Prussian people were almost frantic with joy; and Bismarck, from
being the most unpopular man in the nation, became instantly a national
idol. His marvellous diplomacy, by which Austria was driven to the
battlefield, was now seen and universally acknowledged. He obtained
fame, decorations, and increased power. A grateful nation granted to him
four hundred thousand thalers, with which he bought the estate of
Varzin. General von Moltke received three hundred thousand thalers and
immense military prestige. The war minister, Von Roon, also received
three hundred thousand thalers. These three stood out as the three most
prominent men of the nation, next to the royal family.

Never was so short a war so pregnant with important consequences. It
consolidated the German Confederation under Prussian dominance. By
weakening Austria it led to the national unity of Italy, and secured
free government to the whole Austrian empire, since that government
could no longer refuse the demands of Hungary. Above all, "it shattered
the fabric of Ultramontanism which had been built up by the concordat
of 1853."

It was the expectation of Napoleon III that Austria would win in this
war; but the loss of the Austrians was four to one, besides her
humiliation, condemned as she was to pay a war indemnity, with the loss
also of the provinces of Schleswig-Holstein, Hanover, Hesse-Cassel,
Nassau, and Frankfort. But Bismarck did not push Austria to the wall,
since he did not wish to make her an irreconcilable enemy. He left open
a door for future and permanent peace. He did not desire to ruin his
foe, but simply to acquire the lead in German politics and exclude
Austria from the Germanic Confederation. Napoleon, disappointed and
furious, blustered, and threatened war, unless he too could come in for
a share of the plunder, to which he had no real claim. Bismarck calmly
replied, "Well, then, let there be war," knowing full well that France
was not prepared, Napoleon consulted his marshals, "Are we prepared,"
asked he, "to fight all Germany?" "Certainly not," replied the marshals,
"until our whole army, like that of Prussia, is supplied with a
breech-loader; until our drill is modified to suit the new weapon; until
our fortresses are in a perfect state of preparedness, and until we
create a mobile and efficient national reserve."

When Carlyle heard the news of the great victories of Prussia, he wrote
to a friend, "Germany is to stand on her feet hence