Germany in the 16th–18th centuries

The German lands were formally part of the “Holy Roman Empire”, but it was split into over 300 small principalities and cities, and the emperor (from the Habsburg dynasty) had no real power outside his Austrian lands. Because there was no single internal market, trade routes had moved to the Atlantic and American silver reduced German copper trade, the economy declined from the second half of the 16th century. The defeat of the Peasants’ War of 1524–1525 and especially the Thirty Years’ War of 1618–1648 (fought mostly on German territory) weakened the country badly. In 1683 near Vienna the empire and its allies defeated the Ottoman army. In the 17th century Austria (capital Vienna), ruled by the Habsburgs, and Brandenburg (capital Berlin), ruled by the Hohenzollerns, competed for leadership in Germany. In 1701 the Elector of Brandenburg was proclaimed King Frederick I in Prussia; under Frederick II (1740–1786) Prussia became an absolute monarchy with a powerful army. The Holy Roman Empire was dissolved in 1806.