History of

The area of Liechtenstein has been inhabited continuously since 3000 BC. It was colonized by Celts and Rhaetians. In 15 BC, the Romans conquered the territory. In the 5th century, the settled it, and in the 12th century, the established an exclusive foothold. Liechtenstein was formed out of two areas, the Lordship of and the County of . The two domains had been ruled by various dynasties of counts before Prince Johann Adam Andreas of the Austrian Liechtenstein family purchased them in 1699and 1712, respectively. As territories with internal sovereignty but under control of the German Empire, they provided prince Johann a seat in the imperial decision-making assembly.

In 1719, the two domains were united and elevated to the status of Imperial of Liechtenstein. Liechtenstein is the only country that retains the name of its founding dynasty. In 1806, made the nation and 15 other regions part of the Confederation, granting each independence in exchange for loyalty. At the Congress in1815 (after Napoleon’s defeat), Liechtenstein became part of the . It remained a member until the Confederation was dissolved in 1866. Since then, Liechtenstein has remained fully sovereign. It has not had an army since1868 and is a . From 1852 to 1919, it formed a customs union with -Hungary. Since 1924, Liechtenstein has benefited from an economic union with and has used the Swiss franc as its currency.

The Constitution of 1921, which is still in force today, established“ a constitutional, hereditary monarchy upon a democratic and parliamentary basis.” Prince Franz Josef II became the first prince to reside in Liechtenstein rather than in Vienna, Austria. He ruled from 1938 until his death in 1989. He was succeeded by his son, Prince Hans Adam II. Liechtenstein has always enjoyed political stability. It joined the in 1990.

Liechtenstein continues to face issues arising from its ties to Switzerland and its membership in the (EEA). The EEA bridges the European Union (EU) and the European Free Trade Association, of which Liechtenstein and Switzerland are members. Liechtenstein joined the EEA in May 1995, but Switzerland did not. Liechtenstein has benefited from its membership in the EEA but may need to impose a stricter border policy with EU countries in order to preserve its immigration laws and open-border policy with Switzerland. Liechtenstein joined the in 1995.

Page 1 of 2

References:

“Principality of Liechtenstein.” CultureGrams World Edition. 2008.

Page 2 of 2