Franco’s Regime in Spain: Politics and Economy
Franco’s Regime: A Deep Dive into 20th-Century Spain
Political Landscape of Franco’s Dictatorship
The Franco regime was a dictatorship characterized by opposition to communism and liberal democracy, and the defense of traditionalism in Spain. Franco concentrated all powers (legislative, executive, and judicial). All political parties and trade unions were illegal, except for the official party (FET y de las JONS) and a single union (CNS). Elections were suppressed, and Franco legislated by decree.
The regime aimed to restore a perceived lost unity in Spain by abolishing regional autonomy statutes and suppressing regional languages and cultures. Several “Fundamental Laws” were enacted:
- The Fuero del Trabajo (Labor Charter) outlined the principles of the new labor regime, prohibiting free trade unions and strikes.
- The Ley Constitutiva de las Cortes (Constituent Law of the Courts) created a consultative assembly lacking real legislative power. Its members, called *procuradores*, were not elected by universal suffrage.
- The Fuero de los Españoles (Charter of the Spanish) was a pseudo-declaration of civil rights.
- The Ley de Referéndum (Referendum Law) allowed for popular consultations on certain laws.
- The Ley de Sucesión (Law of Succession) established a monarchy as Franco’s successor.
Support for the Regime
Franco’s support came from several key groups:
- The upper bourgeoisie: Landowners and business bankers had free rein to exercise their economic dominance.
- The military: The victors of the Civil War, they guaranteed the regime’s continuity.
- The Church: Religious marriage was enforced, and divorce was prohibited.
Foreign Relations
Initially, Franco’s regime sided unconditionally with the fascist powers of Germany and Italy. The defeat of fascism in World War II led to a period of international isolation. Later, Spain entered into collaboration agreements with the United States and signed a Concordat with the Vatican.
Economic Challenges and Autarky
The aftermath of the Civil War and the regime’s policies created significant economic hardship. There was a demographic decline due to war casualties and exiles. Industry and the economy had suffered significant damage, and there was a widespread lack of food. Wages were low.
The regime promoted autarky (economic self-sufficiency), exacerbated by international boycotts and isolation. The Instituto Nacional de Industria (INI) was created to develop industry under a protectionist policy. However, this approach proved largely unsuccessful, and the economy grew slowly.
Economic Reorientation and the Technocrats
A shift occurred with the entry of ministers from Opus Dei into the government. These “technocrats” prioritized technical expertise and modernization. They sought to distance the regime from its fascist image and promote economic opening to facilitate closer ties with Europe. The Falange (the original fascist party) gradually lost prominence, replaced by the *Movimiento Nacional* (National Movement), which encompassed all of Franco’s collaborators.
New Laws and “Organic Democracy”
New laws were introduced, including the *Ley de Principios Fundamentales del Movimiento* (Law of Fundamental Principles of the Movement) and the *Ley Orgánica del Estado* (Organic Law of the State). The regime was redefined as an “organic democracy.”
Economic Liberalization and the Stabilization Plan
New governments initiated a process of economic liberalization. The Stabilization Plan was launched to transition from a closed, state-controlled economy to one integrated into the international market, with a greater role for private initiative. The *Planes de Desarrollo* (Development Plans) aimed to promote industrial development and reduce regional imbalances.
Economic Growth and Challenges
- Agriculture was modernized through increased mechanization and diversification.
- The service sector grew, boosted by tourism.
- Foreign trade increased, and exports resumed.
- National income and purchasing power rose.
However, the Spanish economy remained uncompetitive in some areas and was overly concentrated in activities requiring cheap labor.