College of Business Management and Accountancy

Bachelor of Science in Business Administration

SY 2024-2025, 2nd Semester

A Written Report

On

FASCISM

In Partial fulfillment of the Requirements in

Basic Microeconomics – 1 FM

Submitted by:

Baldago, Sandara L.
Borja, Lyn Antoinette A.
Caspe, Shiena B.
Dulfo, Joshua L.
Fabe, Samantha Nicole C.
Manlapaz, Jhad Mel C.

Submitted to:

Melanie E. Palada
Asst. Professor III

February 27, 2025

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Introduction

FASCISM

The word fascism comes from the Latin fasces, which denotes a bundle of
wooden rods that typically included a protruding axe blade. In ancient Rome, lictors
(attendants to magistrates) would hold the fasces as a symbol of the penal power of
their magistrate. The first European fascist, Benito Mussolini, adopted this symbol
both to recall the greatness of the Roman Empire and to reinforce his authority as
the eventual dictator of Italy. Fascist regimes like his required their citizens to be as
unified as the tightly bound fasces.

Fasces as symbols of power and authority were also present throughout the
United States and republican France in the 18th and 19th centuries. Similar to
Mussolini’s government, the U.S. and France aimed to align themselves with the
legacy of Rome. However, the fasces came to be almost exclusively associated with
fascism by the middle of the 20th century. (Soucy, 2025)

Body

ECONOMICS OF FASCISM

According to William S. Hein (2024), in terms of economics, fascism

incorporates elements of both capitalism and socialism. Fascist economists
advocate for self-sufficiency and individual profit, but promote government subsidies
of corporations. Fascist economics thus supports a blend of both private and public
ownership over the means of production—there is an emphasis on private profit, but
at the same time, the national interest is ultimately more important.

As an economic system, according to Richman (2018), fascism is socialism

with a capitalist veneer. The word derives from fasces, the Roman symbol of
collectivism and power: a tied bundle of rods with a protruding ax. In its day (the
1920s and 1930s), fascism was seen as the happy medium between boom-and-
bust-prone liberal capitalism, with its alleged class conflict, wasteful competition, and
profit-oriented egoism, and revolutionary Marxism, with its violent and socially
divisive persecution of the bourgeoisie. Fascism substituted the particularity of
nationalism and racialism — “blood and soil”— for the internationalism of both
classical liberalism and Marxism.

Fascism, unlike socialism’s direct state ownership, exerted totalitarian control

over the economy through indirect means, dominating private owners and

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compelling them to serve the “national interest” as defined by the autocratic
authority. While maintaining the façade of a market economy, fascism effectively
eliminated entrepreneurship, with state ministries dictating production and prices,
thus denaturing the marketplace. This distinguishes it from interventionism, which
merely seeks to guide the market, not abolish it, as seen in regulations like
minimum-wage laws that are far removed from the comprehensive planning of a
fascist regime. (Weisberger, 2021)

According to Paxton (2004), fascism does not conform strictly to capitalism or

socialism but operates under a system of corporatism. This model involves state
intervention in the economy while maintaining private property. Unlike socialism,
where the government owns production means, fascist economies allow private
ownership but heavily regulate industries to align with state objectives. State-
controlled production is a central feature of fascist economies, particularly in military
and infrastructure sectors. Governments prioritize national interests over consumer
markets, often leading to inefficiencies as political agendas override market forces
such as supply and demand.

HISTORY OF FASCISM

Mussolini’s 1919 fascism mixed extreme nationalist expansion with social

programs like women’s suffrage and workers’ rights, accumulating power by forming
alliances with conservatives and existing government factions. The success of
fascism in Italy sparked the rise of fascist movements across Europe, such as the
National Socialist German Worker’s Party (the Nazi Party), the British Union of
Fascists, Portugal’s National Union, the Yugoslav Radical Union in Yugoslavia, and
Austria’s Fatherland Front.

According to the American Historical Association (AHA), in Italy in 1922,

strong-arm squads known as the Blackshirt Militia, who were financed by
industrialists, fought socialist farmer organizations, conducted raids on socialist
newspapers and occupied socialist-led towns. They threatened to march on Rome in
1922. The government tried to placate Mussolini by naming him prime minister, but
in 1925, he established himself as dictator. What followed was violent suppression of
dissent; the deification of Mussolini; violent expansion into Ethiopia, Albania and
other countries; and in 1939, alliance with Nazi Germany and participation in World
War II.

Hitler learned many lessons from Mussolini, including the importance of

propaganda and violence. In the 1920s, he led his Nazi Party to prominence through
dramatic speeches, grand entrances and passionate rhetoric against Jews, Marxists,

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liberals and internationalists — those who support social and economic collaboration
between nations, Paxton wrote. In January 1933, Weimar Republic President Paul
von Hindenburg named Hitler chancellor, hoping Hitler would stop the growing
Communist Party. By the summer, Hitler’s rule had become a dictatorship. In
violation of the Versailles Treaty, Hitler rearmed Germany and began invading
neighboring lands. The invasion of Poland on Sept. 1, 1939, launched World War II
and the Holocaust.

European fascist ideas inspired regimes throughout Latin America, including

in Bolivia and Argentina. “These countries also had a very difficult time during the
Depression, and ordinary middle-class parties operating parliamentary systems were
notably unsuccessful,” Paxton said. Spain and Portugal were dictatorships until
1975, but those governments were a mix of conservative and fascist parties.
(Weisberger, 2021)

HOW FASCISM WORKS

Throughout 20th-century history, fascist regimes have required certain

sociocultural and political situations to rise. It is also worth noting that many
countries, such as Britain in the 1920s and 1930s with the British Union of Fascists
under Sir Oswald Mosley, have seen fascist ideas increase in popularity without
regimes coming to power or fascist parties becoming star political players.
(Weisberger, 2021)

First and foremost, fascist regimes in the 20th century have required extreme
national crises to gain popularity and power. After defeat in World War I, many in
Germany and Italy were anxious about the future of their countries. In Germany,
“citizens faced poor economic conditions, skyrocketing unemployment, political
instability, and profound social change,” says the U.S. Holocaust Memorial Museum.
Meanwhile, Italian citizens were reeling under rising inflation, unemployment, strikes
and economic policies that were “confused and inadequate,” according to the
American Historical Association (AHA).

Fascism also requires a general belief that the established government

parties and institutions are incapable of improving the national situation. But for a
fascist party to become powerful, the combination of a strong national identity and
disenchantment with government still needs a catalyst to convince populations to
side with what often starts as small fringe movements. In Germany, and to an extent
Italy, this catalyst was the Great Depression, historian Aristotle Kallis, a professor at
Keele University in England, said in a lecture on fascism that he delivered in
Amsterdam in 2015.

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 In Germany and Italy, governments at the time decided to align themselves
with fascists. “The fascist parties came to the attention of the public as the most
violent and rigorous opponents to socialism,” (Paxton, 1998). “The heads of state in
both countries offered fascists the position of head of government, because the other
options, the traditional parliamentary parties, had failed. Both fascism and
communism proposed violent solutions, and one would win by destroying the other".
(Paxton, 1998).

WHY IS FASCISM SO HARD TO DEFINE?

Fascism always takes on the individual characteristics of the country it is in,

leading to very different regimes. For instance, Paxton wrote in his essay “The Five
Stages of Fascism” published in 1998 in the Journal of Modern History that, “religion
would play a much greater role in authentic fascism in the United States,” than it
would in the more secular Europe.

Further complicating matters, non-fascist governments have often mimicked

elements of fascist regimes to give the appearance of force and national vitality,
Paxton said. For example, mass mobilizations of citizens in colored shirts do not
automatically equate to a fascist political practice, he explained. The prevalence of
the word “fascism” in common vernacular also causes definitional problems. In
recent years, the term “is used more often as a political insult than as a historically-
informed analytical term,” according to The Lowy Institute, an Australian think tank in
Sydney. “The use of “fascism” as a generic term for authoritarianism is a terrible
problem. Fascism is one specific kind of authoritarianism,” Stanley said. “Fascism is
a very specific thing – it’s not a name for whenever an authority figure acts
incorrectly.”

Unlike most other political, social or ethical philosophies — such as

communism, capitalism, conservatism, liberalism or socialism — fascism does not
have a set philosophy. “There was no Fascist Manifesto, no founding fascist thinker,”
Paxton wrote. “Fascism is about power – it’s not about belief. In “How Fascism
Works”, I treat fascism as a particular set of tactics to seize power. Fascists do not
need to believe that the panic they spread, for example about immigrants, is justified,
in order to use it to win elections. Just using it is a fascist tactic,” Stanley explained.
Though fascism’s definition can be elusive, all fascist movements share some core
beliefs and actions. (Weisberger, 2021)

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WHAT MAKES A FASCIST?

Fascism requires some basic allegiances, such as to the nation and to a

gatekeeping “master race” or group. The core principle — what Paxton defined as
fascism’s only definition of morality — is to make the nation stronger, more powerful,
larger and more successful. Since fascists see national strength as the only thing
that makes a nation “good,” fascists will use any means necessary to achieve that
goal. As a result, fascists aim to use the country’s assets to increase the country’s
strength. This often leads to a nationalization of assets, and in this, fascism
resembles Marxism — an anti-capitalist economic, philosophical and political
framework of beliefs that promote a classless society, according to the Center for the
Study of Language and Information at Stanford University in California.

Guided by the principle of extreme nationalism, fascist regimes tend to

perform similar actions, though the particulars differ, author George Orwell wrote in
his essay “What Is Fascism?” According to Paxton, who has written several books
on the subject, including “The Anatomy of Fascism” (Vintage, 2005), these regimes
make use of grand gestures, such as parades and leaders’ dramatic entrances.
Fascists also excel at propaganda, using it as a tool to scapegoat certain groups;
however, those groups may differ from country to country. For instance, the Nazi
regime demonized Jews and other ethnic minorities, such as the Romani people,
while Mussolini’s Italian regime targeted Bolsheviks — radical, far-left Marxists.

Paxton also said that fascism is based more on feelings than philosophical
ideas (which may explain why fascism can be hard to define). In “The Five Stages of
Fascism,” he defined seven “mobilizing passions” for fascist regimes. They are:

 The primacy of the group. Supporting the group feels more important than
maintaining individual rights.
 Believing that one’s group is a victim. This justifies any behavior against the
group’s enemies.
 The belief that individualism and liberalism enable dangerous decadence and
have a negative effect on the group.
 A strong sense of community or brotherhood.
 Individual self-esteem is tied to the perceived greatness of the group. Paxton
called this an “enhanced sense of identity and belonging.”
 Extreme support of a “natural” leader, who is typically male. This results in
one man taking on the role of national savior.

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  Affinity for “the beauty of violence and of will, when they are devoted to the
group’s success in a Darwinian struggle,” Paxton wrote. The idea of a
naturally superior group or, especially in Hitler’s case, biological racism, fits
into a fascist interpretation of Darwinism.

Once in power, “fascist dictatorships suppressed individual liberties, imprisoned

opponents, forbade strikes, authorized unlimited police power in the name of national
unity and revival, and committed military aggression,” Paxton wrote. (Weisberger,
2021)

WHAT ARE SOME COMMON CHARACTERISTICS OF FASCISM?

As stated by Robert Soucy (2025), although fascism is a notoriously difficult

ideology to define, many 20th-century fascist movements shared several
characteristics. First, these movements sourced their political strength from
populations experiencing economic woes, real or imagined. Fascists tended to
capitalize on these economic anxieties by shifting the blame away from government
or market forces. Jews, immigrants, leftists, and other groups became useful
scapegoats. Redirecting popular anger toward these people would, in theory, rid a
country of its ailments.

To unify a country, fascist movements propagated extreme nationalism that

often went hand in hand with militarism and racial purity. The prosperity of a nation
depended on a unified polity that put the group’s welfare above the individual’s. A
strong, vigilant military was considered necessary to defend these group interests.
And for some fascists “the group” was defined not by territorial boundaries but by
racial identity. Nazism constituted the most insidious form of racial-purist fascist
nationalism.

Fascist movements of the 20th century also frequently lambasted liberalism for
its alleged role in sowing political disunity and moral degeneracy. Although many
fascist movements initially organized themselves around democratic institutions for
political legitimacy, they resorted to totalitarianism in practice. A component of this
process became the reorganization of society around a strict moral code that often
sought to reverse the “decadence” of pre-fascist culture.

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IN WHICH COUNTRIES DID FASCISM ACHIEVE PROMINENCE?

The most prominent 20th-century fascist regimes were those in Germany and
Italy. German fascism took the form of Nazism, which rose out of the ashes of the
post-World War I Weimar Republic. Inflation, soaring unemployment rates, and deep
political divisions paralyzed the republic during the Great Depression and helped
create the conditions that allowed Nazism to prosper. The Nazi Party, led by Adolf
Hitler, promised stability and a return to prewar German pride. It espoused militaristic
nationalism, derided cultural decadence, and blamed various marginalized groups—
chiefly Jews—for Germany’s social ills. The Nazis governed Germany beginning in
1933 and attempted to spread their ideology through conquest and genocide until
their defeat in 1945.

Italy’s fascist movement also began after World War I, although it achieved
power in the mid-1920s. Under the leadership of Benito Mussolini, the movement—
fasci di combattimento (”fighting bands”)—made heavy use of black-clad paramilitary
troops to intimidate leftist politicians and ultimately seize control of Italy during the
postwar economic crisis. As the world’s first fascist dictator, Mussolini targeted
democratic institutions, dismantled free speech, attacked political opponents, and
engaged in heavy surveillance. His regime was virulently xenophobic, and although it
initially disavowed anti-Semitism, it passed several anti-Semitic laws in 1938 that
would pave the way for Italy and Germany’s cooperation during World War II.
(Soucy, 2025)

NATIONAL FASCISM

According to Robert Soucy (2025), this passage details the rise and spread of
fascist and fascist-influenced movements globally between 1922 and 1945. It
highlights:

- European Fascist Powers: The establishment of fascist regimes in Italy,

Germany, Austria, Portugal, Greece, Croatia, Norway, and Japan, with
leaders like Mussolini, Hitler, and Tojo.
- Failed or Suppressed Movements: The presence of significant fascist
movements in Spain, Poland, Finland, Hungary, Romania, and France, which
were either suppressed or didn’t fully achieve power.
- Global Spread: The influence of fascism beyond Europe, with movements in
South Africa, the Middle East, Japan, China, Latin America, and even the
United States.

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 - Varied Characteristics: The diverse nature of these movements, ranging from
political parties to paramilitary organizations to military dictatorships, with
- varying degrees of success and influence.
- Anti-Democratic and Authoritarian Tendencies: The common thread of these
movements was their rejection of democratic principles and their embrace of
authoritarian rule.

FASCISM TODAY

After World War II, fascism as defined by Mussolini’s and Hitler’s regimes
largely fell out of fashion in Europe and North America. “Fascist” became a go-to
political insult, resulting in overuse and reduced meaning, said Paxton. Nevertheless,
there have been growing fascist or proto-fascist movements in Europe and North
America for the last few decades, he said. In recent years, the rise of populism —
political movements that elevate ordinary people over elites — across Europe and
the United States has led many to wonder if fascism is resurgent again. Paxton said
he does not think fascism is on the rise in the U.S, describing American populist
movements as “much more traditional conservatism,” he said. “The basic social
political program is individualism, not for everyone, but [for] entrepreneurs. It
supports the right of businesspeople to seek maximum profit without rules of
regulations.”

However, Paxton added, small factions of the rich and powerful in America
have recently won popular support “with rhetorical devices that resemble fascism.”
Though many of the economic, social and political drivers of mid-20th-century
European fascism were specific to that time and place, fascism’s core ideas can still
be found in modern populist movements that embrace hardline nationalism, white
supremacy and xenophobia, Burley told Live Science. Most modern fascist
movements are without official political party representation or state power, “so they
operate on a social movement framework rather than a political framework,” Burley
said. Today’s fascist movements also use more nuanced language when describing
their mission and goals, often appropriating the language of left-leaning movements.

“A good example of this is the language of white nationalism and the alt-right,
specifically in the way that they explain racial politics,” using terms such as “white
separatism” and “white self-determination,” Burley said. By borrowing talking points
from anti-imperialist movements and decolonization movements from the ‘60s and
‘70s, modern movements cloak a fascist agenda in deceptively progressive
terminology, Burley said. “People are generally opposed to open imperialism, so
instead they have to use a coded rhetoric about white sovereignty,” he added.

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The broad definition of fascism still applies to such movements — “it’s just the
external conditions and how people interact politically is what’s changed,” Burley
said. (Weisberger, M., 2021)

Summary

Fascism is a political ideology that is notoriously difficult to define, but it is

characterized by a few key features. It often arises in countries that are experiencing
economic or political turmoil, and it relies on a strong leader who can unite the
people and restore order. Fascist regimes are often nationalistic and militaristic, and
they tend to be hostile to both liberalism and communism. They also often rely on
propaganda and scapegoating to maintain power. Some of the most prominent
fascist regimes of the 20th century include Nazi Germany and Fascist Italy. Both
regimes were characterized by strong leaders, extreme nationalism, militarism, and
hostility to both liberalism and communism. They also both used propaganda and
scapegoating to maintain power, and both ultimately led their countries into
devastating wars. While fascism is often associated with the 20th century, it is
important to remember that it is still a threat today. In recent years, there has been a
rise in right-wing extremist movements around the world, some of which have been
inspired by the fascist movements of the past. It is important to be vigilant against
the dangers of fascism, and to remember the lessons of history.

Conclusion

In conclusion, fascism is a complex and dangerous ideology. It is important to

be aware of its characteristics and to be vigilant against its resurgence. While the
word “fascist” has become a common insult in the 21st century, fascism as a political
and economic system is a specific thing. It is not simply a label for any authoritarian
leader and it’s important not to lose sight of that. Fascism is a totalitarian political
ideology that puts the needs of the collective above the rights of the individual. It is
often characterized by extreme nationalism, militarism, and a cult of personality
around a single leader. While there have been many fascist movements throughout
history, the most well-known examples are Nazi Germany and Fascist Italy. Both
regimes were responsible for immense suffering and destruction. It is important to
remember the lessons of history and to be ever vigilant against the dangers of
fascism.

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 REFERENCE

Fascism – Econlib. (2018, June 27). Econlib.

https://www.econlib.org/library/Enc/Fascism.html

Blogger, H. (2024, September 13). Capitalism, socialism, or fascism? A guide to

economic systems and ideologies. HeinOnline Blog.
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economic-systems-and-ideologies/

The anatomy of fascism - Robert O. Paxton. (n.d.-b). libcom.org.

https://libcom.org/article/anatomy-fascism-robert-o-paxton

Soucy, & Robert. (2025, February 19). Fascism | Definition, Meaning,

Characteristics, Examples, & History. Encyclopedia Britannica.
https://www.britannica.com/topic/fascism/Neofascism

Weisberger, M. (2021, November 29). What is fascism? Livescience.com.

https://www.livescience.com/57622-fascism.html

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