Present-day Austria becomes part of the Roman Empire in 15 BC as the province of Noricum. After the collapse of the Roman Empire, the region is inhabited by germanic tribes, followed around 570 by the Avarians. In 791 the area is incorportated into the Frankish Realm. After 814 the region comes under control of Magyar tribes, but in 955 it is conquered by Germany. It becomes the East Marc of Germany.

In the feudal German Empire the Habsburgians become in 1278 rulers of the Duchy of Austria, one of the German counties in the East Marc. The Habsburgians become Emperors of Germany in 1438. They acquire in 1526 the Kingdoms of Hungary and Bohemia. As a result of the Napoleonic Wars the Habsburgian possesions become de jure independent in 1804 as the Empire of Austria. The restoration after the Napoleonic wars in 1815 implicates that Austria becomes the leading state in the new German confederation.

Rivalry between Prussia and Austria inside Germany result in 1866 in the defeat of Austria: it is forced to leave the German confederation. Austria is restyled in 1867 into Austria-Hungary, a double monarchy of the Empire of Austria and Kingdom of Hungary. In 1906 general (male) suffrage is introduced.

After World War I, in 1918, Austria-Hungary is dissolved and the Republic of German-Austria, Hungary and Czechoslovakia become seperate states. Parts of Austria-Hungary are incorporated into Italy, Poland, Romania and Serbia-Croatia-Slovenia. Karl Renner, leader of the Sozialdemokratische Partei Österreichs (Social-Democratic Party of Austria, SDP), becomes chancellor. In 1919 the country is forced to rename itself Republic of Austria. Soon after it faces the strains of catastrophic inflation and of adapting a large government structure to the needs of a new, smaller republic. Renner is succeeded in 1920 by Michael Mayr of the clerical conservative Christlichsoziale Partei (Christian Social Party, CP). Until 1934 the CP leads most of the time the governments, but there a quick leadership changers. Chancellors are Johann Schober (1921-1922), Ignaz Seipel (1922-1924 and 1926-1929), Rudolf Ramek (1924-1926), Ernst Streeruuwitz (1929), Johann Schober again in 1929-1930, Carl Vaugoin (1930), Otto Ender (1939-1931) and Karl Buresch (1931-1932). Only Schober is not member of the CP, he is a non-partisan close to the Grossdeutsche Volkspartei (Great German People's Party, GDVP). The governments since 1922 are based on the cooperation between the CP and the GDVP

Engelbert Dollfuss of the CP becomes prime minister in 1932. In this period of worldwide depression and unemployment he establishes a new party, the Vaterländischer Front (Fatherland Front, VF) and forms a conservative autocracy. After a civil war in 1934 the SPÖ is outlawed. Dolfuss is assassinated after a failed coup by the Nationalsozialistische Deutsche Arbeiterpartei (National Socialist German Workers' Party, NSDAP). He is succeeded by Kurt Schuschnigg. Four years later the NSDAP seize power and Austria is incorporated into Germany. This development is commonly known as the "Anschluss" (annexation).

After the capitulation of Germany in 1945 Austria regains independence from Germany. The victorious allies divide Austria into zones of occupation similar to those in Germany with a four-power administration of Vienna. Austria becomes a parliamentary democracy, governed by a grand coalition of the conservative Österreichische Volkspartei (Austrian People's Party, ÖVP) and the Sozialistische Partei Österreichs (Socialist Party of Austria, SPÖ). Chancellors are Leopold Vig (1945-1953) and Julius Raab (1953-1961). Under Raab the Austrian State Treaty becomes a fact in 1955. Under its provisions the allied occupation forces depart Austria. Austria becomes free and independent for the first time since 1938. Raab is succeeded in 1961 by Alfred Gorbach (1961-1964) and Josef Klaus (from 1964).

In 1966 the ÖVP forms under Josef Klaus a government without the socialists, but in 1970 the SPÖ win the elections. Bruno Kreisky becomes chancelor. He wins more elections, but has to resign after an electoral defeat in 1983. He is succeeded by his partisan Fred Sinowatz who forms a coalition with the right-wing Freiheitliche Partei Österreichs (Freedom Party of Austria, FPÖ). When the xenophobic Jörg Haider becomes leader of the FPÖ in 1986 Sinowatz terminates the coalition. Sinowatz forms than a coalition with the ÖVP: a new grand coalition is formed that lasts until 1995. He himself is succeeded in 1986 by Kurt Vranitzky. Austria joins the European Union in 1995. In 1995 the grand coalition breaks up, but after new elections, both parties, of which the SPÖ is renamed meanwhile in Sozialdemokratische Partei Österreichs (Social Democratic Party of Austria), agree to continue their coalition. Vranitzky is succeeded in 1997 by Viktor Klima. After the elections in 1999, in which the ÖVP becomes the third party, it forms a coalition with the FPÖ under leadership of Wolfgang Schüssel.