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When the empires fell apart after WWI, 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. In August 1919, the civil government of President Friedrich, head of the Social Democratic Party of Germany (SPD) adopted one of the world's most democratic and progressive constitutions of the time. The Weimar Constitution was signed in Weimar, a town near Berlin, from which it takes its name.
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During the Russian Civil War, the economy comes under the government's authority. All industries and banks are controlled. Private trade is prohibited and people are forced to work in factories. Food is rationed and grain is confiscated in order to supply the Red Army. The policy results in famine. There are numerous uprisings and some peasants resist by hiding grain.
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Germany had few democratic traditions and Weimar democracy was widely seen as chaotic. People blamed the government for the terms of the Treaty of Versailles. It also faced other challenges, including opposition from both left- and right-wing political extremists.
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In 1918, the Bolsheviks become the Russian Communist Party. Leading members of the party found the Communist International (or Comintern) representing the most revolutionary faction of international communism. Its stated objective is to promote worldwide revolution.
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Benito Mussolini founds the fascist political movement in Milan. To fight their political opponents, the fascists recruit ex-soldiers to form paramilitary squads commonly referred to as the Blackshirts.
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After the victory of the Reds in the Civil War, Lenin introduces the New Economic Policy (NEP), which creates a mixed-economy system. This allows a limited market and small-scale private businesses. Living conditions improve considerably with the increase in agricultural surpluses.
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The movement transforms into a political party and is renamed the National Fascist Party (PNF). It achieves political legitimacy when leader Benito Mussolini is elected to the Chamber of Deputies.
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The Bolsheviks had organised the different areas of the former Russian Empire into socialist republics, each governed by a soviet (council). In 1922, these republics join to form the Union of Soviet Socialist Republics (USSR), or Soviet Union, under the one-party rule of the Communist Party with Lenin as the head of government. The USSR unifies the Russian, Transcaucasian (Armenia, Azerbaijan and Georgia), Ukranian and Byelorussian republics.
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In an atmosphere of political chaos, 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 and restoring Italy's prestige. King Victor Emmanuel III invites Mussolini to form a government.
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Despite being on the winning side of the war, there was general disappointment in post-war Italy with the territory it had received at the Paris Peace Conference. Fascists used this sentiment to gain support for the idea that Italy had been betrayed by the Allies. This, together with the widespread civil and political unrest, led to the rise of fascism. Italian fascist leader Benito Mussolini ruled in Italy from 1922 to 1943.
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When Germany failed to pay for its war reparations payments, French and Belgian troops occupied the industrial area in the Ruhr Basin. Ruhr workers went or strike, which worsened the existing economic crisis. The government tried to pay the reparations and stabilise the economy by printing more money. But the sudden flood of paper currency resulted in hyperinflation. Prices increased out of control and Germany's currency (the mark) became worthless.
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By 1923, dissatisfaction with the Restoration was widespread. With the avowed aim of taking a break from political life to end corruption, General Miguel Primo de Rivera established a military dictatorship. Although there were some similarities to Mussolini's authoritarian government-for example, he suspended the constitution and dissolved the Cortes-the Primo-de-Rivera dictatorship was not a truly fascist regime.
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On 8 November 1923, Austrian agitator Adolf Hitler staged a failed coup d'état in Munich. This takeover attempt is known as the Beer Hall Putsch. His Nazi Party was banned and he was imprisoned. But he returned in 1925 to challenge the republic again.
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After Lenin dies, a power struggle ensues between two men:
- Leon Trotsky, the founder of the Red Army. He viewed the USSR as a platform to spread the revolution to the rest of the world.
- Joseph Stalin, the secretary of the Communist Party. He developed the Socialism in One Country theory, which advocated the consolidation of communism in the Soviet Union.
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American politician Charles Dawes proposed a plan to help Germany out of the crisis. It involved: • Reorganising the Reichsbank (Germany's central bank). The old currency was called in and burned. This ended hyperinflation. • Allowing more time to repay the debt. • Extending new loans from American banks to pay reparations. • Using reparations money to pay off war debt to the United States.
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The Soviet Union adopts a constitution that legitimates the Treaty on the Creation of the USSR signed two years earlier. The constitution is based on the dictatorship of the proletariat, in which the working class holds political power, and public ownership of land and the means of production.
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Mass immigration, which had declined during the war, began again. The Immigration Act of 1924 established quotas based on national origin. It restricted the entry of people from Eastern and Southern Europe and completely excluded immigrants from Asia.
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Germany entered its 'Golden Twenties', an era of economic recovery and cultural rebirth. Foreign Minister Gustav Stresemann played a key role in ensuring the republic's security and survival during this time.
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On 30 May 1924, socialist leader Giacomo Matteotti publicly accused the fascists of the use of violence in the recent elections. Eleven days later, he was killed. Initially, public support for the fascists declined, but Mussolini eventually reasserted power and ended up as the absolute dictator of Italy.
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Through electoral manipulation and intimidation, Mussolini consolidates power in the 1924 elections. In early 1925, Mussolini establishes a dictatorship. He takes the title Il Duce (The Leader).
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This pacified the protectorate in Morroco.
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Adolf returns from exile
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On the political front, the Allied powers and Germany signed a series of agreements to guarantee peace in Europe. The treaties established the western borders of Germany. France and Belgium withdrew from the Ruhr and Germany joined the League of Nations in 1926.
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The country's hard-won stability was lost when a new economic crisis emerged. The Wall Street Crash particularly affected Germany. When the US recalled its foreign loans, the Weimar economy collapsed. Unemployment skyrocketed. People lost confidence in the democratic system and extremist political parties such as the Communists and Nazis began to gain power.
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On 24th October, 'Black Thursday', panic broke out on Wall Street. Investors began to sell their shares to recover as much capital as possible. Stock prices plummeted and millions of dollars were lost in just a few hours. The situation was then stabilised.
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In October 1929, the American stock market, located on Wall Street in New York City, crashed.
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Panic and chaos returned the following week. On 29th October, 'Black Tuesday', share prices collapsed completely. Thousands of people faced financial ruin.
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Following the 1932 elections, the Nazi Party formed a coalition government with the conservatives. In January 1933, Hitler became chancellor and immediately took action to make himself absolute ruler. The Weimar Republic came to an end.
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Italian fascists saw modern Italy as the heir to Ancient Rome. They supported the creation of an Italian Empire around the Mediterranean. Having pacified the colony of Libya, Mussolini embarks upon his expansion plans by invading Abyssinia, present-day Ethiopia.