Thomas Hobbes said:
edit: As a quick aside to Iuz (and here I put a "as far as I know and I'm not an expert on the subject" disclaimer), fascism lacked any sort of real policy or ideology other than "power is neat" and a bunch of "motivating passions" (as they were described to me) that were less things along the lines of "The workers are entitled to... [long philisophical treatise]" and more simple emotional or otherwise non-logic-based appeals that, for better or worse, don't work so hot when your head of state is an intensely evil demigod.

Organize your finacial system however it works best, and rule over your people with an iron fist; all the appeal you have to make is "Do it or be horrribly tortured/Do it and be rewarded with power beyond your wildest dreams at the hand of the great god Iuz" and the only justification for whatever economic system you settle on is "This is most efficient at promoting the glorious rise of the great god Iuz."
I thought of Hitler because of obscenely high Diplomacy score that Iuz's entry from "Dragon" have, and suggestion from our DM about personality worshipping. Having it on the level of +70 make impressive speeches quite easy. (Imagine good ol' pre battle warming up that general shouts to his soldiers. And imagine Iuz, being of inmense power, already worshipped by most of his troops ... if he would make impressive speech before the battle, his men/orcs/whathaveyou would fight like possesed ! Even simple and favourite "Kill 'em all !" would be treated ... as if god has spoken.

)
And what I remeber, aside of mindless slaughter of millions of people, about fascism is it that mr A. was able to influence people greatly just by performing inpassionate speeches. Even W. Churchill was impressed, and he wasn't ordinary bread eater, don't You think ?
But Yes, You are right ... if Drow elves could organise themsleves under reign of this stupid girl, Lolth. And everybody know how ... undisciplined elves are.

Then Iuz's subjects should make it better and faster. Civilisation is inevitable, but Iuz must shape it carefully or be swept aside by tide of times.
Organise clear, and profitable sources of income ... coins could have Iuz's profile on one side and skull on the other side. Later devastate competition ... Ach, Iuz might even wrote, ehem, dictate book about trade. " Businessman Handbook."
Thanks for the tips. By the way, maybe yOu will be spared after all.
But using propaganda for Iuz's benefit and increasement of faithful worshippers is still juicy option. Send some "Iuz's Witnesses" trained in uninvasive brainwashing techniques to the poor and show them that goo ... *spat*, great god Iuz is watching them and is interested in their ... best.
Thomas Hobbes said:
Edit- one more quick thing before breakfast... theoretically, fascism could rise as a response to Iuz, if there's ever a rebellion against him; since a big part of it is the glorious revival of a paticular nationality/ethnic group/what have you that has fallen prey to lesser whatsits, theoretically his conqurred lands could have something similar rise up as an attempt to regain a national identity seperate from this Godling who conquered them and brought in these Demons/Orcs/Whathaveyou.
From the time of Greyhawk Wars 20 years has passed ... do You think that it were not enough time to copletly strenghten Iuz's grip over the lands conquered ? As Serpenteye pointed out only Vesve elves still trouble Empire and some dying remmants of partisans from other forest ... wich live by grace of Iuz, and as focal point for all those who might cause big troubles othervise.