Francoism in Spain: Politics, Economy, and Society Until 1959

Francoism: Political, Economic, and Social Aspects Until 1959

The Rise of a New State

Following the victory in the Civil War, a new state was preferentially established on the 18th of July, defending the interests of the dominant classes and a conception of order against perceived threats like social chaos, communism, and anti-Catholicism. The state, under a single command, concentrated all power in a military dictatorship, led by Francisco Franco. This dictatorship strongly opposed the ideals of the Second Republic, suppressing communism and socialism. It was a centralized state, inspired by the teachings of the Catholic Church (Catholic nationalism and national syndicalism).

Supporting Forces

Francoism was supported by several key groups:

  • The Army: Occupied key positions in government and administration.
  • The Church: Identified with the new regime.
  • The Falange: The single party that controlled fuel and provided ideological support.
  • Landowners, Industrialists, Financiers, and the Catholic Peasantry.

The 1940s: Consolidation of Power

During the 1940s, Franco’s political and military power was enormous, further increased in 1939 when the government was granted legislative power. A Falangist program with a fascist framework predominated. The Falange controlled the media and the press. They intended to institutionalize the regime through an organic draft. However, the Falange began to lose influence following incidents like the Begoña bombing, where two grenades were thrown at Carlists, who also provided financial support during the Second World War.

Complex Laws and the Regime’s Needs

Complex laws were created to meet the needs of the regime:

  • National Syndicalism: A form of vertical unionism that aimed to replace Marxist and capitalist ideologies, articulating labor relations and organizing the new state’s economy.
  • The Law of the Cortes: Established the Cortes as a corporative chamber, not directly elected.
  • The Fuero of the Spanish: Intended to emulate democratic constitutions, but rights were limited and lacked guarantees.
  • The National Referendum Law: Allowed the Head of State to submit law projects to a referendum.
  • The Law of Succession: Established Franco as Head of State and defined Spain as a Catholic, social, and representative state. It also created a Regency Council. The Cortes could propose a successor, who had to swear to uphold the fundamental laws. The hereditary line was broken with Don Juan de Borbón, who was passed over in favor of Juan Carlos, educated in Spain since 1948. The monarchy was not a constitutional change; it remained a dictatorship.

Neutrality and Non-Belligerence in World War II

Initially, during the early stages of World War II, Francoism leaned towards neutrality, later shifting to non-belligerence. A Spanish-German treaty was signed, and Spain collaborated with the Axis powers by supplying submarines with food, tungsten, etc. On October 23, 1940, Franco and Hitler met, signing a protocol for Spain to enter the war, with the return of Gibraltar from England, and sending the Blue Division against the Soviets. After the Allied landings in North Africa, Spain rectified its position due to pressure from the US and Great Britain, returning to neutrality.

International Isolation

There were abundant international campaigns against Franco’s Spain from leftist parties. In Potsdam, the Soviet Union, the US, and Great Britain rejected Spain’s intention to join the UN. France closed the Pyrenean border in 1946, and the UN recommended the withdrawal of ambassadors. Spanish diplomacy sought understanding from the Arab world and Ibero-American countries, as well as from Catholic and conservative sectors in Europe and the USA.

Economic Policy: Autarky

The economic policy of the 1940s was characterized by autarky. After the Civil War and until the mid-1950s, an autarkic model was implemented, aiming to make Spain an entirely self-sufficient nation. The state intervened heavily in economic life, adopting a protectionist economic nationalism of a corporative capitalist type. Foreign trade was subjected to state control through the granting of administrative licenses to importers. International payments were regulated by the Spanish Institute of Foreign Currency. Imports were centered on essential goods.