Global Political and Economic Shifts: 1970s-1990s

Political Evolution of Capitalism in the 1970s

The 1970s witnessed significant political shifts within capitalist nations, notably the removal of military dictatorships in Spain, Greece, and Portugal. This era also saw the emergence of Eurocommunism, a movement by which European communist parties accepted parliamentary means to gain power.

Economic Evolution of Capitalism: The Western Bloc Crisis (1973-1981)

The Western Bloc experienced a severe economic crisis from 1973 to 1981. Its primary causes included:

• The decision by the Organization of Arab Petroleum Exporting Countries (OAPEC) to embargo oil sales to countries that had supported Israel.
• A subsequent tripling of oil prices.

The consequences of this crisis were widespread, leading to:

• Higher prices for goods and services.
• Reduced consumer demand.
• Widespread business closures.

Gorbachev's Reforms in the USSR

In the 1980s, Mikhail Gorbachev attempted to address the profound political and economic crisis within the USSR through a series of reforms. Internally, he initiated processes of democratization and disarmament. Measures were also taken to modernize Soviet industry.

Disintegration of the Communist Bloc

The year 1989 marked two pivotal events that led to the separation and eventual collapse of the communist bloc:

1. Countries in Eastern and Central Europe politically reformed and dismantled their communist regimes.
2. The Berlin Wall fell, leading to German reunification.

In August 1991, a coup organized by hardline elements of the Communist Party was thwarted by Boris Yeltsin. This ultimately led to the dissolution of key Soviet-era alliances and economic blocs, including COMECON and the Warsaw Pact.

Franco's Political Development (1939-1975)

The Franco regime in Spain can be broadly divided into two stages:

1939-1959: Foundations of Totalitarianism and Façade of Democracy

Up to 1942, Francisco Franco laid the foundations of his totalitarian regime. He concentrated all three powers of government and established a single party, the Spanish Falange. During this period, fundamental laws were approved to solidify his rule. From 1942 to 1959, the regime attempted to present a façade of democracy to the international community.

The Franco regime faced significant opposition:

• External Opposition: Political exiles created a Republican Party, chaired by Giral, actively opposing Franco from abroad.
• Internal Opposition: This included the “Maquis” (anti-Franco guerrillas), as well as Catalan and Basque nationalist groups like ETA.

Although Spain signed a treaty of non-intervention during World War II, it controversially sent aid to the Axis powers through the Blue Division.

1960-1975: Succession, Shifting Influence, and Growing Opposition

From 1960 to 1975, Franco appointed Juan Carlos de Bourbon as his successor. The influence of the Falange diminished in favor of individuals associated with Opus Dei. During this period, the opposition increasingly demanded democracy and organized strikes. In 1974, as Franco's health deteriorated, opposition groups formed the Democratic Junta of Spain. Franco died on November 20, 1975.

Spain's foreign policy during this era was marked by:

• Its request for membership in the European Union.
• Its claim to the United Nations for the sovereignty of Gibraltar.

The Arab-Israeli Conflict

The ongoing Arab-Israeli conflict has complex causes, including Israel's occupation of Gaza, the West Bank, and Jerusalem. Both Palestinians and Israelis claim Jerusalem as their capital, a claim that often stands against UN resolutions.

Key developments include:

• In 1964, Palestinians founded the Palestine Liberation Organization (PLO).
• Palestinian resistance groups engaged with the Israeli army in the occupied territories.
• Israel withdrew from Gaza in 2005 but maintains its occupation of the West Bank.

Israel's continued control over these territories and the construction of a separation barrier, which severely restricts Palestinian freedom of movement, contribute to ongoing tensions and attacks.