ABSTRACT
The Basques live in the coastal area that straddles the Franco Spanish boundary at the eastern end of the Pyrenees. One result of the political centralisation and rapid industrialisation of Spain in the latter part of the 19th century was the development of Basque nationalism. The Basques had their own legal-administrative system, including common ownership of some natural resources, and a separate taxation system, which included the operation of their own tariff barriers. During the Spanish Civil War, one critical event occurred which completed the alienation of the Basques from the central government. The event was immortalised in a painting by Picasso which remained such a potent symbol of resistance throughout the Franco regime that it could only be returned to the country on the resumption of the monarchy, following Francos death. Then the Partido Nacionalista Vasco (PNV) had become moribund and a far more militant and separatist Euzkadi ta Askatasuna (ETA) was formed from it in 1959.
