Guideline, photos on Flickr

South Korea - Seoul - Calligraphy - 3 by Manfred Sommer

Calligraphy is a visual art related to writing. It is the design and execution of lettering with a broad tip instrument, brush, among other writing instruments. A contemporary calligraphic practice can be defined as, "the art of giving form to signs in an expressive, harmonious, and skillful manner".

Modern calligraphy ranges from functional inscriptions and designs to fine-art pieces where the letters may or may not be readable.[1][page needed] Classical calligraphy differs from typography and non-classical hand-lettering, though a calligrapher may practice both.

Calligraphy continues to flourish in the forms of wedding and event invitations, font design and typography, original hand-lettered logo design, religious art, announcements, graphic design and commissioned calligraphic art, cut stone inscriptions, and memorial documents. It is also used for props and moving images for film and television, testimonials, birth and death certificates, maps, and other written works.

TOOLS

The principal tools for a calligrapher are the pen and the brush. Calligraphy pens write with nibs that may be flat, round, or pointed. For some decorative purposes, multi-nibbed pens - steel brushes - can be used. However, works have also been created with felt-tip and ballpoint pens, although these works do not employ angled lines. There are some styles of calligraphy, like Gothic script, which require a stub nib pen.

Writing ink is usually water-based and is much less viscous than the oil-based inks used in printing. High quality paper, which has good consistency of absorption, enables cleaner lines, although parchment or vellum is often used, as a knife can be used to erase imperfections and a light-box is not needed to allow lines to pass through it. Normally, light boxes and templates are used to achieve straight lines without pencil markings detracting from the work. Ruled paper, either for a light box or direct use, is most often ruled every quarter or half inch, although inch spaces are occasionally used. This is the case with litterea unciales (hence the name), and college-ruled paper often acts as a guideline well.

Common calligraphy pens and brushes are:

Quill

Dip pen

Ink brush

Qalam

Fountain pen

WORLD TRADITIONS

EUROPE

HISTORY

Western calligraphy is recognizable by the use of the Latin script. The Latin alphabet appeared about 600 BC, in Rome, and by the first century[clarification needed] developed into Roman imperial capitals carved on stones, Rustic capitals painted on walls, and Roman cursive for daily use. In the second and third centuries the uncial lettering style developed. As writing withdrew to monasteries, uncial script was found more suitable for copying the Bible and other religious texts. It was the monasteries which preserved calligraphic traditions during the fourth and fifth centuries, when the Roman Empire fell and Europe entered the Dark Ages.

At the height of the Empire, its power reached as far as Great Britain; when the empire fell, its literary influence remained. The Semi-uncial generated the Irish Semi-uncial, the small Anglo-Saxon. Each region developed its own standards following the main monastery of the region (i.e. Merovingian script, Laon script, Luxeuil script, Visigothic script, Beneventan script), which are mostly cursive and hardly readable.

Christian churches promoted the development of writing through the prolific copying of the Bible, particularly the New Testament and other sacred texts. Two distinct styles of writing known as uncial and half-uncial (from the Latin "uncia," or "inch") developed from a variety of Roman bookhands. The 7th-9th centuries in northern Europe were the heyday of Celtic illuminated manuscripts, such as the Book of Durrow, Lindisfarne Gospels and the Book of Kells.

Charlemagne's devotion to improved scholarship resulted in the recruiting of "a crowd of scribes", according to Alcuin, the Abbot of York. Alcuin developed the style known as the Caroline or Carolingian minuscule. The first manuscript in this hand was the Godescalc Evangelistary (finished 783) — a Gospel book written by the scribe Godescalc. Carolingian remains the one progenitor hand from which modern booktype descends.

In the eleventh century, the Caroline evolved into the Gothic script, which was more compact and made it possible to fit more text on a page. The Gothic calligraphy styles became dominant throughout Europe; and in 1454, when Johannes Gutenberg developed the first printing press in Mainz, Germany, he adopted the Gothic style, making it the first typeface.

In the 15th century, the rediscovery of old Carolingian texts encouraged the creation of the humanist minuscule or littera antiqua. The 17th century saw the Batarde script from France, and the 18th century saw the English script spread across Europe and world through their books.

In the mid-1600s French officials, flooded with documents written in various hands and varied levels of skill, complained that many such documents were beyond their ability to decipher. The Office of the Financier thereupon restricted all legal documents to three hands, namely the Coulee, the Rhonde, (known as Round hand in English) and a Speed Hand sometimes simply called the Bastarda.

While there were many great French masters at the time, the most influential in proposing these hands was Louis Barbedor, who published Les Ecritures Financière Et Italienne Bastarde Dans Leur Naturel circa 1650.

With the destruction of the Camera Apostolica during the sack of Rome (1527), the capitol for writing masters moved to Southern France. By 1600, the Italic Cursiva began to be replaced by a technological refinement, the Italic Chancery Circumflessa, which in turn fathered the Rhonde and later English Roundhand.

In England, Ayres and Banson popularized the Round Hand while Snell is noted for his reaction to them, and warnings of restraint and proportionality. Still Edward Crocker began publishing his copybooks 40 years before the aforementioned.

STYLE

Sacred Western calligraphy has some special features, such as the illumination of the first letter of each book or chapter in medieval times. A decorative "carpet page" may precede the literature, filled with ornate, geometrical depictions of bold-hued animals. The Lindisfarne Gospels (715–720 AD) are an early example.

As with Chinese or Islamic calligraphy, Western calligraphic script employed the use of strict rules and shapes. Quality writing had a rhythm and regularity to the letters, with a "geometrical" order of the lines on the page. Each character had, and often still has, a precise stroke order.

Unlike a typeface, irregularity in the characters' size, style, and colors increases aesthetic value, though the content may be illegible. Many of the themes and variations of today's contemporary Western calligraphy are found in the pages of The Saint John's Bible. A particularly modern example is Timothy Botts' illustrated edition of the Bible, with 360 calligraphic images as well as a calligraphy typeface.

INFLUENCES

Several other Western styles use the same tools and practices, but differ by character set and stylistic preferences. For Slavonic lettering, the history of the Slavonic and consequently Russian writing systems differs fundamentally from the one of the Latin language. It evolved from the 10th century to today.

EAST ASIA

The Chinese name for calligraphy is shūfǎ (書法 in Traditional Chinese, literally "the method or law of writing"); the Japanese name shodō (書道, literally "the way or principle of writing"); the Korean is seoye (Korean: 서예/書藝, literally "the art of writing"); and the Vietnamese is Thư pháp (書法, literally "the way of letters or words"). The calligraphy of East Asian characters is an important and appreciated aspect of East Asian culture.

HISTORY

In ancient China, the oldest Chinese characters existing are Jiǎgǔwén(甲骨文) characters carved on ox scapulae and tortoise plastrons, because the dominators in Shang Dynasty carved pits on such animals' bones and then baked them to gain auspice of military affairs, agricultural harvest, or even procreating and weather. During the divination ceremony, after the cracks were made, the characters were written with a brush on the shell or bone to be later carved.(Keightley, 1978). With the development of Jīnwén (Bronzeware script) and Dàzhuàn (Large Seal Script) "cursive" signs continued. Moreover, each archaic kingdom of current China had its own set of characters.

In Imperial China, the graphs on old steles - some dating from 200 BC, and in Xiaozhuan style - are still accessible.

About 220 BC, the emperor Qin Shi Huang, the first to conquer the entire Chinese basin, imposed several reforms, among them Li Si's character unification, which created a set of 3300 standardized Xiǎozhuàn（小篆） characters. Despite the fact that the main writing implement of the time was already the brush, few papers survive from this period, and the main examples of this style are on steles.

The Lìshū（隶书） style (clerical script) which is more regularized, and in some ways similar to modern text, have been also authorised under Qin Shi Huangdi.

Kǎishū style (traditional regular script)—still in use today—and attributed to Wang Xizhi (王羲之, 303–361) and his followers, is even more regularized. Its spread was encouraged by Emperor Mingzong of Later Tang (926–933), who ordered the printing of the classics using new wooden blocks in Kaishu. Printing technologies here allowed a shape stabilization. The Kaishu shape of characters 1000 years ago was mostly similar to that at the end of Imperial China. But small changes have been made, for example in the shape of 广 which is not absolutely the same in the Kangxi Dictionary of 1716 as in modern books. The Kangxi and current shapes have tiny differences, while stroke order is still the same, according to old style.

Styles which did not survive include Bāfēnshū, a mix made of Xiaozhuan style at 80%, and Lishu at 20%. Some variant Chinese characters were unorthodox or locally used for centuries. They were generally understood but always rejected in official texts. Some of these unorthodox variants, in addition to some newly created characters, compose the Simplified Chinese character set.

TECHNIQUE

Traditional East Asian writing uses the Four Treasures of the Study (文房四寶/文房四宝): the ink brushes known as máobǐ (毛笔) to write Chinese characters, Chinese ink, paper, and inkstone, known as the Four Friends of the Study (Korean: 문방사우) in Korea. In addition to these four tools, desk pads and paperweights are also used.

The shape, size, stretch, and hair type of the ink brush, the color, color density and water density of the ink, as well as the paper's water absorption speed and surface texture are the main physical parameters influencing the final result. The calligrapher's technique also influences the result. The calligrapher's work is influenced by the quantity of ink and water he lets the brush take, then by the pressure, inclination, and direction he gives to the brush, producing thinner or bolder strokes, and smooth or toothed borders. Eventually, the speed, accelerations, decelerations of the writer's moves, turns, and crochets, and the stroke order give the "spirit" to the characters, by greatly influencing their final shapes.

STYLES

Cursive styles such as xíngshū (semi-cursive or running script) and cǎoshū (cursive or grass script) are less constrained and faster, where more movements made by the writing implement are visible. These styles' stroke orders vary more, sometimes creating radically different forms. They are descended from Clerical script, in the same time as Regular script (Han Dynasty), but xíngshū and cǎoshū were used for personal notes only, and never used as a standard. The cǎoshū style was highly appreciated in Emperor Wu of Han reign (140–187 AD).

Examples of modern printed styles are Song from the Song Dynasty's printing press, and sans-serif. These are not considered traditional styles, and are normally not written.

INFLUENCES

Japanese and Korean calligraphies were greatly influenced by Chinese calligraphy. The Japanese and Korean people have also developed specific sensibilities and styles of calligraphy. For example, Japanese calligraphy go out of the set of CJK strokes to also include local alphabets such as hiragana and katakana, with specific problematics such as new curves and moves, and specific materials (Japanese paper, washi 和紙, and Japanese ink). In the case of Korean calligraphy, the Hangeul and the existence of the circle required the creation of a new technique which usually confuses Chinese calligraphers.

Temporary calligraphy is a practice of water-only calligraphy on the floor, which dries out within minutes. This practice is especially appreciated by the new generation of retired Chinese in public parks of China. These will often open studio-shops in tourist towns offering traditional Chinese calligraphy to tourists. Other than writing the clients name, they also sell fine brushes as souvenirs and lime stone carved stamps.

Since late 1980s, a few Chinese artists have branched out traditional Chinese calligraphy to a new territory by mingling Chinese characters with English letters; notable new forms of calligraphy are Xu Bing's square calligraphy and DanNie's coolligraphy or cooligraphy.

Mongolian calligraphy is also influenced by Chinese calligraphy, from tools to style.

Calligraphy has influenced ink and wash painting, which is accomplished using similar tools and techniques. Calligraphy has influenced most major art styles in East Asia, including ink and wash painting, a style of Chinese, Korean, Japanese painting, and Vietnamese painting based entirely on calligraphy.

SOUTH ASIA

INDIA

On the subject of Indian calligraphy, writes:

Aśoka's edicts (c. 265–238 BC) were committed to stone. These inscriptions are stiff and angular in form. Following the Aśoka style of Indic writing, two new calligraphic types appear: Kharoṣṭī and Brāhmī. Kharoṣṭī was used in the northwestern regions of India from the 3rd century BC to the 4th century of the Christian Era, and it was used in Central Asia until the 8th century.

In many parts of ancient India, the inscriptions were carried out in smoke-treated palm leaves. This tradition dates back to over two thousand years. Even after the Indian languages were put on paper in the 13th century, palm leaves where considered a preferred medium of writing owing to its longevity (nearly 400 years) compared to paper. Both sides of the leaves were used for writing. Long rectangular strips were gathered on top of one another, holes were drilled through all the leaves, and the book was held together by string. Books of this manufacture were common to Southeast Asia. The palm leaf was an excellent surface for penwriting, making possible the delicate lettering used in many of the scripts of southern Asia.

Burnt clay and copper were a favoured material for Indic inscriptions. In the north of India, birch bark was used as a writing surface as early as the 2nd century AD.

NEPAL

Ranjana script is the primary form of Nepalese calligraphy. The script itself, along with its derivatives (like Lantsa, Phagpa, Kutila) are used in Nepal, Tibet, Bhutan, Leh, Mongolia, coastal Japan, and Korea to write "Om mani padme hum" and other sacred Buddhist texts, mainly those derived from Sanskrit and Pali.

THAILAND

Sanskrit is the primary form of Thai calligraphy. Historically Thai calligraphy has been limited to sacred texts of the Pali Canon with few wider artistic applications where graphic calligraphy representing figures and objects is produced. Calligraphy appears on the personal flag of each member of the Thai royal family bearing its owner's initials in calligraphy. The most obvious place in the country where calligraphy is present is in graffiti. A few books have been published with calligraphic compositions.

TIBET

Calligraphy is central in Tibetan culture. The script is derived from Indic scripts. The nobles of Tibet, such as the High Lamas and inhabitants of the Potala Palace, were usually capable calligraphers. Tibet has been a center of Buddhism for several centuries, and that religion places a great deal of significance on written word. This does not provide for a large body of secular pieces, although they do exist (but are usually related in some way to Tibetan Buddhism). Almost all high religious writing involved calligraphy, including letters sent by the Dalai Lama and other religious and secular authority. Calligraphy is particularly evident on their prayer wheels, although this calligraphy was forged rather than scribed, much like Arab and Roman calligraphy is often found on buildings. Although originally done with a reed, Tibetan calligraphers now use chisel tipped pens and markers as well.

ISLAMIC WORLD

Islamic calligraphy (calligraphy in Arabic is khatt ul-yad خط اليد‎) has evolved alongside Islam and the Arabic language. As it is based on Arabic letters, some call it "Arabic calligraphy". However the term "Islamic calligraphy" is a more appropriate term as it comprises all works of calligraphy by the Muslim calligraphers from Andalusia in modern Spain to China.

Islamic calligraphy is associated with geometric Islamic art (arabesque) on the walls and ceilings of mosques as well as on the page. Contemporary artists in the Islamic world draw on the heritage of calligraphy to use calligraphic inscriptions or abstractions.

Instead of recalling something related to the spoken word, calligraphy for Muslims is a visible expression of the highest art of all, the art of the spiritual world. Calligraphy has arguably become the most venerated form of Islamic art because it provides a link between the languages of the Muslims with the religion of Islam. The Qur'an has played an important role in the development and evolution of the Arabic language, and by extension, calligraphy in the Arabic alphabet. Proverbs and passages from the Qur'an are still sources for Islamic calligraphy.

It is generally accepted that Islamic calligraphy excelled during the Ottoman era. Istanbul is an open exhibition hall for all kinds and varieties of calligraphy, from inscriptions in mosques to fountains, schools, houses, etc.

PERSIA

The history of calligraphy in Persia dates back to the pre-Islam era. In Zoroastrianism beautiful and clear writings were always praised.

It is believed that ancient Persian script was invented by about 600–500 BC to provide monument inscriptions for the Achaemenid kings. These scripts consisted of horizontal, vertical, and diagonal nail-shape letters, which is why it is called "script of nails/cuneiform script" (khat-e-mikhi) in Persian. Centuries later, other scripts such as "Pahlavi" and "Avestan" scripts were used in ancient Persia.

CONTEMPORARY SRIPTS

The Nasta'liq style is the most popular contemporary style among classical Persian calligraphy scripts; Persian calligraphers call it the "bride of calligraphy scripts". This calligraphy style has been based on such a strong structure that it has changed very little since. Mir Ali Tabrizi had found the optimum composition of the letters and graphical rules so it has just been fine-tuned during the past seven centuries. It has very strict rules for graphical shape of the letters and for combination of the letters, words, and composition of the whole calligraphy piece.

MAYAN CIVILIZATION

Mayan calligraphy was expressed via Mayan hieroglyphs; modern Mayan calligraphy is mainly used on seals and monuments in the Yucatán Peninsula in Mexico. Mayan hieroglyphs are rarely used in government offices; however in Campeche, Yucatán and Quintana Roo, Mayan calligraphy is written in Latin letters. Some commercial companies in southern Mexico use Mayan hieroglyphs as symbols of their business. Some community associations and modern Mayan brotherhoods use Mayan hieroglyphs as symbols of their groups.

Most of the archaeological sites in Mexico such as Chichen Itza, Labna, Uxmal, Edzna, Calakmul, etc. have glyphs in their structures. Carved stone monuments known as stele are common sources of ancient Mayan calligraphy.

MODERN CALLIGRAPHY

REVIVAL

After printing became ubiquitous from the 15th century, the production of illuminated manuscripts began to decline. However, the rise of printing did not mean the end of calligraphy.

The modern revival of calligraphy began at the end of the 19th century, influenced by the aesthetics and philosophy of William Morris and the Arts and Crafts movement. Edward Johnston is regarded as being the father of modern calligraphy. After studying published copies of manuscripts by architect William Harrison Cowlishaw, he was introduced to William Lethaby in 1898, principal of the Central School of Arts and Crafts,who advised him to study manuscripts at the British Museum.

This triggered Johnston's interest in the art of calligraphy with the use of a broad edged pen. He began a teaching course in calligraphy at the Central School in Southampton Row, London from September 1899, where he influenced the typeface designer and sculptor Eric Gill. He was commissioned by Frank Pick to design a new typeface for London Underground, still used today (with minor modifications).

He has been credited for reviving the art of modern penmanship and lettering single-handedly through his books and teachings - his handbook on the subject, Writing & Illuminating, & Lettering (1906) was particularly influential on a generation of British typographers and calligraphers, including Graily Hewitt, Stanley Morison, Eric Gill and Anna Simons. Johnston also devised the simply crafted round calligraphic handwriting style, written with a broad pen, known today as the Foundational hand. Johnston initially taught his students an uncial hand using a flat pen angle, but later taught his hand using a slanted pen angle. He first referred to this hand as "Foundational Hand" in his 1909 publication, Manuscript & Inscription Letters for Schools and Classes and for the Use of Craftsmen.

SUBSEQUENT DEVELOPMENTS

Graily Hewitt taught at the Central School of Arts and Crafts and published together with Johnston throughout the early part of the century. Hewitt was central to the revival of gilding in calligraphy, and his prolific output on type design also appeared between 1915 and 1943. He is attributed with the revival of gilding with gesso and gold leaf on vellum. Hewitt helped to found the Society of Scribes & Illuminators (SSI) in 1921, probably the world's foremost calligraphy society.

Hewitt is not without both critics and supporters in his rendering of Cennino Cennini's medieval gesso recipes. Donald Jackson, a British calligrapher, has sourced his gesso recipes from earlier centuries a number of which are not presently in English translation. Graily Hewitt created the patent announcing the award to Prince Philip of the title of Duke of Edinburgh on November 19, 1947, the day before his marriage to Queen Elizabeth.

Johnston’s pupil, Anna Simons, was instrumental in sparking off interest in calligraphy in Germany with her German translation of Writing and Illuminating, and Lettering in 1910. Austrian Rudolf Larisch, a teacher of lettering at the Vienna School of Art, published six lettering books that greatly influenced German-speaking calligraphers. Because German-speaking countries had not abandoned the Gothic hand in printing, Gothic also had a powerful effect on their styles.

Rudolf Koch was a friend and younger contemporary of Larisch. Koch's books, type designs, and teaching made him one of the most influential calligraphers of the 20th century in northern Europe and later in the U.S. Larisch and Koch taught and inspired many European calligraphers, notably Karlgeorg Hoefer, and Hermann Zapf.

Contemporary typefaces used by computers, from word processors like Microsoft Word or Apple Pages to professional designers' software like Adobe InDesign, owe a considerable debt to the past and to a small number of professional typeface designers today.

Unicode provides "Script" and "Fraktur" Latin alphabets that can be used for calligraphy. See Mathematical Alphanumeric Symbols.

WIKIPEDIA

Calatrava Bridge with Downtown Dallas 3, 01-31-11 by skys the limit2

3

The Calatrava Bridge bathed in a dark blue light on the night of 1-31-11 to honor the NFC since Dallas is the SuperBowl XLV headquarters for the NFC conference.

A portion of the Downtown Dallas cityscape is seen in the image. I shot this image from the Belmont Hotel in Oak Cliff on the west side of Downtown around 7:00pm in a very heavy mist.

The 23 story Omni Convention Hotel, located on the far right side of the image just to the right of Reunion Tower which is bathed in blue light, is swathed in super graphics on the exterior of the hotel also commemorating Dallas' role as a host city for Super Bowl XLV. The $500 million dollar Omni Hotel is still under construction with completion expected in 2012.

The 400 foot tall, $165 million dollar Calatrava Bridge, along with the extension of Woodall Rodgers Expressway from Downtown Dallas into West Dallas/Oak Cliff, are still under construction with completion expected in late 2011. Magnificent suspension wires will stretch in both directions of the arch in a very "Golden Gate Bridge" like manner once completed. The bridge will be permanently illuminated at night.

In retrospect a decade from now, the Calatrava Bridge and its extension of Woodall Rodgers across the Trinity into West Dallas will be viewed as a keystone event that laid the groundwork for the next wave of dense urban development for Downtown Dallas.

Woodall Rodgers is the "golden corridor" for Downtown Dallas and has spawned billions in new development, both in Uptown/Victory Park and the more traditional Financial District. In fact, an argument could be made that Woodall Rodgers is becoming the new 21st century "Main Street" for Downtown Dallas with the explosive growth that has occurred along both the north and south sides of it.

West Dallas is currently essentially a wasteland, much like the land where the American Airlines Center and Victory Park were constructed. With the Woodall extension, West Dallas will become the next Victory Park/Uptown with billions in new dense urban development that will increase both the population and tax base for the City. The growth that will occur there is inevitable, unless the City strangles it through excessive regulation.

While some may like to call it a bridge to nowhere, in fact it is THE bridge to the future.

Plans call for over 30,000,000 square feet of new dense urban highrise and skyscraper development to be built in West Dallas along with the addition of 24,000 residents in the next 17 years ... pretty incredible growth. It is the Calatrava Bridge and the new frontier it will open up that will catapult Dallas into its status as the "Chicago of the South" by 2030.

Here is the planned development guideline developed by the City for the new urban frontier of West Dallas:

www.dallascityhall.com/citydesign_studio/pdf/WD_UrbanStru...

Wien, 9. Bezirk (l’arte delle facciate di Vienna), die Österreichische Nationalbank, National Bank of Austria, el Banco Central de la República de Austria, la Banque Centrale de la République d'Autriche, la Banca Centrale della Repubblica d'Austria by Josef Lex (El buen soldado Švejk)

Oesterreichische Nationalbank

Logo of the Austrian National Bank

Headquarters Vienna, Austria

Central Bank of Austria

Currency€

To ISO 4217 EUR

website

www.oenb.at/

Previous Austro- Hungarian Bank

List of Central Banks

Oesterreichische Nationalbank, at Otto-Wagner -Platz No. 3, Vienna

The Austrian National Bank (OeNB), Austria's central bank as an integral part of the European System of Central Banks (ESCB) and the Eurosystem. It is instrumental in the design of the economic development in Austria and in the euro area. Legally, the OeNB is a public limited company.. However, it is also subject to further enshrined in the National Bank Act regulations resulting from its separate position as a central bank. In the framework of the Eurosystem, the OeNB contributes to a stability-oriented monetary policy. At the national level, it cares about the preservation of financial stability and the money supply and manage foreign exchange reserves to hedge against the euro in times of crisis. The guideline values in terms of the tasks of the Austrian National Bank are "security, stability and trust".

Contents

1 History

1.1 1816 to 1818

1.2 1818 to 1878

1.3 1878 to 1922

1.4 1922 to 1938

1.5 1938 to 1945

1.6 1945 to 1998

1.7 From 1999

2 The OeNB as a modern central bank

3 Legal form and organs

3.1 Legal framework

3.2 organs

3.2.1 General

3.2.2 General

3.2.3 Board of Directors

4 Tasks

4.1 Monetary policy strategies and monetary policy decision-making process

4.1.1 Economic analysis

4.1.2 Production of statistical information

4.1.3 Contribute to international organizations

4.2 Implementation of monetary policy

4.2.1 use of monetary policy instruments

4.2.2 Reserve Management

4.2.3 Money Supply

4.3 Communication of monetary policy

4.4 ensure financial stability

4.4.1 Financial Stability

4.4.2 Payment System Stability and payments

5 The OeNB in the European System of National Banks

6 President / Governors

7 See also

8 Literature

9 links

10 Notes and references

History

1816-1818

As long as 50 years before the founding of the National Bank the Habsburgs carried out first experiments with securities in the form of paper money. Finally, in the 18th Century the issue of banknotes transferred to a state independent institution, while the issue of paper money called "Banco notes," founded in 1705 by the "Vienna City Bank" took place in 1762.

In wartime governance took back control of the money issue, so there was an inflation of Banco-Zettel 1796-1810. The state ordered the forced acceptance of paper money in private transport, which led to a fast-growing discount on bills in the market. 1799 was therefore one for 100 guilders paper money only 92 guilders in silver coins, and at the end of 1810 the value of the paper florin had fallen to 15 % of the nominal value of the Banco-Zettel. Later, the Habsburgs declared a devaluation of the Banco-Zettel in the ratio of 5:1. This act was considered by the business community as a sovereign default, which the paper money experienced a rapid devaluation.

At the end of the Napoleonic wars the Habsburg multinational state ( → Habsburg Monarchy) faced a new challenge: the restoration of a European balance. Church, the nobility, the army and the bureaucracy as elements in the Ancien Régime were not sufficient to solve this problem, a well -founded economic situation was needed. Moreover, one could not ignore readily the laws of supply and demand.

In this regard, were the first June 1816 by Emperor Francis I two patents issued (later to distinguish the "main patent" or "bank patent"), the "privileged Austrian National Bank", conceived as a public company, had to constitute itself as soon a possible, propose the emperor three of its directors for selection of the governor and take up their activity provisionally on 1 July 1816.

The National Bank had henceforth a monopoly on the issuance of paper money, which led to a slowdown in the Austrian monetary system and an increase in the value of paper money. The economy was again a solid source of money keeping constant the value of money regardless of the spending plans of the State. The equity of the Bank justified this by share issues.

Initially comprised the activities of the bank - under temporary management - the redemption of paper money and the issuance of shares. The full effectiveness attained the National Bank until after the issue of 1,000 shares and the associated possibility of shareholders to set the management themselves.

1818-1878

On 15 July 1817 recieved the National Bank as the "first Bankprivilegium" the exclusive right to unrestricted issue of banknotes and in this context a special position in terms of Rediskontgeschäfts (rediscount business). Beginning of 1818 the definitive bank management was ready. Part of it were among leading figures of Viennese society, including the banker Johann Heinrich von Geymüller and Bernard of Eskeles. From 1830 to 1837 the Office of the Governor was held by Adrian Nicholas Baron Barbier.

In the countries of the Habsburg Monarchy, which were characterized in large part by an agricultural oriented activity pattern, some regions showed a lively commercial-industrial growth. The goal now was to create a system of economic exchange between these areas. Successively established the National Bank branch network and thus guaranteed a uniform money and credit supply. From its headquarters in Vienna this network extended over early industrial areas and commercial centers in Eastern and Central Europe to the northern Mediterranean.

Trade bills and coins were preferred assets of the National Bank, less the supply of money to the state. With the exchange transactions, the National Bank supported the economic growth of the monarchy and secured at the same time the supply of silver coins in the event that the need for these increases in exchange for bank notes, contrary to expectations. 1818 was the National Bank, however, by increasing public debt, due to high spending in times of crisis, not spared to make an increase in the government debt positions on the asset side of its balance sheet.

The patent provisions of the founding of the National Bank not sufficiently secured against the autonomy of governance. At the center of the struggle for independence, this was the question of the extent to which the issue of banknotes must be made on the basis of government bonds. In 1841, a renewal of Bankprivilegiums got a weakening of the independence by pushing back the influence of the shareholders in favor of the state administration. During the revolution of 1848/49 followers of constitutional goals received great support from senior figures in the National Bank. For about a hundred years, the Austrian branch of the Rothschild bank (from which from 1855, the "Royal Privileged Austrian Credit-Institute for Commerce and Industry", the later Creditanstalt, was born) was playing a leading role in the banking center of Vienna. Salomon Mayer von Rothschild was involved during the pre-March in all major transactions of the National Bank for the rehabilitation of the state budget.

Special focus the National Bank was putting on the development of the premium that was payable at the exchange of banknotes into silver money in business dealings. The increase, which corresponded to a depreciation of the notes issued by the Bank should be prevented. From an overall state perspective, the increase of the silver premium means a deterioration in terms of the exchange ratio towards foreign countries, influencing the price competitiveness of the Austrian foreign trade adversely. The stabilization of the premium were set some limits. Although the height of the emission activitiy was depending on the Bank, but also the price of silver and the potential effects of increased government debt materially affected the silver premium. Especially the 1848 revolution and conflicts in the following years caused an increasement of the silver premium.

Mid-century, the private banking and wholesale houses were no longer able to cope with the rapidly growing financial intermediation of the Habsburg monarchy. New forms of capital formation were required. From an initiative of the House of Rothschild, the first by the government approved and private joint-stock bank was created. This formation was followed in 1863 and 1864 by two other joint-stock banks, whose major shareholders included important personalities of the aristocracy, who possessed large liquid funds. Overall, grew with these banks the money creation potential of the "financial center of Vienna".

The central bank faced another difficult task: with its limited resources it had to secure sufficient liquidity on the one hand and on the other hand prevent the inflationary expansion of the money supply. Through close contacts with the shareholders of Vienna was a financial center (informal) ballot, especially in times of crisis, easily dealt out. In contrast, it gave differences of opinion in the Fed Board, which required enforcement of decisions.

In 1861, Friedrich Schey Koromla became director of the National Bank. On 27 December 1862 experienced the Bankprivilegium another innovation. The independence of the National Bank of the State was restored and anchored. Furthermore, was introduced the direct allocation of banknotes in circulation by the system of "Peel'schen Bank Act", which states that the fixed budget of 200 million guilders exceeding circulation of banknotes must be covered by silver coins. In 1866, when the German war ended in defeat for Austria, the compliance of the system was no longer met. The state felt itself forced to pay compensation for breach of privilege. This balance was supported by a law of 1872, after the National Bank may issue notes up to a maximum of 200 million guilders and each additional payment must be fully backed by gold or silver.

1873 the economic boom of the Habsburg monarchy was represented in a long-lasting rise in the share price. A now to be expecting break could by the behavior of the Vienna Stock not be intercepted, so it came to the "Great Crash of 1873". The in 1872 fixed restrictions of the circulation of notes for a short time have been suspended. Contrary to expectations, the money supply in crisis peak but only outgrew by nearly 1% the prescribed limit in the bank acts. The banks and the industrial and commercial companies survived the crash without major losses, although the share prices significantly lay below the initial level.

The years with high growth were followed by a period of stagnation.

1878-1922

As part of the compensation negotiations between Austria and Hungary in 1867, the National Bank was able to exercise fully their Privilegialrechte, the Kingdom of Hungary but now had the certified right, every ten years exercisable, to found an own central bank (bank note). As resulted from the first 10 -year period that furthermore none of the two parts of the monarchy wanted to build an independent money-issuing bank (Zettelbank), was built on 28 June 1878, initially to 31 December 1887 limited, an Austro-Hungarian Bank, and equipped with the Fed privilege. The first privilege of the new bank was a compromise in which on the one hand, regulations on liability for national debts as well as regulations limiting the influence of the government on banking businesses were included. 1878 Gustav Leonhardt was Secretary of the Bank.

The General Assembly and the General Council formed the unit of the bank management. Two directorates and major institutions - in Vienna and Budapest - represented the dual nature of the bank. 1892-1900 followed a long discussion finally the currency conversion from guilders (silver currency) to the crown (gold standard) with "Gold Crown" said coins.

Since the new banknotes were very popular in the public, now many gold coins piled up in the vaults of the Austro-Hungarian Bank. This period was characterized by a balanced combination of price growth and damping, the "per capita national product" grew while prices remained mostly stable. Against this background, it was easy for the Fed to encourage a new wave of industrialization.

With a third privilege in 1899 conditions were established under which the bank could be put into the financial services of the two countries, on the other hand there have been important innovations that paved a good exchange policy. By 1914, the exchange ratio of the Austro-Hungarian currency was unchanged with only minor fluctuations. In contrast, was the by conflicts marked political development.

The expansive foreign policy quickly led to high costs from which had to be shouldered by the central bank a significant part. The stability of the currency was in danger. Shortly after the beginning of World War I in 1914, laid down the Military Command to indemnify any seized property with double the price. There was an increasing scarcity of goods, connected with an ongoing expansion of the money supply and finally the increase in the price level on the 16-fold.

The resulting cost of the war of the Dual Monarchy were covered to 40% on central bank loans and 60% through war bonds. Over the duration of the war, the power force built up in recent decades has been frozen at the end of the conflict in 1918, the real income of the workers had fallen to one-fifth of the last year of peace.

With the end of the war the end for the old order had come, too. The decay of Cisleithania and Transleithania caused in several successor states, despite the efforts of the central bank to maintain the order, a currency separation (see Crown Currency in the decay of the monarchy, successor states). First, a separate "Austrian management" of the bank was introduced. It was encouraged to shoulder the shortcomings of the state budget of the Republic of Austria founded in 1918.

The new South Slav state began in January 1919 stamping its crown banknotes. The newly founded Czechoslovak Republic retained the crown currency (to date), but their printed banknotes in circulation as of February 1919 with indications that now these ar Czechoslovak crowns. (The country could an inflation as experienced by Austria avoide.) In March 1919, German Austria began to stamp its crown banknotes.

The Treaty of Saint-Germain-en-Laye of 10 September 1919, by Austria on 25 October 1919 ratified and which on 16 July 1920 came into force, determined the cancellation and replacement of all crown banknotes of all successor states of Austria-Hungary as well as the complete liquidation of the Austro-Hungarian Bank under the supervision of the war winners. The last meetings of the Bank took place mid 1921 and at the end of 1922.

After a period of overvaluation of the crown the dollar rate rose from 1919 again. 1921, had to be paid over 5,000 Austrian crowns per dollar. In addition to the significant drop in the external value existed in Austria rising inflation. End of 1922 was ultimately a rehabilitation program with foreign assistance - the "Geneva Protocol" - passed which slowed down the inflation.

1922-1938

With Federal Law of 24 July 1922 the Minister of Finance was commissioned to build a central bank, which had to take over the entire note circulation plus current liabilities of the Austrian management of the Austro-Hungarian Bank. With Federal Law of 14 November 1922, certain provisions of the law were amended and promulgated the statutes of the Austrian National Bank. By order of the Federal Government Seipel I 29 December 1922, the Board of the Austrian Austro-Hungarian Bank issued authorization for the central bank union activity with 1 January 1923 have been declared extinct and was made known the commencement of operations of the Oesterreichische Nationalbank this day.

The statutes of the Austrian National Bank (OeNB) secured the independence from the state, the independence of the Bank under exclusion of external influences and the corresponding equity. First, the stabilization of the Austrian currency was at the forefront. With the Schilling Act of 20 December 1924 was the schilling currency (First Republic) with 1 Introduced in March 1925, it replaced the crown currency. For 10,000 crowns now you got a shilling.

As an important personality in terms of the order of the state budget, Dr. Victor Kienböck has to be mentioned. He was in the time from 1922 to 1924 and from 1926 to 1929 finance minister of the First Republic and from 1932 to 1938 President of the Austrian National Bank. Through his work remained the Austrian Schilling, also beyound the global economy crisis, stable. Under this condition, the Fed was able to cope with the large number of bank failures of the past.

1938-1945

According to the on 13th March issued Anschlussgesetz (annexation law) , the Reichsmark with order of the Fuehrer and Chancellor of 17 was March 1938 introduced in the country Austria and determines the course: A Reichsmark is equal to one shilling fifty pence. On the same day, the Chancellor ordered that the management of the to be liquidated National Bank was transferred to the Reichsbank.

With regulation of three ministers of the German Reich of 23 April 1938, the National Bank was established as a property of the Reichsbank and its banknotes the quality as legal tender by 25 April 1938 withdrawn; public funds had Schilling banknotes until 15th of may in 1938 to accept. All the gold and foreign exchange reserves were transferred to Berlin.

The Second World War weakened the Austrian economy to a great extent, the production force after the war corresponded to only 40% of that of 1937 (see also air raids on Austria). To finance the war, the Reichsbank brought to a high degree banknotes in circulation, which only a great victory of the kingdom (Reich) actual values would have been opposable. Since prices were strictly regulated, inflation virtually could be "banned" during the war.

1945-1998

In occupied postwar Austria about 10 billion shillings by Allied military occupying powers were initially printed, which contributed to significant price increases.

With the re-establishment of the Republic of Austria by the Austrian declaration of independence of 27 April 1945, it came to the resumption of activities of the Oesterreichische Nationalbank. By the "Fed Transition Act" of July 1945 preliminary legal regulations for the operations of the Bank have been established. The restoration of the Austrian currency was their first big job. The goal was the summary of all currencies, which at the time were in circulation, and their secondment to a new Austrian currency. The "Schilling Act" of November 1945, the basis for the re-introduction of the Schilling (Second Republic) as legal tender in Austria. The next step was to reduce excess liquidity to make necessary funds for new business investment available and to make the external value of the shilling for the development of the economy competitive. First, however, less changed the inflationary situation and also the shilling was still significantly undervalued in relation to other currencies.

The "Currency Protection Act" of 1947 brought a significant change in the monetary overhang. Some deposits have been deleted without replacement, others converted into claims against the Federal Treasury. The following exchange operations also significantly reduced the amount of cash: banknotes from 1945 were canceled and exchanged for new schilling notes in the ratio 1:3. Only 150 shillings per person could go 1-1.

To control inflation, the social partners came to the foreground. The associations of employers and employees set in 1947 prices for supplies, wages were also raised. This was the first of the five "wage-price agreements" of the social partners. In 1952, inflation was held back by limiting the use of monetary policy instruments by the National Bank. Also, the external sector slowly relaxed after the end of the Korean War.

In 1955, the Austrian National Bank was re-established by the new National Bank Act as a corporation and the by the National Bank Transition of Authorities Act (Nationalbank-Überleitungsgesetz) established provisional arragement abolished. The National Bank Act stipulated that each half of the capital should be situated at the federal government and private shareholders. In addition to the independence of bank loans of the state, the new National Bank Act also contained an order that the central bank must watch within their monetary and credit policies on the economic policies of the federal government. From now on also included within the instruments of the National Bank were the areas open market and minimum reserve policy.

The Austrian economy increasingly stabilized, through good fiscal and monetary policy a high growth could be attained, with low inflation and long-term maintenance of external equilibrium.

1960, Austria joined the European Free Trade Association and participated in the European integration.

In the sixties came the international monetary system based on gold-dollar convertibility into currency fluctuations and political reforms were necessary. First, the loosening of exchange rate adjustments between several states was an option. However, U.S. balance of payments problems brought with it restrictions on capital movements, and then the Euro-Dollar market was born. In 1971, the convertibility of the U.S. dollar was lifted.

1975 interrupted a recession increasing growth time. International unbalanced ayments caused very extensive foreign exchange movements, whereby the intervention force of Austrian monetary policy has been strongly challenged. Their task now was to control the effect of foreign exchange on domestic economic activities to stabilize the shilling in the context of constantly shifting exchange rates and to control the price rise appropriately. Since the inflow of foreign funds reached to high proportions, so that the economic stability has been compromised, the policy went the way of the independent course design in a pool of selected European currencies.

The collapse of the economy forced the policy makers to a new course with active mutual credit control, subdued wage growth, financial impulses in supply and demand, and interest rates are kept low. This system of regulation, however, kept back the need for structural change, so it had to be given up in 1979. In the same year a fire destroyed large parts of the main building of the Austrian National Bank in Vienna. The repairs lasted until 1985.

Target in the eighties was to strengthen the economic performance using a competitive power comparison. The findings from the seventies stimulated the Austrian monetary policy to align the Schilling course at the Deutsche Mark to ensure price stability in the country. In addition, the structural change was initiated by inclusion in a large area. Stable, if not necessarily comfortable environment of monetary policy was a prerequisite, to secure the companies long-term productivity gains and thus safeguard their position in the economy.

Initially, this development stood a high level of unemployment in the way. Growth until the second half of the decade increased, at the same time increased the competitiveness and current accounts could be kept in balance.

In the nineties, the annexation of Austria took place in the European Community. 1995 Austria became a member of the European Union (EU) and joined the exchange rate mechanism of the European Monetary System. In 1998, the Central Banks (ESCB) have established the independence of institutions or bodies of the European Community and the governments of the EU Member States through an amendment to the National Bank Act of the Austrian National Bank to implement the goals and tasks of the European System. Thus, the legal basis for the participation of Austria in the third stage of Economic and Monetary Union (EMU) was created in 1999.

As of 1999

The Austrian National Bank, and other national central banks including the European Central Bank ( ECB), belongs to the European System of Central Banks.

On 1 January 1999 was introduced in the third stage of Economic and Monetary Union in Austria and ten other EU Member States, the euro as a common currency. The European Central Bank is henceforth responsible for monetary and currency policy, decisions in this regard will be taken in accordance with the Council of the European Central Bank.

Since May 2010, the OeNB is in full possession of the Republic of Austria, after originally lobbies, banks and insurance companies were involved with 50 % of the share capital in it. In 2011, the National Bank Act was adapted by an amendment (Federal Law Gazette I No. 50 /2011) in this circumstance, a renewed privatization is thus excluded by law.

The OeNB as a modern central bank

With the withdrawal from the retail business in the sixties as well as the first major internationalization and implementation of a strategic management in the seventies, the OeNB went on the way to a future-oriented central bank. Another major reform of banking began at the end of the eighties.

In terms of global development, the OeNB established in 1988 as a service company and expanded its guiding values - "security, stability and trust" - to the principles of " fficiency" and "cost-consciousness". The business center was optimized and strategic business experienced through targeted improvements a reinforcement. Be mentioned as examples are intensifying domestic cooperation in the area of payments by encouraging the creation of the Society for the Study co-payments (STUZZA), the liberalization of capital movements, the professional management of foreign exchange reserves, the improvement of the supply of money through the construction of the money center and the internationalization of business activities through the establishment of representative offices in Brussels (European Union), Paris (OECD) and the financial center of New York.

After Austria's accession to the EU in 1995, the OeNB participated in the European Monetary System (EMS ) and its Exchange Rate Mechanism. The integration in the third stage of Economic and Monetary Union (EMU) was the next step towards further development of policy stability. Since the conclusion of the Maastricht Treaty, the Austrian National Bank has very fully considered its role in the ESCB and created a basis for inclusion in the community. The profound economic and monetary policy of Austria was also a reference that qualified the OeNB to actively participate in the monetary future of Europe, a greater harmonization of the statistical framework and monetary policy instruments with a view to the euro system, the preparation of the issue of European banknotes, and the establishment of operational processes and organizational integration of business processes within the ESCB being specific objectives of the OeNB.

In the following, it came, inter alia, to the establishement of an economic study department, of an education or training initiative and to strengthen the position of payment transactions through the TARGET system.

A in 1996 created "OeNB master plan" provided important points for the upcoming transition to the euro.

In May 1998, a new pension system came into force, by which new employees were incorporated into a two-pillar model.

1999, Austria's participation in the third stage of EMU was manifest. The Austrian National Bank - as part of the ESCB - became the owner of the European Central Bank and received new powers in this context in the sense of participation in the monetary policy decision-making at the level of the European Community. With the introduction of the euro, monetary policy functions of the General Council have been transferred to the Governing Council. However, the implementation remains the responsibility of national central banks.

Activities of the Oesterreichische Nationalbank were or are, for example, the further professionalization of asset management, the expansion of the network of representative offices by opening a representative office in the financial center of London, preparation of the smooth introduction of euro cash in 2002 and the participation of the OeNB on the creation of the "A-SIT" (Center for secure Information Technology Center - Austria) and the "A-Trust" (society of electronic security systems in traffic GmbH ) in order to promote security in information technology.

de.wikipedia.org/wiki/Oesterreichische_Nationalbank

Guideline Coaches FA15 ENG by Bus-Ginger

1

Seen in Southborough.