Danubian Republic - first socialist state to ever exist, located in east-central Europe. Danubian Republic borders with Germany, Poland, Ukraine, Romania, Serbia, Italy and Switzerland. It also has maritime border on Adriatic Sea. It includes number of islands like Cres, Krk. Area of Danubian Republic is equal to 676 615 km². Capital - Vienna. Area of Danubian Republic is composed of eight socialist republics, nine autonomous socialist areas and 119 gaus (shires). German is an universal language. Danubian currency is Danubian Krone (DAK).
History of Danubian Republic dates back to 1156, when Duchy of Austria was created as a vassal state of the Holy Roman Emperor. As a result of reform of Holy Roman Empire of 1356, Austria gained de facto independence. From 1438 every Holy Roman Emperor with only one exception was duke (from 1453 Archduke) of Austria. Through multiple royal marriages, Archdukes of Austria inherited Burgundy and Spain, but both of those territories eventually broke away.
Creation of Danubian Empire begun in 1526, when Bohemia and northwestern part of Hungary came under Habsburg control. Austria fought a series of wars against Turkish country of Ottomans, that culminated in siege of Vienna in 1683, which was won by Austrian allies. Subsequently, the Ottomans were forced to cede rest of Hungary to Austrian crown in 1699.
Habsburgs continued to expand, taking part in Partition of Poland and Treaty of Vienna, which gave them significant portion of Italy. In 19th century empire faced internal problem due to rise of nationalism. This led to creation of a Dual Monarchy, known as Austro-Hungarian Empire. Its importance diminished, though, with rise of states such as Germany, United Kingdom, Russia, Italy and France. Its last territorial addition was annexation of Bosnia in 1908.
Austria-Hungary in 20th century was ethnically unstable and economically stagnant empire, dependent largely upon foreign capital. It was hit particularly hard by The Great Depression. Unemployment rose above 40% and hunger begun. Poor economic conditions and disappointment with undemocratic imperial regime led to Manifesto of Austrian Communist Party being delivered in December. Workers marched on parliament in Vienna. After several skirmishes with police and the army, emperor abdicated and escaped from the country.
Proclamation of Communist Austria was a sign to national minorities that old regime is gone and many declared independence. This led to immediate response from the Communists. Separatists movements were crushed and 'bourgeois nationalism' was deemed a crime.
Austrians supported by Hungarians (leader of Communist Party of Austria, Bela Kun was Hungarian) crushed rebels in Poland, Croatia, Bosnia and Czechoslovakia. In September, most of former Austro-Hungarian territory was in hands of Communists and Danubian Republic (the name deliberately avoided any mention of Austria) was proclaimed, giving ethnic minorities fair amount of autonomy.
In October, Transylvania, still in hands of Romanian nationalists, proclaimed union with Kingdom of Romania. Danubian government warned Romania to remove its troops from Transylvania, which they didn't do. It led to Danubian-Romanian War. The war ended in December 1930 with Transylvania remaining in Danubian hands and minor concessions from Romania. In November, the Communist revolution succeeded in neighbouring Germany.
Economy during the revolution
Building of socialism begun in the first months of revolution. By a decree of Central Committee, any enterprise was to be subject to nationalisation. The decree stated that foreign capital, small businesses and cooperatives were exempt from the procedure. At first, all of economy was geared towards war production. Hopes for a world revolution were still high amongst members of Communist party. After war with Romania, exporting of revolution was discredited and the party begun to create plans of building socialism at home.
Nationalisation, collectivisation and industrialisation
In January 1931, economic policy called 'Three Steps to Achieve Socialism' was approved. First Step (1931-1933) involved nationalisation of all foreign enterprises and increasing investing in producer goods in comparison to consumer goods. Second Step (1934-1936) implied nationalisation of all industrial and trade enterprises and turning large private farms into collective and state farms. It saw large disproportions between investment in different branches of industry. Light industry was under invested. Third Step (1937-1939) involved nationalisation and collectivisation of all industry and agriculture and slight restoration of balance between consumer and producer goods.
In its first years, Danubian Republic experienced high growth as country industrialised and new branches of industry were created. Country experienced large-scale migration from countryside to cities. Most growth was however experienced in heavy industry and not in consumer industry. In response to the </span>Russian War, country rapidly militarised, once again putting needs of the population at the second place. The unhappiness culminated in workers' strike in Sarajevo in 1956, which turned into nationalist demonstration. The strike was put down but it forced Bernard Gerst, First Secretary of the Communist Party of Danubian Republic.
Wilhelm Goldberg was elected as the new First Secretary. Dedicated to good governing and rationalisation, he carried out broad reform program, re-introducing some market measures, at the same time maintaining public ownership of means of production. Reform introduced scientific management and reformed the administration to reduce bureaucracy. Small private enterprises were allowed. Goldberg's policy resulted in a boom in Danubian economy, which experienced another period of high growth, lasting until the end of 1990s, when production of raw materials became less and less profitable.
Modernisation of Danubian economy
Development of computer had profound effect on Danubian economy, as well as life of Danubian citizens. The state. under pressure from its citizens democratised somewhat in 1990s, allowing more free speech and somewhat reducing surveillance. Economic democracy was expanded as well. The state and the party were separated. NGOs were allowed, although they are kept under control. In the begging of 21st century, many industrial enterprises had to be closed down and country focused on high-tech industry, importing more raw materials from its allies in Africa and Asia. Today, the Danubian Republic has on of the highest per capita expenditures on R&D and remains world leader in science, especially engineering and biotechnology.
Danubian economy today
Danubian republic is highly developed industrial and agricultural economy. It has fourth largest economy in the world (after USA, Germany and Japan), although their position is threatened by quickly developing Indian and Brazilian economy. Austria Hungary was in 20th century, a backwards and only partly industrialised country. The Great Depression and subsequent revolution dealt massive blow to Austro-Hungarian economy. After revolution, the economy underwent massive re-organisation along socialist lines. Industry was nationalised and further industrialisation was sought. Agriculture was collectivised. As result, between 1929-2013, industry grew 18 times, agricultural output three times and national income, 14 times. Growth was especially high in area of production of means of production, such as machine industry. Danubian Republic is one of the fastest growing developed economies, compared to more stagnant western European countries, USA, Germany and Japan, although Danubian economic growth has recently been showing signs of slowdown.
Danubian republic is a multi-ethnic country. It is inhabited by nine major ethnic groups. Around 30% of Danubian population speaks a Germanic language, over 40% speak one of the Slavic languages (Czech, Slovak, Ruthenian, Polish, Serbo-Croat, Slovenian), less than one-fourth speak a Ugro-Finnic language (almost exclusively Hungarian). Romance languages are mostly represented by Romanian and Italian.
- German Austrians: 31,770,000 (29%)
- Hungarians: 25,197,000 (23%)
- Czechoslovaks: 19,719,000 (19%)
- Poles: 8,764,000 (8%)
- Serbo-Croats: 7,669,000 (7%)
- Ruthenians: 6,573,000 (6%)
- Romanians: 5,477,500 (5%)
- Slovenians: 2,738,750 (3%)
- Italians: 1,643,250 (1%)
Between 1929-2013, Danubian population grew by 51 million people. Danubian Republic has one of the world's lowest mortality rate. Population growth rate trends above European average, but there is significant difference between growth rates of different republics (in German republic it is almost 20‰, while in Ruthenian and Transylvanian republics it is around 5‰).
Population of Danubian Republic is distributed mostly evenly. Certain areas, though, are much less populated. These include mountainous, alpine regions of southern Austria, Transylvania and Carpathian mountains and Bosnia. Most densely populated is region that from north-western Austria, through Prague and Vienna basins, Budapest and to northern Serbo-Croatia.
Cities and urban population
After socialist takeover, industrialisation was greatly accelerated, which resulted in fast growth of urban population. Between 1929-2013, urban population increased fivefold. Danubian Republic isn't urbanised uniformly. Austria and Czechoslovakia have highest rate of urbanisation (94%). It is lowest in Transylvania and Ruthenia (82% and 76% respectively). The largest cities:
- Vienna - 5.7 million people
- >Budapest - 3.8 million people
- Prague - 2.9 million people
- Graz - 1.8 million people
- Szeged - 1.4 million people
- Cracow - 1.2 million people
- Zagreb - 1.1 million people
- Kunstadt (OTL Bratislava) - 1.0 million people
- Brünn (OTL Brno) - 0.9 million people
- Linz - 0.8 million people
- Leninogród - 0.8 million
- Kolozsvar - 0.6 million
- Trst (OTL Triest) - 0.5 million people
As a result of economic and social changes, large changes occurred to class composition of Danubian Republic. Capitalist and aristocratic classes ceased to exist and workers and intelligentsia underwent significant increase. Danubian Republic employs high percentage of women.
Standard of living
Danubian citizens enjoy fairly high standard of living, compared to most of the world, but lower than comparable capitalist countries. There are several reasons for the following:
- Most of industry in capitalist countries is outsourced to countries with low labour costs and no regulation. This keeps the prices down, at the cost of exploitation of the third world and creating ant-capitalist sentiments.
- Danubian Republic has comparatively high military expenditure. Most of nation's R&D is working on military development. Since development of atomic and hydrogen bombs made direct confrontation with capitalist countries impossible and the country has been moving away from capital-expensive conventional warfare to hi-tech space, chemical and rocket technology. It is still funding, training and equipping communist guerrillas all over the third world.
- Expenditures on consumer goods production is relatively low and in case of plan under fulfillment, it usually gets crossed out first. Producer goods, machine tools and hi-tech industry are always given priority by the Workers' Party.
- Because of embargoes and high tariffs, Danubian Republic almost doesn't trade with capitalist countries, which cover most of the globe. This makes some items unavailable in Danubian Republic.
Income and labour legislature
In Danubian Republic, unemployment is almost non-existent. Every citizen above the age of 18 is obliged to either find a job or education. Higher education is free. Children of poor parents between the age of 18 and 22 can apply for state benefits. Those who failed to enlist in higher education can take a several months long course combined with practical training that prepares them for their job.
Danubian Republic enjoys low levels of income inequality. Agricultural and unskilled labour usually make the least. Professional industrial workers, bureaucrats, office workers, managers and civil servants make average wages and technicians, engineers, scientists, hi-tech industry employees, highest ranking politicians and economists earn the most: on average about 10 times more than the poorest strata. Workers in strategically important enterprises and branches earn more money.
In addition to regular, monthly salary, workers can earn additional "13th salary", which amounts up to 20% of yearly income and is calculated based on productivity, quality of work and political work (being active member of the party), etc. Additionally, especially productive and masterful workers can become "strike workers", which comes with additional benefits like preference in distribution of shortage goods and political influence. In order to ensure high productivity socialist emulation was introduced: it is a form of competition between enterprises and brigades (autonomous labour units), that encourages teamwork. Especially poor performance or absenteeism can be punished with partial suspension of payment of salaries or dismissal from the enterprise.
Territory of Danubian Republic is divided into eight regions called Socialist Republics. These are:
- German-Austrian Socialist Republic (Deutschösterreichische Sozialistische Republik)
- Hungarian Socialist Republic (Magyar Szocialista Köztársaság)
- Czechoslovak Socialist Republic (Československá socialistická republika)
- Polish Socialist Republic (Polska Socjalistyczna Republika)
- Ruthenian Socialist Republic (Rusyns'koho Sotsialistychna Respublika)
- Transylvanian Socialist Republic (Transilvania Republicii Socialiste)
- Slovenian Socialist Republic (Slovenska Socialistična Republika)
- Serbo-Croat Socialist Republic (Srpsko-Hrvatsko Socijalistička Republika)
Additionally, there are nine Autonomous Socialist Areas:
- Hauerland German Autonomous Socialist Area (Hauerland Deutschen Autonomen Sozialistischen Gebiet)
- Zips German Autonomous Socialist Area (Zips Deutschen Autonomen Sozialistischen Gebiet)
- Carniola German Autonomous Socialist Area (Krain Deutschen Autonomen Sozialistischen Gebiet)
- Swabian Turkey Autonomous Socialist Area (Schwabisch Türkei Deutschen Autonomen Sozialistischen Gebiet)
- Bakony-Vertes Autonomous Socialist Area (Bakonywald-Schildgebirge Deutschen Autonomen Sozialistischen Gebiet)
- Banat Autonomous Socialist Area (Banat Deutschen Autonomen Sozialistischen Gebiet)
- Nösnerland Autonomous Socialist Area (Nösnerland Deutschen Autonomen Sozialistischen Gebiet)
- Transylvanian Autonomous Socialist Area (Siebenbürger Deutschen Autonomen Sozialistischen Gebiet)
- Szekely Land Hungarian Autonomous Socialist Area (Székelyföld Autonóm Terület Szocialista)