Economic Policies: The Depression & Autarky Flashcards
What caused the Great Depression of the 1930s?
Wall Street Crash, 1929
What two things were set up to combat the depression?
IRI, government bought shares in banking and industry so they didn’t go bust, IMI policy, gave credit to banks so they didn’t collapse
How did policies relating to workers change during the depression?
Workers wages cut by 12%, welfare increased, public work schemes introduced, e.g. road building, 5000km of railways electrified
How did policies surrounding businesses change during the depression?
Mergers became common, sometimes were compulsory meaning fewer businesses closed, Italian industries became state owned (shares bought), provided education on management techniques
What is Autarky and why did Mussolini aim to achieve this?
Self-sufficiency, wanted to make Italy great again, be ready for war and to justify expansion (Spatio Vitale)
What measures were taken in order to achieve Autarky?
Government assistance in new products e.g. rayon for cotton, searched for natural resources and new energy sources, set up High Commission on Autarky in 1937
Were the aims of Autarky achieved?
1940, met only 1/5 of industrial needs, battle for grain cut wheat imports, prices increased, basic raw materials became expensive (coal was 3x the price of Britain)
What was the Battle for Births?
Mussolini tried to increase the population from 37 million to 60 million in 30 years in order to produce soldiers and make Italy great again
How did Mussolini try to achieve the Battle for Births?
Propaganda, better healthcare, marriage loans given to couples which were cancelled if the woman had 4 children, no income tax for those with 10+ children, increased tax on single households, divorce and abortion illegal
What was the outcome of the Battle of Births?
Birth rate continued to decline, only rose from 45 million in 1940 to 47.5 million in 1950 (short of target), marriage rate fell and women continued to work
What was the Battle for Grain?
Aimed to make Italy self sufficient in grain and boost cereal production, reduce balance of trade deficit and show Italy as a major power
What measures were put in place to achieve the Battle for Grain?
High tariffs on imported grain, new marginal land used, grants given to farmers to buy machinery and fertilizer
What were the results of the Battle for Grain?
Wheat imports fell by 75%, almost self sufficient in cereal by 1940, however cost of bread and grain rose in Italy, decline in quality of diet
Why did Mussolini create new agricultural policies?
To show a dynamic government in action, reclaim land for cereal production, create jobs and improve health by reducing malaria
What new agricultural policies were put in place?
Laws passed (1923, 28, 33) on reclamation on land, drainage schemes which landowners were encouraged to co-operate with, tariffs introduced
