Austria in the 1920s

Knowledge of the political and economic situation in Austria in the 1920s and 1930s is essential to understanding "The White Horses of Vienna." Austria greatly suffered as a result of the Treaty of Versailles, which had ended World War I and had carved out Austria from the former Austro-Hungarian Empire. Austria faced increasing economic problems; the treaty prevented economic growth, and the new republic could not grow enough food for its people or supply its industries with adequate raw materials.

Austria also suffered from social upheaval, particularly as urban socialists and rural conservatives weakened attempts to forge a democratic government. A third of the country's population lived in Vienna—including Jews who contributed to the city's rich cultural life and rose to respected government positions. The country split into two factions: Viennese and everyone else. As different political groups set up private armies...