rious social imbalance. The uprising was forcefully suppressed with
extensive loss of life and, although some corrective measures were later
instituted that improved working conditions and resulted in the division
of more large landholdings, the general political strength and living
standards of the peasants and workers were not materially improved.
Related also to this social unrest was another problem that grew more
intense during the latter half of the nineteenth century--that of the
increasing size and economic importance of a large Jewish minority.

Forbidden to own land and subject to many other restrictions, the Jews
had settled in urban areas, engaged successfully in commercial
activities and, as a class, gained economic influence and position
generally out of proportion to their overall numerical strength in the
population. To an unusual degree, they formed the prosperous urban
middle class, overshadowing the far smaller number of native Romanians
in that category. In rural centers, as moneylenders, they also became
the middlemen between landlords and peasants; as such, the Jew became a
symbol of oppression, which over the years was transferred into intense
anti-Semitism. Consequently, the Jews were included as a target in the
1907 uprising, and the animosity shown then remained a feature of later
Romanian society.

WORLD WAR I

At the outbreak of World War I in 1914 Romania's leaders were indecisive
and proclaimed an armed neutrality, which lasted for nearly two years.
Much of the pro-Russian and pro-French political orientation of the
1840s and 1850s still existed in the country, but this was offset in
large measure by the strong ties of King Carol I with Bismarck's Germany
and by the rapprochement with Germany that had resulted from the large
investment of German capital in the country. In addition, territorial
inducements, which were attractive to Romania, were made by each side to
influence its entry into the conflict. The Central Powers offered
Bessarabia to be taken from Russia, and the Allies promised the cession
of Transylvania from Austro-Hungary.

After the death of King Carol I and the accession of his nephew, King
Ferdinand, to the throne, Romania entered the war on the Allied side in
1916. By December 1917, however, Romania was forced to conclude an
armistice when the Russian forces disintegrated on the Balkan front
after the Bolshevik revolution of that year. Before the armistice was
ratifi