I.               Mussolini and Fascist Italy

A.     Postwar Italy

1.     Italy had entered WWI in hopes of winning mandates in East Africa and Austrian territory along the Adriatic Sea. When the Treaty of Versailles rejected these claims, embittered Italian nationalists felt betrayed.

2.     Italy faced severe economic crisis that included soaring inflation, rising unemployment, and massive national debt.

3.     Italy’s upper and middle classes feared that the economic crisis and growing labor unrest might lead to a communist revolt, as had just happened in Russia.

B.     The Rise of Benito Mussolini

1.     Growing numbers of Italians demanded action and waited impatiently for a strong leader.

2.     Mussolini used Italy’s political power vacuum to seize power. As the leader of the Fascist Party, he boldly promised to revive Italy’s economy and rebuild its armed forces.

3.     In 1922, Mussolini with a show of force, King Victor Emmanuel III gave in a named Mussolini prime minister.

C.     The Fascist State

1.     Mussolini quickly consolidated his power and organized a Fascist state.

2.     Mussolini outlawed all political parties except the Fascists.

3.     Mussolini’s propaganda encouraged Italians to accept his leadership without question. Slogans such as “Mussolini is Always Right” covered billboards across Italy.

D.    The Lateran Accord

1.     Mussolini successfully negotiated an end to the long dispute between the papacy and the Italian state.

2.     Pope Pius XII recognized the legitimacy of the Italian state. In return, Mussolini recognized Vatican City as an independent state ruled by the Pope.