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In the south of Germany restrictions still were very rigid. There, where was not

Monopolies, bank issue has been forbidden at all, as, for example, in Baden and

Wurtemberg. In both states of the government persistently counteracted To establishment of any bank of issue, and the first such bank Has appeared only during Ex-Prussian War.

The majority of political forces already supported the further centralisation.

Crisis of 1866 has amazed many observers in scales of advantages of presence The strong bank, capable to soften crisis action. Growing consolidation Political forces has helped to expand territory on which base could be

The uniform policy is realised. As a result of war of 1866 to Prussia the new have departed

The earths on which activity of Prussian Bank also has extended, and

The North German Union (Norddeutscher Bund) has received the control over the bank

The legislation of all member countries. Reform of the legislation,

Concerning the joint-stock companies, has released them from necessity of reception

Concessions from the authorities, thereby at last having removed barriers on an establishment way

Requirements of party of free bank business. At last, last factor, Affected acceptance of the centralised bank system by Germany, became Experience of the first years in the conditions of the gold standard. When in 1871 the Reich has been created, laws of the North German Union were

Are extended to all territory of Germany and for the first time the uniform has been established

Monetary unit. The new currency was based on the gold standard, and The military contribution paid by France easily provided accumulation Necessary reserves.

However in 1873 crisis has burst. Release of banknotes by those banks, at which

Or there was no maximum established limit, and also what Never before that reached, dews extremely fast rates after 1871 Especially it concerned Prussian Bank. When payments on

Contributions have been finished, the monetary balance has appeared not in favour of Germany, and

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