rate. During the last twenty years, however, vigorous efforts have been made to bring about an improvement, by founding schools, and appointing teachers, partly at the expense of communes, and partly, but less, at that of the state. It was enacted by a series of decrees issued in the years 1848 and 1849, that education should be general and compulsory, and the principle, though not adhered to in Transleithan Austria, nor in those parts of Cisleithan Austria inhabited by people belonging to the Slavonian race, was fully carried out among the Germanic population of the empire. In the major part of German Austria, the law enforces the compulsory attendance in the Volks-schulen,' or National Schools, of all children between the ages of six and twelve, and parents are liable to punishment for neglect. It is very rare, however, that cases occur in which penalties for non-attendance at school have to be enforced. The cost of public education mainly falls on the communes, but of late years the state has come forward to assist in the establishment of schools for primary education.

There are seven universities in the empire, at Vienna, Prague, Pesth, Graz, Innsbruck, Cracow, and Lemberg. In the summer of 1875, the university of Vienna had 205 teachers and 3,920 students; the university of Pesth 122 teachers and 1,912 students; and the university of Prague 109 teachers and 1,751 students. None of the other universities, at the same date, had over 900 students.

Revenue and Expenditure.

In accordance with the political constitution of the Austrian empire, which recognises three distinct parliaments, there are also three distinct budgets: the first, that of the Delegations, for the whole empire; the second, that of the Reichsrath, for Austria; and the third, that of the Hungarian diet, for the kingdom of Hungary. By an agreement, or so-called 'compromise,' entered into, in February 1868, between the governments and legislatures of Austria and Hungary, the former has to pay seventy and the latter thirty per cent. towards the 'common expenditure of the empire,' not including the interest of the national debt.

The Whole Empire.

The budget estimates for the ' common affairs of the Empire,' were as follows for the year 1876

In the budget estimates for the 'common affairs of the Empire, the expenditure is always divided into ordinary and extraordinary. The ordinary expenditure for the year. 1876 was estimated at 107,586,686 florins, or 10,758,6687., and the extraordinary expenditure at 7,140,794 florins, or 714,079., bringing the total to 114,727,480 florins, or 11,472,7487., forming an increase of 1,903,161 florins, or 190,3167., on the budget for 1875. The chief source of revenue directly apportioned to meet the expenditure for the common affairs of the Empire is that derived from the customs, set down at 17,500,000 florins, or 1,750,000l., in the budget for 1876. The receipts from all other sources amounted to 5,815,125 florins, or 581,5127. After deducting the special receipts of the common ministries and the surplus of the customs revenue, in all 19,473,704 florins, or 1,947,370l., there remained a sum of 95,253,780 florins, or 9,525,3781., to be provided for, of which 65,344,093 florins, or 6,534,4097., fell to the share of Austria and 29,909,687 florins, or 2,990,9687., to that of Hungary.

In the budget estimates for the year 1875, the ordinary expenditure was estimated at 107,807,443 florins, or 10,780,7447., and the extraordinary expenditure at 5,087,268 florins, or 508,7267., being a total of 112,894,711 florins, or 11,289,470l. The direct receipts, from customs, were estimated for 1875, at 15,000,000 florins, or 1,500,000l., and from other sources at 5,476,412 florins, or 547,6417., leaving a deficit of 92,418,299 florins, or 9,241,8291., to be covered by contributions from Austria Proper to the amount of 63,398,953 florins, or 6,339,8951.; and from Hungary to the amount of 29,319,346 florins, or 2,931,9347.

Austria Proper.

The official estimates of public revenue and expenditure of Austria Proper, were as follows in each of the eight years from 1868 to 1875:

The financial accounts for the year 1873 stated the gross sources

of revenue to be as follows:

The financial estimates of the gross expenditure for the year 1875

were as follows:

grown

The largest branch of expenditure, as will be seen from the above statement, is the interest on the public debt, the burthen of which falls mainly on the Cisleithan part of the monarchy. This debt has up gradually since the middle of the last century. It amounted in 1789, to 349,000,000 florins, or 34,900,000l., and had risen to 825,000,000 florins, or 82,500,000l., in 1815; to 987,000,000 florins, or 98,700,000l., in 1820; to 1,084,000,000 florins, or 108,400,000l., in 1830; to 1,250,000,000 florins, or 125,000,0007., in 1848; and to 3,009,804,134 florins, or 300,980,4137., in 1868. The war against Prussia and Italy, in the summer of 1866, increased the public debt by about 300,000,000 florins, or 30,000,000l.;

but, on the other hand, freed Austria from the Lombardo-Venetian Debt, which, by the terms of the Peace of Prague, of August 23, 1866, was transferred to the kingdom of Italy. From 1789 until the present time, there was not a year in which the revenue of the State came up to the expenditure.

The following table gives the amount of the public debt of Austria Proper-including the debt of the Whole Empire, but exclusive of the special debt of Hungary—on the 1st of July, 1873 :

In a report of the Parliamentary Committee of Control of the Public Debt, issued in October, 1874, the total consolidated debt of Austria was stated to be 2,640,000,000 florins, or 264,000,0007.; and the redeemable debt, issued on the security of the domains, at 222,000,000 florins, or 22,200,000l. The floating debt, bearing interest in paper money, was officially stated, in a return issued in August 1875, to amount to 412,012,406 florins, or 41,201,2407., the total comprising 74,662,264 florins, or 7,466,2261. of hypothecary notes, and 337,350,142 florins, or 33,735,0141. of bank notes. The total annual interest on the debt amounted, on the 1st of July, 1874, to 134,500,000 florins, or 13,450,000l. To this sum, the kingdom of Hungary had to contribute 40,350,000 florins, or 4,035,000l., according to the terms of an agreement come to in May 1868 by the Delegations and the governments of the Austrian and Hungarian parts of the monarchy, by which the latter has to pay thirty per cent. towards the charges of the national debt of Austria, as then in existence. All subsequent loans were contracted separately by either Austria Proper or Hungary.

Hungary.

The budget estimates of revenue and expenditure of Hungary, were as follows in each of the six years from 1870 to 1875 :—

In the preliminary budget estimates for the year 1876, the expected total revenue was given at 207,000,000 florins, or 20,700,000l., and the total expenditure at 223,000 florins, or 22,300,000l., leaving a deficit of 16,000,000 florins, or 1,600,000l.

The budget estimates for the year 1875, adopted by the Diet of Hungary, gave the sources of revenue as follows::

The branches of expenditure for the year 1875 were as follows according to the budget estimates :

The accounts of actual revenue and expenditure since the year 1867 showed large and annually increasing deficits, which gave rise to the creation of a vast special debt of Hungary. It amounted, at the end of December 1875, to 354,000,000 florins, or 35,400,0007. The debt consists of four foreign loans, the first, for 60,000,000 florins, or 6,000,000l., contracted, in 1868; the second, of 24,000,000 florins, or 2,400,000l., issued, in 1870; the third, of 40,000,000 florins, or 4,000,000l., contracted in 1872; the fourth, for 150,000,000 florins, or 15,000,000l., issued in 1873-74; and the fifth, for 80,000,000 florins, or 8,000,000l., negociated in December