Booklet 6: The Fascist Economy

Question 1

Alberto de Stefani

Answer 1

Appointed minister of finance in 1922
Supported free trade and Laissez faire economics
Removed in 1925 when Mussolini became more interested in transforming Italys economy

Question 2

Early economic policies 1922-1925

Answer 2

Focused on reducing gov spending
Privatised the telephone sector
De regulated the economy and cut protective tariffs

Question 3

Consequences of early economic policies

Answer 3

Manufacturing production increased
Budget surplus
Inflation

Question 4

Shift towards fascist economics

Answer 4

Volpi appointed finance minister and economic policies became dominated by Mussolini and fascists
Mussolini wanted to achieve economic independence

Question 5

Battle for Lira 1926

Answer 5

1926 150 lira to 1 bp
Mussolini viewed strength of lira as strength of Italy
Declared 19 to dollar, 92.46 to bp

Question 6

Consequences for battle for lira

Answer 6

Cuts to workers wages
Massive price reductions
First policy that represented Mussolini’s power and strength

Question 7

How does Mussolini justify the battle for lira

Answer 7

Makes it sound like a patriotic battle to save their currency, strong lira means strong Italy

Question 8

Palazzo vidoni pact 1925

Answer 8

Confinductria and fascist trade unions
Take bargaining power and trade unions away from socialists, Catholics
Win for industrialists

Question 9

Rocco law 1926

Answer 9

Banned strikes
Failed to balance industrial Italians and fascist syndicalists

Question 10

Ministry of corporations 1926

Answer 10

Working together of employers and workers
Meant to create Harmonious economic order

Question 11

Charter of labour 1927

Answer 11

Bottai Ensure workers rights
Reduce fascist syndicalists power

Question 12

Rossoni syndicalists 1928

Answer 12

Rossoni dismissed
Syndicalists split into 6 groups
Represented by 6 employers confederations

Question 13

National council of corporations 1930

Answer 13

Consultive body
Employers and workers organisations
Representing 7 sectors of the economy

Question 14

Mixed corporations 1934

Answer 14

Representing 22 major economic sectors
Fixed price of goods, rates of service
Increase production of economy

Question 15

Results of corporate state

Answer 15

All essentials propaganda
Mussolini had all the power
Jobs provided for fascists

Question 16

Results of corporate state for workers

Answer 16

Workers never allowed to vote for representatives
No arguments about wages
Didn’t benefit at all

Question 17

Results of corporate state for industrialists

Answer 17

Gained more power over workers
No strikes or debates about pay from workers
Mostly ignored the corporations

Question 18

Results of corporate state for fascists

Answer 18

Provided jobs
Propaganda for Mussolini
Centralised power to Mussolini

Question 19

Primary achievement from corporate state

Answer 19

Viewed as powerful overseas, people acclaimed his economic system

Question 20

Response to businesses going under

Answer 20

Workers wages cut by 12% in 1930
Encouraged price fixings and cartelisation
Mergers insured employment rates stayed stable

Question 21

Response to unemployment

Answer 21

Increased to over 1 million
Employment provided through large work schemes such as road building, electrification of railways

Question 22

IMI

Answer 22

Ensured that major banks were protected from collapse
provided credit to banks

Question 23

IRI

Answer 23

Government bought up shares in banking, industry and commerce
Help protect companies
Once companies were healthy they sold shares back to private ownership

Question 24

IFE

Answer 24

regulate foreign exchange and currency trading
Trying to maintain the value of the Lira

Question 25

Why did Mussolini want an autarky

Answer 25

Decline in Italian trade due to depression and lira value Sanctions had been placed on Italy after militaristic actions in Africa Preparation for war

Question 26

Autarky trade

Answer 26

Value of imports matched value of exports Minimise and control imports

Question 27

Autarky economic

Answer 27

Through IRI the gov took over private firms for national defence Predominantly iron and steel companies, improved self sufficiency

Question 28

Autarky agriculture

Answer 28

Cereals, wool, raw materials stockpiled Boost stocks

Question 29

Autarky result

Answer 29

Gov spending doubled to 60billion in 1938 Debatable success

Question 30

Battle for births goal 1927

Answer 30

Increase size of families, population of 60mil by 1950s

Question 31

Battle for births policies

Answer 31

Closer relationship with Catholic Church (family values) Tax reductions and loans provided to families with large numbers of children

Question 32

Battle for births results

Answer 32

All forms of birth control banned Birth rate continued to decline Marriage rates fell

Question 33

Battle for grain 1925

Answer 33

Aimed to make Italy self sufficient in grain

Question 34

Battle for grain policies

Answer 34

Wheat growing competitions were held Huge propaganda campaign to free Italy from the slavery of foreign grain

Question 35

Battle for grain result

Answer 35

Largely self-sufficient wheat production by mid 1930s Grain production rose by 50% Cattle and sheep farming reduced

Question 36

Battle for land/marshes goal

Answer 36

Increase land available Provide more jobs Improve health

Question 37

Battle for land/marshes policies

Answer 37

Marsh draining projects Irrigation, road building, house building Empty cities campaign

Question 38

Battle for land/marshes result

Answer 38

Healthcare increased Malaria decreased 80,000 m2 land claimed No boost in wheat production