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Lets say that Francisco Franco drowns as a child in his hometown's nearby ocean; how would Spain fare through the 30's and WW2? Obviously, they would still be a very unstable country, and in this scenario, they might even lose Morocco.

Would the republic still come into being? Or would Spain simply stay under control of the rightests?

Your thoughts please; obviously, such a scenario requires much thinking, as Spain at this time is such a mess.
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