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Ambroz Matija Gubec and other leaders of the mutiny raised peasants to arms in over sixty fiefs throughout the country in January 1573, but their uprising was crushed by early February. Matija Gubec and thousands of others were publicly executed shortly thereafter, in a rather brutal manner in order to set an example for others. The record of archdeacon Thomas, as well as the Chronicle of the Priest of Duklja from the 12th century, state that the Croats did not arrive the same way that the Byzantine texts say. Instead, these works claim that the Croats were a group of Slavs that remained after the Goths (under a leader referred to as "Totila") had occupied and pillaged the Roman province of Dalmatia. The Chronicle of Dioclea, on the other hand, speaks of a Gothic invasion (under a leader referred to as "Svevlad", followed by his descendants "Selimir" and "Ostroilo") after which the Slavs merely took over. Since the adoption of the 1990 Constitution, Croatia has been a parliamentary democracy. The first native Croatian ruler recognized by a pope was Duke Branimir, whom Pope John VIII called dux Chroatorum in 879. In recorded history, the area was inhabited by the Illyrians, an Indo-European people who spoke the Illyrian language. The Liburn, Iapod and Delmat tribes inhabited various parts of the Adriatic coastline and interior between modern Istria and Herzegovina. Inflation and unemployment rose and the kuna fell, prompting the national bank to tighten fiscal policy. A new banking law passed in December 1998 gave the central bank more control over Croatia's 53 remaining commercial banks. Croatia is dependent on international debt to finance the deficit. A recently issued Euro-denominated bond was well received, selling $300 million, which helped offset economic losses from the Kosovo crisis. Croatia is situated between central, southern and eastern Europe. It has a rather peculiar shape that resembles a crescent or a horseshoe which helps account for its many neighbours: Slovenia, Hungary, Serbian part of Serbia and Montenegro, Bosnia and Herzegovina, Montenegrin part of Serbia and Montenegro, and Italy across the Adriatic. Its mainland territory is split in two non-contiguous parts by the short coastline of Bosnia and Herzegovina around Neum. Rapid industrialization and diversification occurred after World War II. Decentralization came in 1965, allowing growth of certain sectors, like the tourist industry. Profits from Croatian industry were used to develop poorer regions in the former Yugoslavia. This, coupled with austerity programs and hyperinflation in the 1980s, led to discontent in both Croatia and Slovenia that fueled the independence movement. Croatian lands became subject to the Carolingian Empire around 800, and regained independence after the death of Charlemagne in 814. The first written mention of Croats dates from 852, a statute by Duke Trpimir, the founder of the Trpimirovic ruling dynasty. The country was recognized by Pope John VIII as an independent dukedom under Branimir in 879 (dux Chroatorum).
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