The Dream of Italy: Class and Political Conflict, 1920-1935
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I Grande Duci: (l-r) Generals Rodolfo Graziani and Armando Diaz
Although it was a member of the Entente in 1918-19, the casual observer of Italian politics in the immediate postwar period could well be forgiven for thinking the opposite. Even though its contents has become a matter of almost comical historiographical dispute since Italy attacked Austria*, the widespread feeling in Italy was that the terms of the Paris Treaty were a poor reward for nearly 20,000 dead and over 50,000 wounded. Furthermore, although wartime orders had created the conditions for a small economic boom in 1913-17, including much-needed expansion and modernisation to Italian industry, these conditions rapidly disappeared following the Italian entry into the war and Italy was badly hit by the postwar slump. This created the conditions for what came to be called the ‘Red Biennium’ of social, political and economic chaos in the aftermath of the Paris Treaty.
A particular cause of grievance was the status of the Austrian Littoral. An area with a substantial Italian-speaking population, many in Italy believed that it rightly belonged to an expanded Italy and at least one version of the London Agreement promised it to them. However, the vast majority of the peninsula had been awarded to Serbia at Paris, while Austria retained control of the rest (including the ideologically and strategically vital port of Trieste). In May 1919, an army of approximately 25,000 Italian soldiers occupied the entire Littoral and, in brazen defiance of the Paris Treaty, declared it to be an Italian province. Coming only a month after the signing of the treaty, neither Austrian or Serbian soldiers or administrators were in any position to oppose this move and within three months the Italian military had set up what at the time passed for a coherent provincial government.
Major General Emilio De Bono was appointed governor of the province and artists, notably Filippo Marinetti and Gabriele D’Annunzio, flocked to Trieste (renamed Trentino) to celebrate what they saw as the next stage of the Risorgimento. Ethnic Italians paraded through the cities of the province, prominently waving pictures of Victor Emmanuel and Marshal Armando Diaz, the hugely popular victor of the war. What the role of these two individuals was in the occupation remains a matter of dispute. While Victor Emmanuel almost certainly knew nothing about the invasion beforehand, Diaz’s role remains more complicated. Throughout the whole crisis, he was careful to remain studiously quiet on the issue and did not leave his headquarters in Venice (where he had been since the Armistice). On the other hand, moving an army of this size and Do Bono’s bold actions seem inconceivable without Diaz’s tacit support at least.
Whatever the original plans of the plotters, it soon became clear that the rest of the Entente weren’t going to just accept the occupation as a fait accompli. In August 1919, a squadron from the Royal Navy’s Mediterranean Fleet (consisting of one seaplane carrier, three battleships and six cruisers) sailed into the Adriatic with the intention of blockading the occupied territory and enforcing the Paris Treaty (a backdated League of Nations order mandating the operation hastily appeared later that month). For a brief moment it looked as if the King would order the Regina Marina to put to sea to confront the sortie but they backed down at the last moment. With British ships sitting off Trentino harbour, the occupying government quickly turned their minds to negotiation. In November 1919, a compromise Treaty of Trieste was reached between the occupiers and the Italian, Serbian and Austrian governments, creating the Free State of Istria, an independent country under the notional tripartite sovereignty of Italy, Serbia and Austria.
Although the solution to the Istrian Crisis was hardly a disaster for Italy (they had avoided war with Britain (the threat of which was very real in August) and gained at least a potential satellite), it was perceived at home as a complete humiliation. Governments headed by Vittorio Orlando and Giovanni Giolitti failed to get a grip of Italy’s recurrent crises and when, in January 1920, Diaz marched his army on Rome, the public flocked to his side and the dictatorial government he set up had enormous popular support. However, Diaz proved to be a somewhat naive political operator and he failed to get to grips with the numerous structural problems built into the Italian state since the 1860s. For example, an attempt to abolish elected local governments and replace them with appointed military governors ran aground on the rocks of regional cronyism and was abandoned without being implemented. Frustrated by his lack of progress and general political infighting (even within the ranks of the army), Diaz resigned in 1924 and went into retirement.
Giolitti returned to government after Diaz’s retirement but he proved unable to produce meaningful reform. In September 1925, amidst a background of repeated general strikes and communist and anarchist agitation, Gabriele D’Annunzio lead a coalition of his National Fascist Party and demobilised members of the army (about 3,000 men in total) on a march on Rome, demanding to be appointed President of the Council. Victor Emmanuel asked Diaz to return to government once more but, when Diaz refused the call, capitulated to D’Annunzio’s demands on the condition that Giolitti and members of the Liberal Union be retained in cabinet. D’Annunzio promised a revolution in Italian government but this ran aground on the same problems that had derailed previous reform attempts, something not helped by his quixotic and whimsical personality. A new constitution promulgated in 1926 went some way towards establishing a corporatist state, pacifying (for the time being) the syndicalist and revolutionary trades unionist movement. However, underlying corruption and conflict persisted, as did the hostility of conservative forces. Despite all of this, D’Annunzio remained a personally popular figure and stayed in power for over seven years. .
The Italian manufacturing sector was badly hit by the Great Depression. In order to prevent strategically vital industries like Fiat from disappearing overnight, the government pressured the banking industry into organising an enormous bailout, which provided some relief. But, when it emerged that the assets used to fund the bailout were largely worthless, this precipitated the spread of the crisis to the heart of the Italian banking system. D’Annunzio was forced out in December 1932 as a result. Guido Jung, a non-partisan but fascist-sympathising banker and former soldier, was appointed in his stead to head a government tasked with solving the dual crises of industry and banking. Jung’s government set up the Industrial Reconstruction Institute (“IRI”) in January 1933, which effectively brought the entirety of the Italian banking sector into government hands. In elections of September 1933, however, Jung’s coalition lost its majority and Costanzo Ciano became President at the head of a Fascist-Liberal Union coalition. Ciano’s government lasted eight months without accomplishing much (although it did undertake a number of naval reforms and modernisations, Ciano’s area of special interest) before losing power in elections in May 1934.
In these elections, leftist parties of a number of stripes achieved a majority. Victor Emmanuel interpreted this as a vote of no confidence in the monarchy and appointed the republican Giacomo Matteotti as head of government before abdicating the following day and going off to exile. Why he did this is a bit obscure, given that it is not clear that republicanism or anti-monarchism was all that big a driver of support for leftist parties: in the circumstances it is likely that he, a shy and diffident man, was simply sick of government affairs. This move immediately created the conditions for another crisis. Although Matteotti attempted to be a conciliatory figure, his socialist-communist-anarchist coalition was immediately boycotted by elites across the country, who turned to the only institution that retained their confidence: the military.
Six weeks after Matteotti became head of government, Rodolfo Graziani (the Governor General of Libya, responsible for a truly brutal repression of rebels in 1930-34) announced his opposition to the government. In a well organised coup (suggesting that the military, or at least Graziani, had been contemplating this for some time) the army and navy seized control of Italy’s main urban centres, ports and transport links. The government was caught completely unprepared and Matteotti was captured and murdered. Over the course of the rest of 1934, Graziani’s regime reconstituted Italy as the corporatist and dictatorial ‘Italian Social Republic’ with himself as ‘Duce’. This was accompanied by the banning of all parties other than the National Fascist Party (which was effectively merged with the army) and a series of extraordinary repressions that are estimated to have killed 50,000-130,000 people over the next three years.
*Two separate versions of the secret London Agreement have since been produced, one promising effectively all of Dalmatia and the other Italian-speaking areas of Austria-Hungary, the other promising more limited gains similar to what she was eventually awarded in Paris: in all likelihood the duplicitous underpinnings of negotiations meant that both agreements were probably in operation.
Italian Presidents of the Council of Ministers
- Vittorio Orlando; Liberal Union; October 1917 - June 1919
- Giovanni Giolitti; Liberal Union; June 1919 - January 1920
- Armando Diaz; non-partisan military; January 1920 - April 1924
- Giovanni Giolitti; Liberal Union; April 1924 - September 1925
- Gabriele D’Annunzio; National Fascist Party; September 1925 - December 1932
- Guido Jung; non-partisan; December 1932 - September 1933
- Costanzo Ciano; Liberal Union; September 1933 - May 1934
- Giacomo Matteotti; Unitary Socialist Party; May - June 1934 [Republic declared in May 1934]
- Rudolfo Graziani; non-partisan military/National Fascist Party; June 1934 - present