Economic and social policies

Question 1

what style of economics did M favour initially

Answer 1

free trade, laissez faire economics - so that could get support of elite
-after 1925 began to transform economy

Question 2

who was finance minister 1922-25

Answer 2

de stefani

Question 3

what did de stefani do to transform economy

Answer 3

-tax cuts
-reduce/abolish taxes on war profits
-gaining budget surplus
-pursuing pro business policies (suppot of elite)
-reducing government intervention in economy
-stimulate investment
-reduce public spending

Helped to create boom in production, gained support of elite, HOWEVER had to also deal with rising inflation

Question 4

how much did exports in textiles/cars/agriculture increase by 1922-25

Answer 4

doubled

Question 5

who replaced de stefani

Answer 5

volpi - M wanted him to make economy more independent from USA
-led to battle of births, grain, lira

Question 6

what was the battle of lira and when

Answer 6

-M demanded lira be revalued from 150 lira to 90 lira against the pound, meant lira more valuable
-implemented dec 1927
-wanted strong lira for a strong italy
-shifted away from free market to more intervention due to hyperinflation in germany
-tariffs on imports, designed to protect the lira

Question 7

what was government now active in after the shift from a free market economy

Answer 7

-regulation of industrial relations
-managing state finance
-further development and modernisation of economy

Question 8

was battle of lira successful

Answer 8

-car manufacturing industries e.g. suffered due to effects on exports
-undermined italys exports to a degree, BUT imports cheaper which benefited steel/chemical/rearmament which relied heavily on foreign imports
-led to more elite support
-propaganda convinced workforce that revaluing was needed and they should accept wage cuts
-wages fell more than prices, living standards declined for majority BUT didnt lead to widespread hostility
-unemployment trebled 1926-28
-foreign buyers of italian goods saw prices double, textile industry went into depression
-decision to restore lira back to 1922 level raised prestige again with foreign bankers and italians

Question 9

what was the corporate state

Answer 9

-method to run economy where workers and employers would cooperate to maximise production for the benefit of italy
-aimed to eliminates industrial disputes
-M argued it would provide a mid way between capitalism and communism

Question 10

how was the term corporate state used and what did M say it would solve

Answer 10

-a system of labour relations as organisations
-all of fascist economic and social policies together

Would solve:
-disputes between workers and employers
-disputes regarding pay and working conditions
-the need to improve production

Question 11

successes of the corporate state

Answer 11

• Creation of corporate state a major achievement, wanted to promote both worker interests and authority of managers, favoured managers
  
  • Succeeded in creating new jobs for officials, they were appointed new chamber of fasces and had to be fascist party members so interests of workers in the corporations were represented by the PNF
  • They lacked real power as Mussolini made the final decisions
  • Had propaganda value, attracted the worlds attention
  • Industrial elite benefited from lower labour costs and higher profits
  • Middle class enjoyed opportunities provided by expanding bureaucracy
    -Number of civil servants doubled

Question 12

failures of the corporate state

Answer 12

• Had little impact on productivity and morale
  
  • Fascists themselves couldn’t agree on what corporatism truly meant, internal tensions
  • Didn’t improve standard of living for the working classes whose wages declined without the collective bargaining power of the old trade unions
    Favoured managers and not workers

Question 13

what was the palazzo vidoni pact oct 1925

Answer 13

-agreement signed between industrial employers association and fascist trade union federation
-each side recognised right of the other as only negotiator for their respective groups

Question 14

when were other trade unions dissolved

Answer 14

after 1926, fascist unions the only representatives for labour

Question 15

what was the labour and anti strike law

Answer 15

introduced 1926
-lockouts and strikes punished by fines and sometimes imprisonment
-professions in police/civil service/education banned from being members of trade unions

Question 16

who was fascist head of the ministry of corporations

Answer 16

bottai

Question 17

when was national council of corporations set up

Answer 17

1930 - workers couldnt choose their own representatives
-representatives appointed by fascists who tended to side with employers in disputes

Question 18

when were paid national holidays formally introduced for workers

Answer 18

only in 1938

Question 19

what was the corporate state actually used as

Answer 19

propaganda

Question 20

what were successes of the response to depression

Answer 20

• Government provided loans to industrialists and funded public work schemes to provide jobs
  
  • Government did well compared to other countries in europe, was no banking crisis as in USA, unemployment wasn’t as bad as Germany who had 6 mill
  • Helped italy to modernise, many roads built and 5000km of railway electrified
  • Cartels were arranged to limit closures
  • Major banks protected from going bust by propping them up with government money

Question 21

what were failures in the response to depression

Answer 21

• By 1933 unemployment risen to nearly 2 mill
  
  • Longterm effect of cartels caused companies to be less competitive and encourages price fixing

Question 22

by how much was manufacturing down by in 1931-32

Answer 22

14%

Question 23

how much did unemployment rise in depression

Answer 23

300,000 to 1 mill

Question 24

by how much did wheat imports fall in 1925-35

Answer 24

75%

Question 25

by how much was wheat production up in 1922-39

Answer 25

100%

Question 26

effects of battle for the grain

Answer 26

-cereal production doubled 1922-39, BUT as expense of other agriculture -wheat imports fell 75% 1925-35 -italy ALMOST self sufficient in cereals by 1940 BUT NOT IN FERTILISERS -raised cost of grain and bread -decline in quality of italian diet -protection benefited italian grain producers -increased imports of meat/eggs -cereal production fell during war as imported fertilsers restricted (NOT REALLY SUCCESSFUL) -WAS ONLY A PROPAGANDA VICTORY

Question 27

by how much did birth rates decrease

Answer 27

1911 - 147 per 1000 1936 - 112 per 1000 -Battle of the births a failure, BUT M censored the data to appear successful

Question 28

how much railways electrified in 1927-39

Answer 28

1927 - 14% 1939 - 31%

Question 29

what were successes of battle of the births

Answer 29

* Wanted a large population of fascists to fill the ranks of the army * Created a propaganda campaign for the fascist regime with Mussolini stating in 1927 that he wanted to expand the population by 20 mill by 1950 * Financial incentives to expand families were in the form of loans offered to married couples * For each child, a portion of the loan would be paid off Men who had more than 6 children were exempt from taxation, "bachelor" tax given to single men

Question 30

what were failures of battle for the grain

Answer 30

* Farmers in the south encouraged to grow wheat in unsuitable soil conditions, replaced traditional citrus fruits and olives with grain, harvests poor * Nutrition worse as less fruit and vegtables produced * Agricultural exports declined, increased trade imbalance

Question 31

what were successes of battle for the grain

Answer 31

* Aimed to create a strong self sufficient italy, attempted to produce more wheat In italy to prevent the country relying on imports * Farmers guaranteed high prices, offered grants to buy machinery and the fertilisers necessary * Wheat production doubled in 1922 to 1939, didn’t need to rely on grain imports * Was a propaganda victory, was photographed helping the farmers with harvest, censorship ensured nobody knew real statistics, couldn’t challenge official version

Question 32

what was the target population by 1950

Answer 32

60 mill - would not be reached

Question 33

battle for the land successes

Answer 33

* Land reclamation involved draining marshes to create new farmland and living space * Was partly successful, improved public health by reducing waterborne diseases and provided employment * Urban population of italy rose 50%

Question 34

battle for the land failures

Answer 34

* Only a small fraction of the millions of hectares of land that the government boasted had been reclaimed was actually put to agricultural use * Failed to stop the continued population shift away from the countryside and into cities * Ruralisation contradicted other aim of a strong industrial base that could support rearmament

Question 35

overall successes of M's economic policies

Answer 35

-policy of privatisation/reduction of tariffs and lower government spending encouraged economy growth and won support of elite -appeared strong by fixing lira at a higher rate -corporate state gave appearance of overcoming class divisions between capital and labour -lower unemployment and fewer bankrupcies that other states in depression due to government intervention -self sufficient in grain BUT not for long -battle of births gained support of catholic church, land reclamation a propaganda victory -censorship made difficult for italians to question economic triumphs

Question 36

overall failures of M's economic policies

Answer 36

-increased prosperity not spread evenly, living standards declined, trade unions abolished -battle for lira damaged exports as more expensive -corporate system expensive -growth in uncompetitive cartels and rise in spending made worse by abyssinian war and spain, unsustainable debt and higher taxes -failed to be self sufficient in coal/iron -battle for births didnt increase birth rates, land reclamation small scale and ruralisation failed -economic growth rate less than western countries, even liberal italy before ww1 had higher growth, failed to prepare italy for war

Question 37

how much did wheat output increase in 1925-1935

Answer 37

1925 - 5.39 mill tonnes 1935 - 7.27 mill tonnes -covered 75% of grain requirements by 1939

Question 38

how many people settled on reclaimed land

Answer 38

10,000

Question 39

how much did pop. of milan increase in 1921-34

Answer 39

40% - policy of ruralisation insuccessful

Question 40

how many unemployed in early 1930s

Answer 40

1-2 million, 15% of workforce - BUT britain had 22% and germany had 30%

Question 41

how much did output of iron and steel increase by

Answer 41

trebled in 1918-40

Question 42

how much railways electrified

Answer 42

5000 km, hydroelectric power increased --- fascist propaganda used it to say trains ran on time

Question 43

data that shows italy was behind western powers in production of capital goods/war materials

Answer 43

-produced only 1 mill tonnes each of iron and steel compared to 14 mill tonnes of iron and 19 mill tonnes of steel in germany -had to rely on germany, not really self sufficient

Question 44

what was share of world manufacturing output in 1929-1938

Answer 44

1929 - 3.3 % 1938 - 2.9%

Question 45

what labour charter introduced in apr 1927

Answer 45

-paid lip service to employment rights e.g. settlement of disputes, sick pay, paid holidays, insurance -most of them never implemented