366 



GERMANY. 



balance the one that Eussia has created at 

 Libau, and for the defense of the southern end 

 of the canal Brunsbiittel is to be fortified like- 

 wise. It is intended in the future to extend the 

 ship-canal from the Elbe across the northern 

 part of Hanover to the Jade on which Wil- 

 helmshaven is situated, which will enable 

 ships of war to pass between that port and 

 Kiel without going to sea, and afford means of 

 communication between all the German naval 

 ports even if an enemy held entire command 

 of the German Ocean. 



The Miflistry, The Imperial Secretaries of 

 State do not form a cabinet, but act independ- 

 ently of each other and under the supervision 

 of the Chancellor, Prince Bismarck -Schon- 

 hausen. The departments are filled as follows : 

 Ministry for Foreign affairs, Count Herbert 

 von Bismarck; Imperial Home Office, Herr 

 von Botticher, who is also the Representative 

 of the Chancellor ; Imperial Admiralty, Count 

 von Monts; Imperial Ministry of Justice, Dr. 

 von Schelling; Imperial Treasury, Dr. Jacobi; 

 Imperial Post-office, Dr. Stephan ; Imperial 

 Railroad Bureau, Herr Maybach ; Imperial 

 Exchequer, Herr von Stunzer ; Bureau of the 

 Imperial Invalid Fund, Dr. Michaelis. 



The Prussian Ministry of State consisted in 

 the beginning of 1888 of the following mem- 

 bers : President of the Council, Minister of 

 Foreign Affairs, and Minister of Commerce 

 and Industry, Prince Otto von Bismarck- 

 Schonhausen; Vice- President of the Council 

 of Ministers and Minister of the Interior, Rob- 

 ert Victor von Puttkamer ; Minister of State 

 and Secretary of State for the Interior, Herr 

 von Botticher; Minister of War, Gen. Bron- 

 sart von Schellendorf; Minister of Public 

 Works, Dr. August von Maybach ; Minister of 

 Agriculture, Domains, and Forests, Dr. Rob- 

 ert Lucius; Minister of Justice, Dr. Friedberg; 

 Minister of Public Worship, Education, and 

 Medical Affairs, Herr von Gossler ; Minister 

 of Finance, Herr Scholz. 



Finances. The budget for the year ending 

 March 31, 1889, estimates the receipts of the 

 German Empire at 921,689,140 marks, derived 

 from the following sources : 



SOURCES OF REVENUE. Marts. 



Customs and excise duties 493,360.610 



Stamps 27,655,000 



Posts and telegraphs 30,064,098 



Printing-office 1,036,090 



Railways 18,234,100 



Imperial bank 1,741,600 



Departmental receipts 9.84^.753 



Interest of invalid fund 26,3511,414 



Interest of imperial funds 943.000 



Extraordinary receipts 99.670,566 



Federal contributions 212,670,009 



Total 921,689,140 



The estimated ordinary expenditure is 771,961,- 

 697 marks. The following are the principal 

 items: Expenditure for the army, 362,465,016 

 marks; navy, 35,900,751 marks; imperial treas- 

 ury, 271,266,326 marks ; interest on the na- 

 tional debt, 27,803,000 marks; pension fund, 

 28,717,888 marks; invalid fund, 26,359,414 

 marks. The estimated extraordinary expendi- 



ture includes a deficit of 22,157,246 marks in 

 the finances of 1886-'87 ; 77,267,954 marks of 

 expenditure for military purposes ; 12,920,318 

 marks for the navy, and 17,880,750 marks 

 for the interior. The Federal contributions 

 toward the revenue of 1887-'8S were 186,937,- 

 315 marks. 



The total funded debt was estimated to be 

 576,372,000 marks on Oct. 1, 1887. The whole 

 debt bears interest at 4 per cent. There was 

 also an unfunded debt of 138,868,475 marks 

 on April 1, 1887. As an offset to the public 

 debt there are several invested funds, amount- 

 ing to 666,241,100 marks. These include the 

 invalid fund, the fortification fund, the parlia- 

 mentary-buildings fund, and the war treasure 

 of 120,000,000 marks. 



The Reign of Friedrich I. While the Emperor 

 Wilhelm I was gradually sinking under the in- 

 firmities of old age. the Crown-Prince Fried- 

 rich Wilhelm was seized with the disease of 

 which he eventually died. The physicans de- 

 clared it to be cancer, and if their verdict 

 had been accepted the Crown-Prince would 

 have been precluded from the exercise of the 

 royal and imperial prerogatives on the death 

 of his father, according to the Prussian family 

 law, which provides for a regency in case the 

 successor to the throne is suffering from an 

 incurable malady. Prince Friedrich was an 

 opponent of the system of absolutism and mili- 

 tary rule that was cultivated by his father 

 and Prince Bismarck, and a sympathizer with 

 the advocates of parliamentary government 

 and of personal liberty, but after some una- 

 vailing conflicts with the Chancellor he had 

 not raised his voice in public affairs for many 

 years. The old Emperor endeavored to per- 

 suade the Crown-Prince to abdicate his right 

 of succession to the powers of royalty by 

 nominating as regent his son, Prince Friedrich 

 Wilhelm, who was on bad terms with both his 

 parents, but was a favorite of his grandfather, 

 whose military and monarchical ideas of govern- 

 ment he shared. The Crown-Princess Victoria 

 would have been cut off, not only from the 

 dignity of Empress-Consort during her hus- 

 band's reign, but from the privileges and allow- 

 ances of Empress-Dowager after his death. She 

 had averted the legal disqualification of the 

 prince for the succession by having the case 

 committed to the English specialist in throat- 

 diseases, Dr. Morell Mackenzie, who asserted 

 that there were no symptoms of cancer. In 

 order to remove him from the influences of his 

 family she now went with him to San Remo, 

 by the advice of Dr. Mackenzie, who declared 

 the climate of Berlin to be too harsh. After 

 the deatli of his father he returned from Italy 

 to assume the government under the titles of 

 Emperor Friedrich I of Germany and King 

 Friedrich III of Prussia. Arriving in Berlin 

 on March 12, he issued a proclamation to the 

 people, giving praise to his father for the great 

 achievements of his reign and to the people for 

 the sacrifices that made them possible. He 



