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The soldiers streamed back to the cities to find factories discharging,not hiring, men. Unemployment rose to unprecedented levels.The economic war was resumed. But now the conservatives foundtheir old power gone. Organized labor doubled its membership. TheGeneral Confederation of Labor, which had i, 159,000 membersbefore the war, now had 2,200,000. The Italian Confederation of"Workers rose from 200,000 to 1,2 50,000. The Left wing parties weremore powerful. The Socialist party, which got 1,849,000 votes in1919, got 3,500,000 in 1920 and won 156 seats. The Popolari—Christian liberal groups—now deeply infected with radical notions,got 101 seats.Italy's Old Man of the Sea—the debt—was now a monster. Theprewar debt which had frightened the conservatives and menacedthe state with bankruptcy looked trivial in the presence of themountainous load after the war. The prewar debt was 15,766,000,-000 lire. When the war ended, the debt was 60,213,000,000 lire.Italy was back in the old holes save that they were deeper and darkerthan before.The Socialists and the Popolari combined forces and returned theaging Giolitti to power. He had a four-point program. To state itis to reveal the futility of the old prewar leaders as they returnedto the graver problems after the war. He was for (1) confiscationof war profits, (2) investigation of war expenditures, (3) parliamentarycontrol over declarations of war and the making of treaties,(4) increased taxation of the rich. Save the proposal to tax the richall this had nothing to do with the economic problem, which was tofind the secret of making the economic system work, the creationof enough income to enable the people to produce and buy whatthey produced. As usual, however, the pressure of events and notthe deliberate planning of statesmen shaped their programs. Underthat pressure Giolitti turned again to the old reliable welfare devices.One law after another was passed, celebrated always withbrave words. Italy had an old-age pension law. To this was addedunemployment insurance and insurance for the aged and disabled.A system of health insurance was being worked out—Italy's "BeveridgePlan," twenty-two years ago. Public funds were provided toaid workers' co-operatives. The government began to concert meas-4i

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