Aim. Using the example of the Second Austrian Republic, the article investigates the attempts to implement the ideas of people's capitalism in the Second Austrian Republic under the conditions of a powerful public sector in the market Austrian economy in the 50-60s of the 20th century. Methodology. The interdisciplinary nature of the research is determined by the use of factual materials from the history of the Austrian economy, sociology and political economy. The research was based on the principles of historicism and objectivity and the methods of historical science. The historical and systematic method allowed the author to elucidate the mechanism of constructing people's capitalism in the Second Austrian Republic as a certain system with its own logic of development, which closely interacted with the social and political systems of the country. Results. It is concluded that the Austrian right-wing socialists in the Second Austrian Republic went from promoting nationalization as a form of transition to a social state under the existing system towards actually rejecting nationalization and supporting the policy of reprivatization carried out by major financiers. Research implications. The findings can be used as a basis for an in-depth study of the political history of Western European countries, as well as for the preparation of textbooks and lecture courses on the modern history of Europe.