and the nation to remember only that since the House of Austria first ruled over Hungary there never had been a King between whom and his people there reigned such thorough harmony as that existing between King Francis Joseph and his loyal Hungarians. So thoroughly was this the case that, without waiting for the initiative of the Legislature, towns and counties, municipalities, and other public bodies and associations decided to celebrate the anniversary by voting addresses, sending up deputations to present them, and appropriating funds for some public purpose to perpetuate the memory of the day.

On the 2nd of December festivities and illuminations took place at all the towns and villages in Austria. The illumination of Vienna was general, spontaneous, and most brilliant, even the humblest streets being lighted up. The public buildings, the embassies, and the private mansions were gay with flags. The Ringstrasse was a sea of light. The Emperor, the Empress, and the Crown Prince drove for two hours through the densely-crowded streets, and were loudly cheered. Far away on the Alps shone out bonfires from the mountain-tops. At sunrise on Monday morning a salute of 101 guns was fired before the imperial castle. High mass was celebrated in all the churches. The Emperor continued to receive numberless congratulatory addresses from deputations. In replying to that of the generals he said with deep emotion, "I present to you my son. I wish you to show to him the same fidelity as to me." Many old generals wept when the Emperor ended by recalling the glorious deeds of the deceased General Radetzky and Admiral Tegethoff. Congratulatory telegrams. arrived from all the Sovereigns of Europe. At sunset another salute of 101 guns was fired from the arsenal. The theatres were thrown open free of cost.

On the following day the Emperor received a deputation of army officers, with Archduke Albrecht at their head. He thanked them, and through them the whole army and navy, for the fidelity and affection displayed towards his person, both in good and evil days. Next day he received the Diplomatic Corps, the English, French, and German Ambassadors, and the Ministers of Bavaria, Denmark, and Portugal, presenting autograph letters of congratulation from their Sovereigns.

And so, as the year 1873 closed upon the Empire of AustroHungary, it might be a hope not unwarrantable even for those most impressed with the fallaciousness of political horizons, that the motto Viribus unitis, which Francis Joseph had chosen at his accession, had become a reality.

CHAPTER IV.

ITALY.-National feeling for Napoleon III.-Debates on Finance-Ministerial Crisis -Religious Corporations Bill-Illness of the Pope-Deaths of Manzoni and of Rattazzi-Financial Debate, and Resignation of Ministers-Signor Minghetti-Visit of Victor Emmanuel to Austria and Germany-Dissolution of the Jesuit ConventsAssociation of Science-Reassembling of Chambers-Debates-Pope's Encyclical Letter-New Cardinals.

SPAIN. Difficulties of King Amadeo's Government-His Abdication-Republic Proclaimed-Figueras President-Political Complications-Carlist War- Santa CruzRevolt at Barcelona-Dissolution of Permanent Committee-Flight of Marshal Serrano-Elections to new Cortes Constituyentes-Pi-y-Margall President of the Republic - Changes in the Cabinet-Intransigentes-Revolts in South of SpainGovernment of Salmeron-Carlist War-Proceedings at Cartagena-Resignation of Salmeron-Castelar President and Dictator-Naval Actions off Cartagena-Dismissal of Admiral Lobo-Carlists-Dissensions between Castelar and SalmeronImpending coup d'état.

PORTUGAL.-BELGIUM.-NETHERLANDS.-War with Atchin.

SWITZERLAND.-Affair of Bishop Mermillod-Père Hyacinthe-Ecclesiastical Legislation-Duke of Brunswick-Internationalist Congress.

SWEDEN. - Coronation of Oscar II.

DENMARK.-Ministerial Crisis-Dissolution of Rigsdag-Icelandic Politics-Visit of German Crown Prince.

ITALY.

THE news of the Emperor Napoleon's death was received in Italy with great emotion. A very general sentiment of gratitude for the important part he had played in bringing about the national unity pervaded the public mind. Numerous addresses of condolence were telegraphed from the Italian cities to the Empress Eugénie. The royal family went into mourning. The municipality of Spoleto, where Napoleon III. first fought for Italy, voted 2000 lire at once towards the erection of a monument to him. In the Chamber of Deputies, and in the Senate, the national regret was expressed for one who had been the friend and liberator of Italy. A funeral service was celebrated for him at Rome, in the Church of Santa Maria, at which, among other illustrious attendants, were present the Prime Minister, Signor Lanza, and Cardinal Bonaparte.

While the Committee occupied on the Religious Corporations Bill were prosecuting their labours with leisurely caution, the question of finance chiefly occupied the Chamber of Deputies. Signor Sella presented, on the 17th of March, a detailed statement, comprising the financial accounts of the year 1871, the position of the Treasury in 1872, the definitive Budget for 1873, and the Estimates for 1874. He said that the financial measures adopted by Government had been more favourable than he had anticipated; that though the Budget for

the current year showed a deficit of 131,000,000 lire, he had resources to meet it; and that though the Estimates for 1874 showed a deficit of 107,000,000, this, too, might be overcome by resolute limitation of expenditure, thanks to the improved revenue which was accruing from some of the taxes. A day or two after, Signor Sella had to combat a motion of Signor Nicotera for a considerable outlay on the part of Government to secure the completion of the national armaments and fortifications. He declared that he could not accept any proposal implying an exhortation to the Government to provide for the armaments of the country, because this would be an undeserved reproach upon the Ministry, which had already considered this question. He would only accept the Order of the Day as proposed by Signor Perrone, which was in the following terms:

"The Chamber of Deputies is confident that the Ministry will provide efficaciously for the defence of the State, and takes note of its declarations."

On a vote being taken, this Order of the Day was approved by 153 votes against 100.

This was a success for the Ministry. A few weeks later another money question led to its overthrow. The Minister of Marine had recommended that a sum of six millions and a half of lire should be expended on the construction of an arsenal at Taranto.. The question was referred to a Committee, and the Committee decided that the amount was not nearly large enough, and that 23,000,000 lire should be voted to the object in contemplation. The Bill was brought before the Chamber on the 30th of April. The attendance of members happened to be scanty; only one Minister was present. Nothing indicated any expectation of a critical discussion. The increased sum was voted, and the remaining clauses were coming on for consideration, when Signor Sella rushed into the Chamber and declared that the Ministry regarded the course taken by the Chamber as so serious a blow to the Government that it was necessary to adjourn the debate and give it an opportunity of considering its position. The next day the Ministers placed their resignation in the hands of the King. It might seem a strange whim of politics that a Cabinet should take flight before a Chamber too liberal in responding to its demands; but Signor Sella urged the imperative necessity of caution about every item of expenditure, without which his scheme for placing the financial position of the country on a sound footing must inevitably break down. No doubt the 23,000,000 might be spread over ten years, and the sum of 80,000l. sterling was all which it was proposed to raise last year; still, in the present state of things, that was not to be regarded as a trifle, and to be compelled to find it would damage all his plans. The King sent for Signor Pisanelli, and requested him to undertake the formation of a new Cabinet; but that statesman declared himself unable to perform the task. Rattazzi was ill in bed. The King was urged to use all his influence to induce his late advisers to reassume their posts. The difficulty lay with Sella; without him the other Minis

ters would not return. At last, on the condition that a Royal Decree should be granted for the withdrawal of the Taranto Bill, he gave way, and the Ministers reappeared before the Chamber on Monday, and announced their reassumption of office.

Some thought that the whole affair of the resignation was a stratagem of the Ministers; that they foresaw what was likely to occur, and determined to avail themselves of an adverse vote on the Taranto question, in order to retire at a moment when the formation of another Ministry would be difficult, and not reassume office unless after exacting such unconditional promises from the leaders of the moderate sections of the Chamber as would insure their being able to carry the Bill for the regulation of the Religious Corporations. It might not be so, for Signor Sella's zeal on the subject of financial economy had always been very genuine. But at any rate the crisis tended very opportunely to smooth the way for what was the great and paramount measure at this time before the Legislature.

The Government, as our last year's summary has stated, had set itself to frame a Bill with regard to the Religious Corporations, which, without departing from the recognized doctrines of Italian statemanship, should yet make it possible to avoid an open breach with the Pope and the Papal party. Their original proposals were referred to a Committee, which judged them too vacillating and timid, and amended them in a sense conformable to the three fundamental tenets of Italian Liberals as regards such bodies that the State shall judge which of them, as subserving no object of public utility, shall be dissolved; that their buildings shall be subject to expropriation for public purposes; and that they shall cease to hold lands, an equivalent in the funds being given them. The Government subsequently adopted the recommendations of the Committee, and virtually it was the Bill of the Committee that now came for discussion before the Chamber. But the Bill was avowedly moulded on the assumption that the position of the Pope in Rome was an exceptional one, so that privileges should be allowed to religious corporations in Rome, which would not be permitted to exist in any other Italian town. The Minister for Foreign Affairs, Visconti-Venosta, in introducing the Bill on the 9th of May, frankly stated the views of the Government on this head. Italy, he urged, must recognize the cosmopolitan character of the Pope's Government, and must leave him the necessary machinery of his rule. Moreover, if it became impossible for the heads of the Clerical party to find the machinery of Government in Rome, it was probable they would devote their energies to carrying on a much more active warfare against the new order of things in Italy, and it would give them a great advantage to start with if they could show that they had a distinct grievance, and had been violently prevented from doing in the sphere of spiritual affairs what the interests of the Church required. Signor Minghetti insisted, in a Conservative sense, on Cavour's formula of "a Free Church in a Free State," and upheld the present action of the Ministry. On the other hand, Prince Emmanuel Ruspoli, represent

ing the party of the Left, required that the Ministers should cause all traces of the theocratic rule to vanish. For himself he assumed with pride the title of Tribune of the People, in opposition to the Pretorians of the Government. The temper of the Chamber became agitated during the discussion. Outside the walls of the Chamber riots took place. A meeting was appointed by the Radicals to be held on the 11th, at the Mausoleum of Augustus, under the presidency of the Duke of Sermoneta. It was prohibited by the police; and the promoters then resolved to go in a body to the Quirinal and petition the King to pass a decree applying the laws in force throughout Italy without any reservation to Rome. A collision occurred between the military and the people. One man was shot; another was wounded. The Quirinal, the adjoining streets, and the Corso were patrolled, and the churches guarded by soldiers. Cheers were given for Ruspoli; groans and hisses for Minghetti, who was obliged to take refuge from the mob. Several arrests were made; but the police acted with creditable discretion, and the next day all was quiet.

It was over the second Article of the Bill that the fiercest battle within the Chamber was waged. The Bill itself provided in general for the application to Rome itself of the laws by which Convent property throughout the rest of Italy had already been subjected to the laws of Mortmain and taken by the State for purposes of charitable and educational endowment. But by Article II. special exception was made on behalf of the establishments belonging to the Heads of Orders, Generals and Superiors of religious associations, having branch establishments in foreign countries. It was felt that to cut off these "Generalships" would inflict a blow on the Pope which his peculiar position at Rome rendered it decent and merciful, and also politic to avoid. The Government, therefore, conceived that these "Generals" should be in so far spared that they should receive a pension from the State as the Pope received his, and that they should be allowed to retain at least a few apartments in the houses where they had now their residences. The strongest opposition arose, not only on the part of the Left, but also from a large number of the habitual supporters of the Cabinet, who soon became known as Dissidenti, or Dissenting members, by whose hostility the fate of the Bill and the existence of the Lanza Ministry were seriously imperilled. Eventually a compromise was effected, by which it was settled that the "Generals" should receive a pension from the State, amounting, for the whole of them, to 400,000f. yearly; and that they should continue to occupy part of their present residences; but this latter provision was only made in favour of the present " Heads" during their lifetime and their continuance in office. The final majority in favour of the Bill was large-196 votes to 46.

The Bill passed the House of Deputies on the 27th of May; and on the 17th of June it was voted in the Senate without modification or even discussion. Out of nearly 200 members of which the