Makes about 16 cups, serving 12

5 slices bacon, chopped
3 pounds boneless chuck, trimmed and cut into 1/2-inch cubes
2 tablespoons vegetable oil
4 medium onions (about 1 1/2 pounds), chopped fine
3 garlic cloves, minced
3 tablespoons paprika (preferably Hungarian sweet*)
1 1/2 teaspoons caraway seeds
1/3 cup all-purpose flour
1/4 cup red-wine vinegar
1/4 cup tomato paste
5 cups beef broth
1 to 5 cups water or beer (use the former to make a stew, the latter to make a soup)
1 teaspoon salt
2 red bell peppers, chopped fine