Ausgleich


The German term Ausgleich (Hungarian kiegyezés) refers to the "compromise" or composition of February 1867 that established the Dual Monarchy of Austria-Hungary, which was signed by Franz Joseph of Austria and a Hungarian delegation led by Ferenc Deák. The compromise followed a series of failed constitutional reforms of the Habsburg Empire. Under the new arrangement the Magyar dominated government of Hungary gained near equal status to the Austrian government based in Vienna, while the common monarch government had responsibility for the army, navy, foreign policy, and customs union. The compromise was made under dire circumstances by the monarchy in an attempt to quiet internal dissent in the face of aggression from Prussia, as well as internal agitation by the various nationalities of the Empire.