"Little more than a show and a sham" Discuss this view of Mussolini's economic policies.

The most successful of these battles was the battle for grain. The aim of this policy was to increase cereal production so that in event of war Italy would not have to rely on imports of food. This was part of Mussolini's policy of Autarky (self-sufficiency). Money was given to peasants so that they could invest in modern ways of farming and encourage them to grow grain instead of other products. This policy was a success in that by 1940 Italy was almost self-sufficient in this area. However, this was at the expense of the Italian people's diet. Importantly, it also resulted in the production of products such as olives and grapes declining. These products were exported to other countries and gave Italy a lot of money. The battle for grain can also been seen as a show. There are memorable pictures of a bare chest Mussolini helping present farmers take in the years harvest. Overall, the battle for grain was not a complete sham but was a show.

Mussolini was the pioneer of what he saw as the 'third way' between capitalism and communism. This was the corporative state, and its aim was to reconcile workers and employers and unite Italian's to produce for the nation. This third way would organise the economy into corporation in which both employers and workers would be represented. Businesses would not be owned by the state, like they would be in a communist state, and they would not be completely free, like they would be in a true capitalist state. Instead they would be left in private hands but would be regulated by corporations in order to ensure that production was directed in the national interest. Townley describes this third way as a 'mirage', meaning that it did not settle class disputes, it did not protect workers and it did not encourage businesses to act in Italy's interests. This idea can be backed up because, whilst the employers represented themselves in the corporation system; it was fascist party officials who represented workers. Also, big businesses found ways to not be restricted by the system, so they did not have to act in the county's interests. Because of this it can be said that Mussolini's third-way was largely a show that didn't really have any real and tangible benefits for Italy or its people.

The only economic policy that can be called a comprehensive success was Mussolini's handling of the worldwide depression of 1929 and the early 1930s. The main problem that this depression caused in Europe was mass unemployment. In this area the figures speak for themselves. Whilst in 1932, Germany had 6 million unemployed and the UK had 3 million unemployed, Fascist Italy had just 1 million unemployed. Likewise, Italy gross nation production (GNP) was less hard hit than that of other Western European countries. The reason behind this relative success was that, unlike the Liberal European countries (like pre Nazi Germany and the UK) that interfered less with the economy, the government in Italy did not sign up to the doctrine of laissez faire (let it be economics). The fascist government's policy during this time included funding public work schemes (such as road building) to stop unemployment as well as setting up the IMI and IRI to rescue the banking system. These bodies rescued banks that were facing collapse when their long-term loans to industries could not be repaid to them. The government's actions to survive the great depression mean that not all of Mussolini's economic policies were a show and a sham.

In conclusion, Mussolini's economic policies were essentially a show and a sham engineered to ensure the regime's support. The battle for land produced few results but was billed as success on an international level. The battle for lira made the country look strong whilst it actually weakened it and resulted in wage cuts. The corporative state did little for the countries workers and was not effective at helping the nations interests. Despite these failures there were two successes. The main one is the government's dealing with the worldwide depression. Their intervention prevented the levels of mass unemployment and recession that were seen in other Western European countries. To a lesser extent, the battle for grain was a success as by 1940 the country was almost self sufficient in this area. Even with these two successes it must be remembered that the countries national debt before the war was over 150 billion lire. With this taken into account it is reasonable to say that Mussolini's economic policies were a show and a sham.

History (NAJ)

Fascist Economy Essay

3/7/07 Russell Wright 1