Why was Germany unified under Prussia and not under Austria?

I. Introduction
A. Prussia was the foremost country in the unification of Germany
B. Although it may have not been the intent of Prussia to unify Germany, it is certain
that Prussia had the greatest amount of influence in German politics
C. Austria was not in a political, economic, or social state to take on such a significant
role
D. Prussia’s advantages:
a. Almost exclusive German population
b. Leadership more acceptable to German liberals
c. Economic strength, including Zollverein
d. Otto von Bismarck and diplomacy
e. Military, as seen later
E. Simply put, Prussia was in a much better position than Austria
II. Economic strength
a. In 1818, Prussia took the lead by abolishing all tariff barriers within its borders
b. In the next few years, Prussia took the initiative to conclude tariff treaties with
neighboring countries
c. In 1834, the Zollverein was established – a union that established free trade
among seventeen German states
d. Remarkable expansion in volume of trade
e. Undermined the dominant position of the Habsburg monarchy
III. Bismarck’s diplomacy
a. Became PM of Prussia on October 8, 1862
b. Outstanding statesman, practiced Realpolitik – knew when to stop
c. Polish Revolt – February 1863
i. Revolt in the Russian part of Poland
ii. While other countries, including Austria, supported the rebels, Bismarck
sent Prussian troops to support Russia in quelling the revolt
iii. Successful, Prussia supplanted Austria as Russia’s favorable country in
regards to German affairs
d. Convention of Gastein – August 14, 1865
i. Prussia and Austria agreed to maintain joint sovereignty, with Prussia
administering Schleswig and Austria administering Holstein (lay between
Schleswig and Prussia)
ii. Bismarck created a situation where an incident could easily be
engineered
 e. Essentially gained neutrality from all major European nations and isolated
Austria
IV. Austro-Prussian War of 1866
a. Russia did not expect Prussian victory, and therefore stayed neutral
b. Made an agreement with Napoleon III for France’s neutrality in exchange for
France’s acquisition of territory in Rhineland or Belgium (hint)
c. Allied with Italy on April 8, 1866 – support only if war broke out in three months
d. Used pretext that Austria had violated Gastein by sending troops into Holstein to
start war
e. Prussia’s army was superior to that of Austria in training and equipment,
including breech-loading needle gun, military railroads, and army general staff:
i. Highly trained experts who planned war away from frontline with steady
stream of information
ii. General Helmuth von Moltke used strategies and new technologies such
as telegraph to defeat Austria
f. In just over two weeks, Prussia secured complete victory over Austria
g. August 23, 1866 – Peace of Prague:
i. Austria deprived of all influence among German states
ii. North German Confederation created under Prussian leadership
iii. End of Austrian hopes for Germany
V. Conclusion
a. Prussia had many advantages that gained the favor of German unification rather
than Austria
b. Prussia was a world leader in economics and diplomacy – Bismarck proved to be
one of the greatest political geniuses of all time
c. Although Prussia’s military was certainly not the best in Europe, it was
modernized and strategized sufficiently to defeat any enemies in the path to
dominance over Germany
d. It would be interesting to see what else Prussia could have done if so desired