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406 The following large towns were ceded to neighbouring States Pozsony (Pressburg), Komarom, Kassa (Kaschau), Kolozsvar (Klausenburg), Arad, Temesvar, Szabadka (Theresiopel), Nagy- varad (Grosswardein), and Sppron (Odenburg). In addition to the capital Budapest, Hungary in 1921 still included among its chief towns Bk6scsaba (pop. 42,600), Esztergom (17,881), Debreczen (92,729), Gyor (44,300), Hodmezo-Vasarhely (62,445), Kalocsa (11,738), Kecskemet (66,834), Kiskunfeiedyhaza (34,924), Mako (34,918), Mezotiir (25,835), Miskolcz (51,459), Mohacs (17,092), Nagy Kanizsa (26,524), Nyiregyhaza (38,198), Pecs (49,822), Szeged (118,328), SzekesfeheVvar (36,625), Szombathely (30,947), Tokaj (5,105), Vacz (18,952); the figures being those of 1910.

Agriculture. Hungary is preeminently an agricultural country; and in 1921 was still one of the principal wheat-growing regions of Europe. The Peace Treaty had, however, reduced the national area by much fertile soil. The comparative figures for the distribu- tion of cultivation in 1913 and 1920 are as follows (in 1,000 ac.): arable land (1913) 31,716 (1920) 13,598; gardens (1913) 041 (1920) 236; meadows (1913) 6,470 (1920) 1,627; vineyards (1913) 776 (1920) 530; pastures (1913) 8,183 (1920) 2,497; forests (1913) 17,277 (1920) 2,581; reedplots (1913) 125 (1920) 67.

Corn is the principal crop. The corresponding figures are (in tons): wheat (1913) 4,028 (1920) 1,958; corn (1913) 1,221 (1920) 789; barley (1913) 1,484 (1920) 700; hay (1913) 1,236 (1920) 432; maize (1913) 4,136 (1920) 1,478; potatoes (1913) 5,074 (1920) 1,907.

The most famous wine-producing districts, Tokay-Hegyalja, Balaton and Eiger, have been left to Hungary. Whereas pre-war Hungary produced annually 71,346,000 gal. the output in new Hungary was reduced to 43,524,800 gal. Only 114,000 (41%) out of 284,000 ac. remained for the cultivation of sugar beet ; only 82 % out of 71,000 ac. to tobacco growing; only 21,000 (26%) out of 80,000 ac. to the cultivation of cabbage. Hungary retained 54 % of its oak forests, 42 % of its beech woods, and only 4 % of its conifer- ous trees, so that it became necessary to import timber.

As regards live stock there were 6,184,000 cattle in 1913, and 2,148,000 in 1920; swine had fallen from 7,311,000 to 3,729,000; horses from 1,597,000 to 746,000; sheep from 6,577,000 to 1,817,000. The proportion of animals to the population was thus much smaller in the new Hungary than it was formerly ; whereas in pre-war times there were 33-9 cattle to every 100 inhabitants, in 1920 28-7; sheep were formerly 42-2, now 32-2; swine formerly 35-1, now 44-4; horses formerly ii-o, now 12-0.

This impoverishment was all the more important in that 56 % of the total population in 1920 was employed in agriculture. Pre-war Hungary exported, besides grain, a considerable amount of live stock; in 1913, 347,318 head of cattle; 46,567 horses; 893,192 pigs; 6,300,000 live fowl as well as 30-8 million Ib. of slaughtered fowl; 77-9 million Ib. of eggs; 61-5 million Ib. of lard and bacon.

Minerals. In consequence of the Peace Treaty Hungary has lost the greater part of its mines. Salt, opal, gold, silver, copper, lead and bauxite mines were entirely lost and only the iron-mines, which in pre-war times formed a quarter of Hungary's mining wealth, remained. Natural gas was discovered in Transylvania in 1912, and the supply appears to be almost unlimited, but the World War put a stop to the equipment of boring stations. These gas-fields passed into the possession of Rumania. Natural gas has been found in several places on the Alfold and in Transdanubia.

The annual pre-war production of the salt-mines was 245,500 tons, so that on their loss it became necessary to import salt to meet the home demand (98,000 tons). The petroleum output had been 6,400 tons. Of a former output of 1,178,000 tons of iron ore 196,000 tons were left as the produce of post-war Hungary; of 383,000 tons of iron, only 1 18,000 tons. Out of a former output of 1,077,000 tons of coal, one of only 786,000 tons (72-8 %) was left; and as this was chiefly obtained from the mines at Pecs which had in 1921 been for two years under the Yugoslav administration, the pre-war demand for imported coal was intensified. In 1914, 3,728,850 tons of pit coal were imported. The pre-war production of lignite was 7,846,000 tons, and 5,500,000 tons were produced in 1920.

Industry. Hungary in 1921 had 2,029 factories (before the war, 4,241), with machinesof 398,929 H.P. (before the war, 798,049) and 219,725 workers (before the war 445,792). The annual pre-war production was valued at 3,396,091,000 kronen (at pre-war rate of exchange). In 1921, on the basis of full work at the factories, the corresponding figures should have been 1,887,930,000 kr. but this figure was not attainable, since the coal supply was insufficient, and raw materials (which were chiefly derived before the war from the districts now ceded) could only be obtained by importation. If the production of post-war Hungary could be raised to peace-time level, the food industry would have an output estimated (at pre-war exchange) at 945,306,000 kr. (57% of the former figure, 1,650,283,- ooo), the iron and metal industry 252,388,000 kr. (50 % of the former 501,763,000), machine-making 250,680,000 kr. (82-1 % of the former 305,446,000), leather industry 44,975,000 kr. (57-6% of the former 78,139,000), clothes manufacture 24,127,000 kr. (74% of the former 32,320,000), paper industry 10,690,000 kr. (21% of the former 49,542,000), timber industry 41,295,000 kr. (22-2% of the former 186,268,000), textile industries 78,712,000 kr. (40-8% of the former 192,977,000), chemical industry 126,029,000 kr. (54-7% of the former 230,564,000), etc.

Commerce. Pre-war Hungary had a favourable trade balance; in 1913 the exports were valued at 79-4 million pounds sterling, and imports at 86-4 million pounds sterling. No proper figures for 1920-1 can be given here, since the neighbouring States were still boycotting Hungary, and trade was therefore entirely abnormal.

Communications The total length of railway lines in 1921 amounted to 8,320 km. (formerly there were 19,723) ; the rolling- stock comprised 1,549 engines (formerly 4,949); 2,284 passenger carriages (formerly 8,718); 749 luggage vans (formerly 3,537); and 18,010 goods trucks (formerly 105,837). By the Peace Treaty Hungary lost its entire coast-line, and at the same time the whole of its mercantile marine, which amounted in 1914 to 412 sailing vessels (tonnage 1,837) and 137 steamers (tonnage 147,906). Inland shipping is greatly impeded by the fact that the Peace Treaty cut across the navigable rivers. The Treaty pronounced the Danube to be an international waterway, and Danube shipping is adminis- tered by an international commission.

n The passengers carried by rail in 1913 numbered 166,100,000. Goods traffic amounted to 87 million tons, and the income derived from traffic to 24,500,000. As the express engines in post-war Hungary had to be driven by imported coal, the express service was very limited and fares extremely high.

Banking. As the great banks of pre-war Hungary were chiefly seated at Budapest, the loss in this respect was not very great. Of 1,788 banks and savings banks, with capital of 2,164-4 million kr. (pre-war rate), Hungary retained 673, with a capital of 1,515-6 million kr. (i.e. 37-7% of the institutions, but 70-1% of the share capital). The share capital of the industrial joint-stock companies, formerly 1,059-3 million kr., amounted in 1921 to 828-5 million kr. (78-2 %). But owing to the terrible depreciation of the currency these sums had lost greatly in value on the world market. Between 1919-21 the value of the Hungarian krone fluctuated between I and 3 Swiss centimes, compared with a former value of 120.

Finance. The first budget of reconstituted Hungary (1919-21) showed an estimate of 8-4 milliard kr. ordinary and n-8 milliards extraordinary expenditure, as against 8-8 milliards ordinary and 1-7 extraordinary revenue; thus there was a deficit of 9-7 milliards, and this was increased by the loss of former sources of revenue (e.g. the State railways), on account of the surrender of rich dis- tricts. The National Debt in 1921 amounted to 61-4 milliard kr., of which 8 milliards dated back to the pre-war period, 32-7 to the years of war and 20-7 to the post-war period. The Peace Treaty declared that Hungary should be liable to pay indemnity and make reparation, but without naming a definite sum. The establishment of an independent State bank, simultaneously with the separation from the Austro-Hungarian bank, had already been begun in 1921.

Education. Of the former 16,929 elementary schools 6,402 remained in post-war Hungary; of 2,229 kindergartens 828; of 532 "secondary schools" (Burger schulen) 237; of 187 Gymnasien 85; of 34 Realschulen 15. The universities of Budapest and Debreczen were left to Hungary, as also the polytechnic of Budapest; the uni- versity of Pozsony was taken over by the Czechs, that of Kolozsvar by the Rumanians. (J. S.*)

Social Conditions. Up to quite recent times, the members of the Hungarian aristocracy, who were also known as " oligarchs," had continued to exercise an important influence on the destinies of their country. It has become the fashion to put the blame on them for everything that went wrong, but from an unprejudiced point of view such an accusation is unjust. The Hungarian aris- tocracy was ever loyal and ready to make sacrifices for the good of the nation. Many illustrious names are to be found in their ranks mention need only be made of Szechenyi, Batthyany and Andrassy. This aristocracy, distinguished by talent and culture, considered it the highest honour to serve their country whether in politics or in war, and the only just reproach that can be brought against them is that of having resisted too long the in- troduction of new elements into the constitution. For the most part, however, this attitude was due to tradition and to a fear that the politically untrained masses might prove a source of danger to the nation.

In this respect there was little difference between them and the upper middle classes, who played an important part in the history of Hungary, and had given to the country such notable men as the poet and politician Kolcsey, Louis Kossuth and Francis Deak. In the days of the Diet there were in Hungary 20 commoners to one nobleman; in 1816 the saying was, " He is not a Hungarian nobleman; what then is he to be?" As there was no real bourgeoisie in Hungary, it was replaced by the lower nobility, to which was applied the English term " gentry.'" Possessing a cosmopolitan education enhanced by foreign travel they produced the best minds in the political and intellectual world. It is Hungary's misfortune that this rank of society,