Mussolinis economy Flashcards
Who was his first minister of economics ?
De Stefani
When was the IRI established?
1933
What percentage of iron production was bought in shares by the IRI?
70%
How did Mussolini try to combat high unemployment levels?
Public work schemes were introduced- built motorways, and hydroelectric power dams
What did the IMI protect?
Banks
Why was Mussolini’s response to the Great Depression partly unsuccessful?
Small businesses were allowed to collapse
How many people were unemployed in Italy by 1933?
2 million
Why did the Italian economy suffer after 1929?
Italy had relied on loans from the USA, however after the Wall Street Crash in 1929 loans were withdrawn and Italy (like much of Europe) fell into recession
who replaced De Stefani?
Count Volpi.
What did De Stefani do?
He lowered taxes and reduced state intervention in business.
Why was Count Volpi chosen as the new finance minister?
Because unlike De Stefani he was a member of the fascist party.
By 1925 what industry became state-owned?
Telecommunication industry.
Why was it important to reform the economy?
South needed economic support. Italy was economically reliant on others.
What was Mussolini’s reason for replacing De Stefani?
Needed to prepare for the introduction of the corporate state.
Why was inheritance not taxed?
Mussolini wanted to keep the support of the rich landowning classes.
Did Mussolini’s policies lead to change?
No, kept power with those who already had it.
What is one of the main weaknesses of the corporate state?
Corrupt officials/ Workers couldn’t choose their own union/ Limiting works rights/ Eliminating workers rights,
In what year were strikes and lockouts prohibited?
1926
When were independent trade unions banned?
1925/1926
What was the name of the Finance Minister that Mussolini appointed to help balance the nations budget?
Alberto de Stefani
What year was Stefani dismissed?
1925
Who then replaced Stefani as finance minister in 1925?
Count Giuseppe Volpi
Why did Mussolini believe that banning strikes would be a good idea ?
He believed it would bring industrial peace and bring an end to class warfare.
What is one of the four things that should have come of the ‘3rd way’?
- National interest advanced,
- Economy prospers,
- Ends class division,
- Problems solved by negotiation, not struggle.
What does autarky mean?
National self-sufficiency, allowing Italy to become superior to, and independent of, other nations.
When was the High Corporation of Autarky formed?
1937
What two nations imposed sanctions on Italy over the Italian invasion of Abyssinia?
Britain and France
What year did Italy invade Abyssinia?
1935
What percentage of shipbuilding did the government own?
80%
Name something that Italy couldn’t import when sanctions were in place in the 1930s
Textiles, grain, or steel
How much of Italian domestic production made up its raw material needs in 1939?
1/5
When was the lira devalued for the second time?
1936
Was Mussolini an economist?
No, but he was a realist when it came to his abilities. Because of this he appointed De Stefani
By what % did imports decline between 1925 and 1935?
75%
What was one of the largest benefits of the Battle for the lira?
It increased productivity in industry dependent on imports. E.g steel and chemical
What triggered the EOAs move towards welfare?
The depression in 1931
Who were the successful ones in economic depression?
Latifundia and the government as they prospered from shares from larger businesses
What was seen as, arguably, more important than international trade for the prestige of Mussolini’s economic policies?
Internal markets
