Spanish Economy and Second Republic Reforms

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Spanish Economy in the Early 20th Century

  • The dominance of a slightly modernized agriculture sector.
  • Industrialization centered in Catalonia, the Basque Country, and Madrid.
  • The improvement of road networks (rail and road).
  • The development of banking.
  • State protection of Spanish production against foreign competition.
  • The low Spanish presence in international markets resulted in a sharp reduction in exports.

Spanish Society in the Early 20th Century

  • More than half the population lived in rural areas.
  • A high percentage of laborers lived in the south of the peninsula; an oligarchy of large landowners persisted over these laborers.
  • A thriving middle class in the cities.
  • An increase in the number of workers.

The End of Alfonso XIII's Reign

Due to the declining prestige of the monarchy, Republican groups began to unite to overthrow the King. This movement continued until April 1931, when municipal elections were held in which the Republican-Socialist coalition won in the major cities.

Objectives of the Second Republic

The main objective of the interim government formed after the proclamation of the Second Republic was the modernization of Spain and the establishment of democracy.

Major Reforms of the Second Republic

Under its first president, the Second Republic undertook several major reforms:

  • The approval of autonomy for Catalonia.
  • Military reform.
  • Religious reform.
  • Land reform.
  • Educational reform.

The Military Reform Explained

The military reform consisted of reducing the number of officers due to an excessive increase in individuals. This was achieved through the establishment of an oath of allegiance to the Republic, the possibility of retirement for those soldiers who would not take it, and the closure of the Military Academy of Zaragoza.

The Land Reform and Its Challenges

The land reform addressed a number of systemic problems:

  • Minifundismo in northern areas.
  • Landlordism in the southern half of the peninsula, where land was held by large landowners and most of the rural population were landless laborers. Caciquismo remained deeply entrenched.
  • Land subleasing by intermediaries.

To address these problems, land was expropriated from owners to be distributed among the peasants.

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