A neutral new Austria-Hungary

I was thinking about how Hungary really didn't want to be in the Warsaw pact, well maybe there's something Stalin might have agreed to.

A neutral restored Austria Hungary, this one is considerably smaller than it's historic one, as it's really just modern Austria and Hungary.

It's a republic, neutral and Finlandized, the two states are a loose confederation with a single economy and foreign policy, this time a true union of equals.

Might such a state exist as an alternative to the Hungarian "People's " Republic.
 
I don't think Stalin could agree to that. We need a different flow of WWII, if we want to get this endresult, but even then, union between Austria and Hungary is unthinkable without monarchy, without the Habsburgs.
 
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