The Rise of Totalitarianism: The Roaring Twenties, the Great Depression, and the Rise of Fascism and Nazism

1. The Roaring Twenties

The 1920s was a period of economic prosperity that began in the United States and spread to other Western countries. The American lifestyle became a cultural model.

A Consumer Society

Mass Production

Mass production is the large-scale manufacture of standardized products.

New and cheaper raw materials: wood was in short supply, cheaper and lighter synthetic substitutes like plastic and rayon were invented.

Mass Consumption

More consumer goods became available to the middle classes.

  • New consumer habits: access to consumer credit and home mortgages.

New products and industries:

  • Cars became affordable and popular.
  • There was a boom in housing construction.
  • In urban homes, electricity made it possible to have household appliances. Use of the telephone also spread.

2. Political and Social Challenges in the 1920s

American Policy in the 1920s

US Foreign Policy

The US reaffirmed its hegemony over what it saw as its sphere of influence: Latin America and the Pacific. In the latter region, the US came into conflict with Japan, which had a much stronger navy.

US Domestic Policy

The Immigration Act of 1924 established quotas based on national origin. It restricted the entry of people from Europe and completely excluded immigrants from Asia.

The Cultural Civil War

Prohibition: In 1920, the manufacture, sale, and transport of alcohol were banned.

3. The End of the Boom Years

The stock market collapsed in 1929. This led to a 10-year economic crisis that affected all Western industrialized countries: the Great Depression.

The Wall Street Crash

In October 1929, the American stock market, located on Wall Street, crashed.

  • On October 24th, “Black Thursday”, panic broke out on Wall Street. Investors began to sell their shares to recover as much capital as possible. Millions of dollars were lost in just a few hours.
  • Panic and chaos returned the following week. On October 29th, “Black Tuesday”, share prices collapsed completely. Thousands of people faced financial ruin.

Before the Crash: Economic Weaknesses

  • Unequal distribution of wealth: The rich grew richer and big corporations increased their profits. At the same time, wages remained the same for the poor and working class.
  • Weak banking system
  • Overproduction and underconsumption: There were too many consumer goods being made (overproduction) and not enough people able to purchase them (underconsumption).
  • Stock market speculation: The 1920s saw a steady rise in stock prices. This created an atmosphere of euphoria and exaggerated expectations of future earnings. Businesses and individuals began putting their money into stocks, some borrowing money to invest. This is known as an economic or financial “bubble”.
  • Agricultural overproduction: America’s farmers had increased food production to supply its allies in Europe during World War I. When the war ended, demand decreased, but production remained high, causing a drop in prices.
  • Consumer debt: The middle classes dreamed of the lifestyles they saw in films and adverts, which they couldn’t really afford. Consumption was encouraged by access to easy credit.

After the Crash: Economic Decline

  • Financial losses: In just one day, individuals and businesses lost billions of dollars in wealth and capital.
  • Banking crisis
  • Credit crisis: Businesses had more difficulty obtaining credit.
  • Decline in demand: People could no longer afford to spend money and stopped buying consumer products.
  • Production slowdown
  • Mass unemployment
  • Global depression: The world economy was interconnected. The US had lent huge sums of money to European countries. They suddenly recalled those loans. This had a devastating impact on the European economy.

4. The Rise of Totalitarianism: Nazism

Ideology

The Nazi Party made their ideas appeal to as many people as possible. Adolf Hitler was the leader of the Nazi Party.

  • The Aryan race: They believed that the Aryan race was superior to all other races. They blamed the Jews (anti-Semitism) for the problems in Germany.
  • German unification: They wanted all German-speaking people to live in a single country.
  • Living space: They supported the need for Germany to expand its territories.
  • Autarky: They advocated an economically self-sufficient Germany.
  • Socialist policies: They promised increasing pensions and reducing the levels of unemployment.
  • Anti-Communism
  • Führer: They believed that a leader with absolute power was needed.

Previous Situation: The Weimar Republic (1918-1933)

When the empires fell apart after World War I, the majority of the states formed were democratic republics. The most representative post-war democracy was Germany, during what is known as the Weimar Republic.

Opposition

Left-Wing Opposition

The Communist Party of Germany had emerged from the Marxist Spartacus League under the leadership of Rosa Luxemburg.

Right-Wing Opposition

Right-wing nationalists opposed any democratic system.

Crisis of 1923

In 1923, the Weimar Republic nearly collapsed due to an economic crisis together with political unrest.

Economic Crisis and Hyperinflation

When Germany failed to pay for its war reparations payments, French and Belgian troops occupied the Ruhr.

The Beer Hall Putsch

On November 8, 1923, Austrian agitator Adolf Hitler staged a failed coup d’etat in Munich. This takeover attempt is known as the Beer Hall Putsch. His Nazi Party was banned and he was imprisoned.

Rise to Power

Hitler’s Rise to Power (1932-1933)

The Weimar Constitution contained a weakness: Article 48. This article allowed the President of the Republic to declare a state of emergency and to temporarily rule as a dictator. It was used by Hitler.

  • Federal elections (1932): The Nazi Party did not get the majority and failed to form a government. President Hindenburg had to use Article 48.
  • Hitler becomes chancellor (1933): President Hindenburg appoints Hitler as chancellor, thinking he will be able control the Nazis. Hitler will use his position to make himself the absolute ruler.

Consolidation of Power

Hitler’s Consolidation of Power (1933-1934)

  • The Reichstag Fire Decree (February 1933): The Reichstag building is set on fire. A Dutch communist is accused of the attack. The Nazis get President Hindenburg to use Article 48 and sign a decree to protect the state from the communist threat. This suppresses many key constitutional liberties.
  • New federal elections (March 5, 1933): Campaign of violence and intimidation against any opponents.
  • The Gestapo is formed (1933): The Nazi Secret Police is set up. The Nazi Protection Squadrons (SS).
  • Trade unions are abolished (1933).
  • Political parties are banned (1933): Only the Nazi Party is allowed to exist.
  • The Night of the Long Knives (June 30, 1934): Hitler purges the Storm Troopers (SA). The Nazi Party takes advantage to eliminate other political enemies.
  • Hitler becomes the Führer of the Third Reich (August 19, 1934): After the death of elderly Hindenburg, Hitler declares himself president, chancellor and head of the army.

5. The Rise of Totalitarianism: Fascism

Authoritarianism

  • Supremacy of the state
  • Propaganda is used to gain people’s allegiance.
  • Violence is accepted as a way to impose the state’s authority.
  • One-party state: the state identifies with the party and the party with its leader.

Ultra-Nationalism

  • Imperialism and militarism: an aggressive foreign policy of territorial expansion.
  • Racism and xenophobia: under many fascist regimes, the nation is defined based on race.

Economic Control

  • Autarky: the main goal is to achieve national self-sufficiency.

The Rise of Fascism in Italy

Disappointment in post-war Italy with the territory it had received. Italian fascist leader Benito Mussolini ruled in Italy from 1922 to 1943.

  • 1919: Benito Mussolini founds the fascist political movement in Milan. To fight their political opponents, the fascists recruit ex-soldiers to form paramilitary squads, the Blackshirts.
  • 1921: National Fascist Party (PNF), leader Benito Mussolini is elected to the Chamber of Deputies.
  • 1922: The PNF stages the March on Rome, an armed demonstration of force. Its aim is to present Mussolini as the only leader capable of establishing order. King Victor Emmanuel III invites Mussolini to form a government.
  • 1925: Through electoral manipulation and intimidation, Mussolini consolidates power in the 1924. In early 1925, Mussolini establishes a dictatorship. He takes the title Il Duce.

Definitions

:

-II duce: when mussolini established a dictatorship in 1925 he took the title II duce ( supreme leader)

– Blackshirts: ex soldiers which form parlamilitary squads

-Nationak fascist party: leader benito mussoliini- elected to the chamber of diputies

-march on rome; an armed demonstration of the force, which aim is present mussolini as the leader capable of establishing order.