Spain's Industrialization: Challenges and Economic Impact
Classified in History
Written at on English with a size of 4.01 KB.
This document assesses the industrial development of Spain and Catalonia in relation to the more industrialized countries of Europe. Spain took a while to develop its industry. As we can see in the graphic, other countries were already highly industrialized by the year 1870, whereas Spain and Catalonia, seven years later, in 1877, were not yet equal to other countries. Most of its economic sector continued to be based on the primary sector, and there was very little population engaged in the secondary and tertiary sectors. We can also observe that Catalonia became industrialized before the rest of Spain.
Obstacles to Industrialization in Spain
Spaniards encountered the problem of a lack of money. They had only the money necessary to live, and the mines did not provide much profit. It was a population that lived day-to-day and could not save. Therefore, it was an impoverished population that could not invest in improvements in the productive sector and could not finance industrialization.
Asturian Coal Problems and Their Consequences
One problem was that Spanish mines had very fragmented and narrow veins that impeded the process. The product obtained had little physical consistency and a high ratio of "menudalla" (small pieces), which made it unsuitable for steel processes. Another problem was the unfavorable location and the lack of rail and sea transport. This resulted in poor-quality products, leading to a lack of profits.
Conditions of Bond Issuance and the Impact of Excessive Debt
The government decreed the amount owed and also had to pay six percent interest. In addition, they had to pay with both the goods obtained through successive sales and those considered national assets. This debt affected industrialization in Spain because a large amount of capital was used to repay the debt, preventing investment in productive activities.
The Debate on Protectionism
This document criticizes free trade, that is, the elimination of tariffs on trade. It argues its opposition to free trade by explaining that if foreigners sell their products cheaper and do not have to pay anything, it removes work and benefits from the people of the city, leaving them in misery.
Reasons for Spain's Delayed Industrialization
The reasons why Spain could not industrialize until the 19th century are varied:
- Firstly, the geographical position of Spain was not favorable, leading to large transportation costs.
- Secondly, there was a delay and poor agricultural purchasing power among the population, as most of their salary was intended to buy food.
- Thirdly, there was a high public debt that absorbed much capital.
- Finally, the negative amount of energy and raw materials in Spain was significant. Although there were mines, the product was of poor quality, and water was a scarce resource.
The International Workingmen's Association (AIT)
The AIT was the International Workingmen's Association, which brought together all those who thought that the organization had to achieve the emancipation of workers and fight capitalism. They were divided into Marxists and anarchists. The anarchists did not want the workers to organize to fight together, while the Marxists advocated the creation of workers' parties to defend their ideals. This association was dissolved in 1872. The anarchists did not want the creation of workers' parties because they did not want state governments. The anarchists formed the Anti-Authoritarian International, which eventually dissolved in 1876.
Differences Between Bakuninists (Anarchists) and Marxists (Socialists)
Anarchists did not defend the organization of workers into parties but wanted complete freedom for individuals to defend their ideals. Marxists, on the other hand, defended the organization of workers (creation of workers' parties) in order to combat power. They did not want the abolition of the state but wanted to create a workers' dictatorship of the proletariat.