Although there may often have been a vicious rivalry between liberals and conservatives in the provinces, there was virtually a gentleman’s agreement between their leaders in the capital. Whenever there was an unpopular measure to carry out, the conservatives retired and the liberals, who had now become almost indistinguishable from their opponents, came in. The two parties resembled those little wooden men who appear alternately to indicate the weather. But any high-minded figure, however aristocratic, who denounced the corruption was regarded as a traitor and shunned. The trinity of army, monarchy and Church, which had originally made the empire, was also to preside over its final collapse. In 1898 the Spanish-American War saw the pathetic rout of the armed forces and the loss of Cuba, the Philippines and Puerto Rico. Most of the soldiers’ food and equipment had been sold by their officers.
Even the tawdry end of the
Alfonso XIII, the driver of the broken-down car, became king at the age of sixteen in 1902. Poverty was so great at the beginning of the twentieth century that over half a million Spaniards, out of a population of eighteen and a half million, emigrated to the New World in the first decade of the century alone. Life expectancy was around thirty-five years, the same as at the time of Ferdinand and Isabella. Illiteracy rates, varying sharply by area, averaged 64 per cent overall. Two thirds of Spain’s active population still worked on the land. Yet it was not just a problem of property rights and tensions between landowners and landless peasants. Within the total of five million farmers and peasants, there were huge differences in standards of living and techniques, according to region. In Andalucia, Estremadura and La Mancha, agriculture remained primitive and ineffectively laborious. In many other areas, such as Galicia, León, Old Castile, Catalonia and the north, small proprietors worked their own land with fierce independence while the rich coastal plain of the Levante represented perhaps the best example of intensive culture in Europe.2
Industry and mining provided only 18 per cent of the jobs available, little more than domestic and other services.3
Spain’s main exports came from agricultural produce, particularly the fertile coastal region around Valencia, and only a certain amount from mining. But after the collapse of the last vestiges of empire, money was repatriated and along with other investment from Europe, above all from France, a banking boom followed during which some of the major Spanish banks of today were founded.4 The government subsidized industrial development and, in Catalonia especially, huge fortunes were made.The country remained neutral in the First World War. Its agricultural exports, raw materials and rising industrial output at such a time created what seemed like an economic miracle, with thousands of new enterprises. The new prosperity led to a significant rise in the birth rate, which would have its effect twenty years later in the mid 1930s. Spain’s balance of payments were so favourable that the country’s gold reserves increased dramatically.5
But when the war was over the economic miracle faded away. The governments of the day fell back on protectionism. Expectations had risen, and disappointment and resentment were bound to follow in the unemployment that ensued.Royal Exit
The first attempt to organize some form of trade union in Spain had occurred as early as the 1830s, and there were small non-political associations in existence at the middle of the nineteenth century. Then new political ideas arrived across the Pyrenees and began to take root. The anarchist, or libertarian, form of socialism arrived first and its fundamental disagreement with Marxist socialism was to have great repercussions in Spain. Proudhon had already been translated by Pi y Margall, the president of the First Republic, when Giuseppe Fanelli arrived in Spain in 1868. Fanelli was an admirer of Bakunin, Marx’s great opponent in the First International. He came to Madrid without speaking any Spanish and with no money, but the ‘Idea’, as it became known, found a very enthusiastic audience. Within four years there were nearly 50,000 Bakuninists in Spain, of whom the majority were in Andalucia.