The dictatorship of the manager was replaced by the power of the collective represented by its core group (first of all trade-union leaders from CNT structure) and almost religious influence of anarchist slogans, contradiction with which could be considered the counterrevolution. However, the influence of the ideology shared by the significant mass of workers played the role of mobilizing the masses including at the place of production. The anarcho-syndicalists and the left socialists managed to create a rather effective and democratic social system (to the extent possible in the conditions of Civil War) based on the industrial democracy. Despite the heavy economic situation caused by war and split of the country, the collectivized industry prevented a steep decline in production. Introduction of industrial democracy system drove the productive efficiency which after all might be possible at the Spanish enterprises of the day in conditions of war and partial economic blockade. A myth about «disorganization of production by anarcho-syndicalists» could be considered completely wrong. When the workers and engineers took possession of factories, they did their best. The production volumes required to meet war demands exceeded the pre-war performance. However, the model of self-government and industrial democracy to be coordinated by trade unions and semi-government public structures dissatisfied the representatives of other political forces. In 1937 it resulted in a considerable aggravation of political struggle in the republican camp. The struggle against the industrial democracy which took place during Negrin’s government (1937–1939) contributed to a decline in the economic growth rate in comparison to the Largo Caballero governance.
The rural collectivization initiated by anarchists also received wide expansion within the Republic. Unlike in the USSR, it had not been caused by governmental pressure upon the peasantry. In some cases the majority of peasants forced minority to collectivization, in the other cases individual farms were preserved. Sometimes the radical anarchist detachments compelled most peasants to join collective farms, but CNT and leaders of anarcho-syndicalists opposed it. The general support for collectivization and its voluntary character for the majority of peasants were also confirmed by the fact that after defeat of anarcho-syndicalists in the conflict with communists in May-August, 1937, when anarchists had already no opportunity to lay violent hands on their opponents, the mass movement of agrarian collectives continued and even extended. As a whole, the collectivization produced a good effect on a nationwide scale as well. In spring 1937 the food situation noticeably improved, the cropland acres were extended which was admitted even by the opponents of anarchists. Successes and failures of particular collectives depended on their leaders, but as a whole, the movement which liquidated a tax burden without prior arrangements, latifundium system and small-scale crofting agriculture demonstrated its sustainability.
From September 1936 till May 1937 the F. Largo Caballero government of the Republic promoted deep social transformations. The anarcho-syndicalists participated in it since November and therefore it was not just a government of the People’s Front, but of a wide anti-fascist coalition. The activity of anarchist ministers in the government did not basically have just any specifically anarchical, but all-democratic character and fitted in the framework of the social state. While CNT was in the government, the opponents of anarcho-syndicalist social and economical experiment could not develop a serious attack against the industrial democracy sector. As soon as CNT left the government, they launched an attack which resulted in the essential curtailing of the social revolution. The presence of CNT in the government was a condition for preservation of those revolutionary achievements which had been reached in autumn of 1936. After syndicalists had joined the government of Spain, they conducted relatively pluralist economic policy which was supported by Largo Caballero and in fact became the basis of the social and economic line of the cabinet, as a whole.