It was also correctly assumed that the Italian coalition would be short lived. In the 55 years since the war, Italy has had almost as many governments, but in German-speaking Europe ruling coalitions are generally long lasting. In Germany, Helmut Kohl's recent government ruled for 16 continuous years. If Haider is successful, it is likely he will become Chancellor and remain so for a long time. His beliefs and power are far more extreme and destablizing than what Italy faced.
Plenty have cozy diplomatic relations with dictators from Cuba to Libya to Iraq.
It should also be noted that Cuba, Libya, and Iraq are not European countries. It is thus misleading to compare them with the totalitarianism that swept over Germany and Austria causing war and the deaths of 50 million people. The rightwing extremism that has profoundly shaped the history of the EU's members is an entirely different matter than dictators in little countries on other continents who are in conflict with American interests. New York's cultural climate is controlled to a considerable degree by the wealthy patrons who bankroll it. It thus has a special appeal to the wealthy, conservative patrons of New York's cultural life who donate lavishly for its yearly appearances in Carnegie.