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great Czech reformer (1369–1415) was largely a result of the influence of Wyclif. At the beginning of the 17th century some 90% of the Bohemians were Protestant, but the loss of independence and the effects of religious persecution (the Counter-Reformation) under the aegis of the Habsburg dynasty, caused the position to be reversed, and up to 1918 almost 90% of the Czechoslovak population was entered in the official statistics as belonging to the Roman Catholic Church. This adherence was, and still is, often only nominal, for the statistics take no note of the great mass of indifferentism and liberalism which prevails in the ranks of the Church. Two other tendencies were also manifest during the last few decades before the war: a movement among the intellectual classes, and to some extent among workers also, towards a non-ecclesiastical religious life; and an "Away from Rome" movement which in one aspect helped to recruit the ranks of Free Thought and on the other hand resulted in a growth of the Protestant churches. Between 1918 and 1921 about 1,000,000 persons left the Roman Church, the most conspicuous secession being that which resulted in the formation of a national "Czechoslovak Church." A considerable section of the priesthood demanded some dogmatical reforms, including the abolition of celibacy, the introduction of the vernacular into the Church services, and a more democratic administration of Church affairs. On the Holy See declining to meet these demands the "Czechoslovak Church" was founded in Jan. 1920. It has a membership of some 500,000, and possesses 120 churches. Further large secessions took place in favour of the Free Thought movement. The Protestants number about one million, the largest body being the Evangelical Church in Slovakia with a membership of over 400,000. In Bohemia the Evangelical Church of Czech Brethren represents a spiritual and historical continuity with the old Hussites. It was constituted in 1918 by the fusion of two existing Protestant bodies, the Reformed (Calvinist) Church and the Evangelical (Lutheran) Church. Other Protestant denominations (Presbyterian, Congregational, Baptist) are in smaller numbers. The Greek Church in Slovakia and Sub-Carpathian Russia has a membership of over 500,000, while the Jews number about 350,000.

Economics and Finance.—The economic and financial position of Czechoslovakia showed signs in 1921 of steady recovery from the chaos which succeeded the close of the war. Rich in natural resources and peopled by an intelligent, experienced and frugal population, the country had every reason to look forward to a prosperous industrial development in the future. Without Slovakia the republic would be mainly an industrial State: with it there is a slight preponderance in favour of agriculture, 41·5% of the entire population being occupied on or in connexion with the land and 38% in industry and commerce.

In special branches of industry Czechoslovakia is prominent among European countries, as for instance in the production of sugar and glass. In the manufacture of alcoholic liquors it occupies third place among European countries. It is less favourably placed in respect of the iron and textile industries, having to rely to a large extent upon the import of raw materials from abroad. The coal-mines of the country are capable of producing some 15 million tons of black coal and 24 millions of brown coal (lignite). The yield of iron ore is almost one million tons annually, while gold, silver, tin, graphite and salt are also mined. Iron and steel foundries exist at Kladno near Prague, as well as in Moravia and in Slovakia. Their blast furnaces produce 1,700,000 tons of pig-iron annually. The output of steel amounts to 298,000 tons, iron in bars 400,000 tons, iron girders 130,000 tons and sheet-iron 34,000 tons. Czechoslovakia manufactures and exports agricultural machinery, plant for sugar refineries and distilleries, locomotives, railway carriages and trucks and other rolling-stock, motor-cars, tractors. Aeroplanes are made at Prague and Plzeň (Pilsen). In its output of graphite Czechoslovakia takes second place among European countries, Great Britain being the first. Naphtha wells are working with favourable results at Gbely in Slovakia, and researches in progress at other points (Russinia) promise results that would make Czechoslovakia independent of foreign sources in respect of petroleum, even if no surplus were produced for export. Potters' clay, kaolin and felspar, which have largely facilitated the development of the flourishing porcelain industry, are found in various parts of the country, which is also fortunate in possessing sand suitable for use in the manufacture of the glass for which Bohemia has long been famous.

The economic importance of Czechoslovakia is strikingly shown by a comparison with the rest of the former Austro-Hungarian Monarchy. Previous to the war the present Czechoslovak territories were responsible for 92% of the sugar produced by Austria-Hungary, for 46% of the spirits, beer 57%, malt 87%, foodstuffs 50%, chemicals 75%, metals 60%, porcelain 100%, glass 90%, cotton goods 75%, woollen goods 80%, jute 90%, leather 70%, gloves 90%, boots 75%, paper 60%. The war, of course, cut off the supply of raw materials for the textile trade, which in 1921 was still suffering from shortage, particularly of raw cotton.

Czechoslovakia is the only European State which can export sugar: it is the second largest beet-sugar producer in the world, having

some 500,000 ac. of beet under cultivation. In 1920–1 some 715,000 tons of sugar were produced, 189 factories and refineries being engaged in the industry, and 300,000 tons were available for export.

Of beer 13 million hectolitres are brewed annually, of which one million are exported. Exceptionally fine hops are grown in the Žatec (Saaz) district of Bohemia, and of these no less than 40% are exported. The republic has 676 breweries and 140 malt-houses.

With an area of over 10 million ac. of forest it is only natural that Czechoslovakia exports not merely large quantities of timber but also furniture, bent-wood furniture, toys, musical instruments, etc. Of the bent-wood furniture 90 % is exported and finds a ready market in England and America. Paper is also produced to the extent of some 250,000 tons annually. Of porcelain 30,000 tons is produced annually in 68 factories, Karlovy Vary (Carlsbad) being the chief centre of the pottery industry.

Glass manufacture in Bohemia dates from the 15th century. Bohemian glass enjoys a world-wide reputation, which is well deserved: the crystal ware of Bor (Haida), the imitation jewelry and stones of Jablonec (Gablonz), the paste and semi-precious stones of Turnov, are exported to every part of the globe. Over 60,000 work-people are employed in the glass industry.

Leather is among the more important manufactures of Czechoslovakia. Boot factories employ 40,000 workmen, glove manufactories the same number. Some three-fourths of the entire output in both these wares are exported, largely to England and to Germany.

Czechoslovakia, as already indicated, is not only an industrial State: it possesses at the same time a highly developed agriculture in which over 40% of the entire population is engaged, that is to say, some 5,700,000 persons are workers in some way or other connected with the land. Climate and soil are favourable: beet-root is grown up to an altitude of 1,100 ft. and corn to 1,300 ft. above sea-level. Only 4% of all arable land in the country is unproductive (in Great Britain 15%). The chief agricultural products are potatoes and vegetables, beet-root and hops, wheat, rye, barley and oats. The agriculture of the republic supplies the material for several important industries, including the production of sugar, beer and spirits, starch (120 factories), syrup, glucose, chicory, coffee substitutes from rye and barley, jams. Alcohol and spirits are distilled in 1,100 distilleries employing 18,000 workmen and producing annually some 380,000 hectolitres (1919–20; 1,151,000 hectolitres before the war). Excellent wines are also made, those of Melnik in Bohemia and the Slovakian wines being the best known.

Agriculture is encouraged by a suitable system of education. Since it came into being the republic had by 1921 founded 13 new agricultural schools, and in all there were 180 agricultural and forestry schools (higher and elementary), including the so-called "winter schools," while more than 50 periodicals appeared regularly for the technical instruction of those engaged in agriculture. The agricultural interests were also represented directly in the Parliament by a strong Agrarian party.

The foreign trade of Czechoslovakia was in 1921 growing steadily in volume. Previous to the war the country's products were, of course, classed as Austrian goods: now the description of "Made in Czechoslovakia" was beginning to make its way in the markets of the world. In 1919 the republic exported merchandise to the extent of 566 million tons and imported 183 millions. In 1920 these figures rose to 690 and 200 million tons respectively. In 1919 Czechoslovak exports to Great Britain (exclusive of colonies) amounted to a value of 238 million crowns, imports to 328 millions. Sugar, malt, hops, beer, mineral waters, glass, porcelain, leather, gloves, furniture and toys are the principal articles of export to Great Britain.

While suffering from the symptoms affecting central Europe generally, the republic was distinctly better off as regards its financial situation than any of its neighbours. The budgets of 1919 and 1920 disclosed deficits of 5 billion and 3 billion kronen respectively, but in that for 1921 the revenue slightly exceeded the expenditure. Czechoslovakia was thus the only country in central Europe with a well-balanced budget. The national debt amounted to some 40 billion crowns, against which the state itself possessed assets in the shape of forests, coal mines, the former domains of the Habsburgs, mineral, naphtha, radium and other sources of natural wealth, besides the State-owned railways.

Communications.—As a wholly inland nation, Czechoslovakia has to rely in the matter of transport upon its railways and its water-ways, notably the Elbe, which connects the republic with Hamburg and the North Sea, and the Danube, which unites it with the east of Europe and the Balkans. Under the peace treaties Czechoslovakia acquired her own docks and warehouses in the harbour of Hamburg. Before the war the Czechoslovak traffic on the Elbe totalled some 4 million tons annually. On the Danube the amount was 2 millions, but this total bids fair, under normal conditions, to be easily passed, inasmuch as the work of developing the port of Bratislava, the construction of docks, warehouses and shipbuilding yards, was already proceeding energetically. It was also proposed to link up the Elbe and the Danube by a canal which would enable direct transport to be effected from North and Baltic Seas to the Black Sea. A further scheme in contemplation was that of a Danube-Oder canal.

The total length of railway track in Czechoslovakia was in 1921 a little over 8,000 m., which represents 1 m. of railway for every $8 1⁄2$ sq. m. of area. In the course of a few years this mileage was to be