Why did Prussia, and not Austria, manage to lead the process of creating a unified national state?

Austria and Prussia, which played a leading role in the Union, competed among themselves for leadership in the Union, and in the future for leadership in a single German state. The first steps towards the unification of Germany under the rule of Prussia were the wars with Denmark and Austria. The result of this policy was the formation of the North German Confederation. Austria no longer interfered, and in August 1866 22 German states signed an agreement with Prussia to create the North German Confederation.

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