The war economy and cost of war Flashcards
What did the First World War have a significant effect on?
The First World War had a significant effect on the Italian economy
What was Italy at the beginning of the war?
At the beginning of the war, Italy was behind Austria in nearly all key economic areas crucial for the war
What was steel production less than? What was the Austrian steel production at?
Steel production was less than one million tonnes, while the Austrians were at 2.6 million tonnes
For every 2 machine guns per Italian battalion, how many did the Austrians have?
For every 2 machine guns per Italian battalion, the Austrians had 12
What was Italy short of?
Italy was short of artillery and bullets
What did Italy make improvements over the course of the war on?
Over the course of the war, Italy made quite significant economic improvements
What would it overcome?
It would overcome its deficits
What did Italy’s industry cope with requirements of the First World War the overall?
Overall Italy’’s industry coped effectively with the requirements of the First World War
What did Fiat establish itself as?
Fiat established itself as Europe’s leading truck and lorry manufacturer
How many vehicles did Fiat produce in 1918?
Fiat produced 25K vehicles in 1918
What did Italy create?
Italy had created an aeronautical industry
How many planes were produced in 1918?
The eronautical industry produced 6.5K planes in 1918
How many machine guns had Italy produced by the end of the war?
By the end of the war, Italy had produced around 20K machine guns
How many pieces of artillery had Italy produced by the end of the war?
By the end of the war, Italy had produced 7K pieces of heavy artillery
[End of war, war materials] What was this a greater number than?
This a greater number than the British were able to manufacture
[End of war, war materials] Who was the success driven by?
This success was driven by the under-secretariat of arms and munitions, Alfredo Dallolio
What did Alfredo Dallolio organise? What did he ensure?
Alfredo Dallolio organised the recruitment of women and peasants into the factories and ensured that those men deemed essential to war production were exempt from conscription
[Under Alfredo Dallolio] What was increased? What was made illegal? What could workers face and why?
Hours of work were increased, strikes made illegal and workers could face military tribunals if their behaviour was deemed unsatisfractory
[Under Alfredo Dallolio] How many munition factory employees were women?
A quarter of munitions factory employees were women
[Under Alfredo Dallolio] How many workers were men or were secondment from the army?
1/3 of Italy’s 900K workers in the war economy were either men exempted from military service or om secondment from the army
[Under Alfredo Dallolio] How did the military indutry grow during the war?
The military industry grew substantially during the war
[Under Alfredo Dallolio] What did Fiat increase its workforce from?
Fiat increased its workforce from 6K to 30K
How did Alfredo Dallolio’s ministry finance industrial expansion?
Alfredo Dallolio’s ministry financed industrial expansion by making payments in advance, arranging cheap loans and establishing profitable contracts for big businesses
[Under Alfredo Dallolio] How much government interference was there in industry?
There was little government interference in industry
What did leading indutrialists run?
Leading industrialists ran the central and regional committees for insutrial mobilisation
What did Italy achieve?
Italy achieved rapid growth
What fuelled the industrialist’s expansion?
For the industrialists there was absolutely no risk involved as they were backed up by the state and the banks, which fuelled their expansion
Why was the industrialists being backed up by the state and banks worrying for the long term?
This was worrying for the long term as this growth was based almost entirely on govt investment in war production, which had been paid for by foreign loans and printing more money
While the war continued…
these issues could somewhat be ignored (ndustrialists being backed up by the state and banks)
What would the conclusion of the war bring about?
The conclusion of the war would bring about inevitable inflationary problems
Why was there massive cuts to government spending?
There were massive cuts to govt spending as the country found itself around 23 billion lire in debt (2.9 million before the war)
What was the national debt in June 1919
National debt was 84.9 billion lire in June 1919
How many lire did Italy owe to Britain?
Italy owed 15 billion lire to Britain
How many lire did Italy owe to the USA?
Italy owed 8.5 billion lire to the USA
How did Italy’s economy become unbalanced?
Italy’s economy had become unbalanced with a few war-based sectors such as steel, engineering, vehicles, cement, rubber and chemicals growing at a disproportionate rate compared with other industries
What did Italy’s war economy accentuate?
Italy’s war economy also accentuated one of Italy’s most troubling issues: north-south divide
Where was the majority of war production based?
The majority of war production was based in the north east
What state did the south remain in?
The south remained a predominately impoverished agricultural society
How much did the north’s economy grow by between 1911 and 1921 due to the war?
The war saw north’s economy by over 20% between 1911 and 1921
What would be a major challenge for Italy’s politicians after the war?
The bitterness of the south that it was being ignored and left behind as the north progressed would be a major challenge to policians after the war
Who was there resentment and unrest among?
There was also resentment and unrest among the industrial workers in the north
What was being rationed by 1917?
By 1917, bread and pasta were being rationed
Consumption of what was falling sharply by 1917?
By 1917, meat and sugar consumption was falling sharply
What fuelled work anger? Why (particularly)?
Long hours and a fall in wages of around 25% at a time when the industrialists were making vast profits fulled worker anger; particularly as the majoirty didn’t support the war
What did the government increase? Why?
The government increased indirect taxes to pay for war effort
What did the indirect taxes to pay for war effort lead to? Why?
This in turn led to greater social division, as the poorer in society felt that these affected them more greatly than the rich
What happened in August 1917?
In August 1917, 50 workers were killed protesting in Turin against bread shortages and the continuation of the war
Why did this protest/riot shock politicians?
The riots shocked politicians who made steps to increase food supplies and pro-war propaganda
