Spain’s Economic Miracle and Franco’s Regime: Growth, Opposition, and Decline
Tourism and the “Spanish Economic Miracle”
Tourism boomed on the Mediterranean coast, stimulating the service sector. The result of sector development plans was the so-called “Spanish Economic Miracle.” Global economic conditions and foreign capital, especially from the U.S., were crucial to this “miracle.” Migrant remittances also contributed capital to finance growth in the 1970s, maintain high wages, and reduce social conflict.
Increased purchasing power fueled domestic demand, driving economic development. However, this growth faced challenges:
- Regional imbalances
- The Spanish economy’s heavy reliance on foreign conditions, particularly oil
- The absence of tax reform to address social costs
- A lamentable lack of public goods and social services
- Private banks’ control of the economy and the concentration of economic power in the hands of a new financial elite
Economic development fostered greater social consensus for the regime among the middle and working classes.
The Oil Crisis and Political Opposition
The 1973 oil crisis shifted the international situation, causing an economic downturn that severely impacted Spain due to its dependence on oil.
Political Opposition during the Second Franco Era (1959-1975)
From the 1960s, social and political opposition grew, diversifying and organizing more effectively.
Internal Opposition:
- Resurgence of nationalism: In 1959, a PNV youth group formed ETA, a radical nationalist organization. From 1964, ETA chose terrorism to pursue Basque independence. The 1970 Burgos trial followed a series of attacks, intensifying the fight against ETA. Catalan nationalism resurged more quietly.
- Increased labor disputes from 1961. Workers’ demands shifted from labor issues to political denunciation. Numerous strikes occurred in industrial sectors. Strikes became commonplace by 1967, incorporating political content due to the system’s lack of participation channels.
- Student movements emerged in universities, opposing SEU’s power and demanding democracy. Key consequences included the expulsion of supportive lecturers in 1965 and the 1969 “state of exception.” From 1972, the NNP’s influence led to a 1975 strike. University opposition radicalized, moving away from parties like PSOE and PCE towards left-wing organizations.
- The Catholic Church distanced itself from the regime. Catholic hierarchy statements against Franco proliferated. The 1971 Joint Assembly of Bishops and Priests called for a Concordat review, marking a break with the regime and enabling the transition from nacionalcatolicismo to democracy.
- Organized and renewed political opposition, led by the PCE and its “Eurocommunism.” They promoted student, trade union, citizen, and neighborhood movements. This opposition manifested in 1962 when liberal right representatives met in Munich, urging against Spain’s admission to international bodies until democracy was established. The Francoist press condemned this as the Munich conspiracy.
- Political terrorism increased, including left-wing groups like FRAP and STAPLES alongside ETA. Terrorism targeted a regime resistant to evolution. The regime responded with repression: the Political-Social Brigade used torture, and opponents were tried by the 1963 Court of Public Order (TOP). Courts-martial and executions caused international scandals, fueling anti-Franco propaganda.
- The extreme right provoked constant attacks, pressuring the regime against concessions to the opposition.
Franco’s Final Years
ETA assassinated Carrero Blanco in Madrid, a major blow to the aging Franco. Franco’s final years were marked by conflict:
- The confrontation with the Church escalated. When Añoveros faced expulsion, the Vatican warned of Concordat termination and excommunication.
- In September 1975, five ETA and FRAP militants were executed after a military trial, sparking international protests.
Castilla La Mancha Under the Dictatorship
After Franco’s forces entered Madrid in March 1939, the central fronts collapsed, and republican areas were occupied. The war was marked by revenge, severe repression, fear, misery, hunger, discipline, endurance, and increased influence of anti-Republicans.
The Directorate General of Devastated Regions reconstructed about 150 towns, mostly in Toledo and Guadalajara. Castilla-La Mancha was a depressed agricultural and livestock area. The 1940s were a lost decade for growth, causing a massive migration flow to urban and industrial centers in Spain and abroad until the 1970s.