The end of World War II brought no reprieve to struggling Spain as their pro-Axis attitude made them international outcasts . Excluded from the Marshall Plan relief system following the war, instead of throwing a fit, Franco adapted and adopted a policy of economic self-sufficiency and cut off almost all international trade. He reacted with a calmness that mirrored King Felipe’s tranquility following the destruction of the Spanish Armada, the crown jewel of Spain. The new economic attempted to increase national economic production and establish industrial and financial prowess in the upper classes. However, this plan was destined to fail from the beginning as the Spanish have never had the resources to be self-sufficient . Instead of helping the Spanish economy, the policy froze the economy and brought about the Years of Hunger due to the mass starvation the lack of food imports caused. Shortages and starvation as well as massive inflation …show more content…
However Franco realized that Spain needed foreign help, as the situation in Spain mirrored the economic depression after the Nine Year’s War, which required French aid to reverse the destruction of war. In September 1953, the Pact of Madrid between the United States and Spain provided the crucial financial aid necessary for Spanish economy. However, even with the aid, the new economic market was not accompanied by any political reforms and limitless repression