Austro-Prussian War lasted 7 weeks Prussia won and then annexed several other German states. Bismarck dissolved the Austrian-led German Confederation and created a new one dominated by Prussia. Austria and 4 other southern German states remained independent.

Prussian victory over Austria angered Napoleon III. Rivalry led to the Franco- Prussian War in Bismarck edited a telegram about a meeting between King William I and the French ambassador. Ems Dispatch seemed to insult the French. Napoleon III was furious and declared war on Prussia. Prussia’s military was superior and Napoleon III was forced to surrender. Napoleon III

After the French were soundly beaten, princes from the southern German States and the North German Confederation persuaded William I to take title of kaiser – or emperor. The Second Reich was born – heir to the Holy Roman Empire. Bismarck drafted a constitution. Set up a 2 house legislature: - Upper house – Bundescrat (appointed by rulers of the German states) - Lower house – Reichstag (elected by universal male suffrage) Bundescrat could veto decisions of the Reichstag so real power lay in the hands of the emperor and his chancellor.

Germany had many factors that made it ready for industrialization. - supply or iron and coal - disciplined and well-educated workforce - middle class and educated professionals helped to create a productive and efficient society Population rose from: 41 million (1871) to 67 million (1914) Consequences – it provided a huge home market and larger supply of industrial workers. The Germans founded large companies and railroads. Germans were the first to apply science to the development of products such as synthetic chemicals and dyes. Owners and government supported research and development.

Bismarck’s foreign policy goals: - Keep France weak and isolated - Build strong links with Austria and Russia - Didn’t want to compete with Britain on the seas Bismarck tried to crush all opposition to the state and in doing so targeted 2 specific groups: the Catholic Church and Socialists.

Catholics = 1/3 of the German nation Bismarck was Lutheran and distrusted Catholics, especially the clergy because their first loyalty was the the pope, not Germany – 1878: Bismarck launched Kulturkampf – “battle for civilization” Goal: Make Catholics put loyalty to the state above Church. Laws were passed to supervise Catholic education. The government approved appointment of priests. Some religious orders were closed and Jesuits were expelled from Prussia. Marriages were through civil authority. This campaign backfired because the faithful rallied behind the Church. Bismarck had to make peace with the Church.

In the German empire, Marxists had organized the Social Democratic Party and called for a parliamentary democracy and laws to improve conditions for the working class. Bismarck feared the socialists because he feared they would undermine the loyalty of the German workers and turn them toward revolution. After a failed assassination attempt against the kaiser, Bismarck passed laws that dissolved Socialist groups, shut down their newspapers and banned meetings. This repression backfired as workers united around the socialist cause. Bismarck set out to woo workers away from socialism by implementing health and accident insurance and old age insurance for retirement benefits. Workers did not abandon socialism and the Social Democratic Party continued to grow in strength.

Kaiser William II succeeded his grandfather as kaiser. He wanted to put his own stamp on Germany. In 1890, he asked Bismarck to resign. He lavished funds on the military and launched an ambitious campaign to expand the German navy His nationalism and aggressive military stance helped to increase tensions leading up to World War I.