About the first option: public theater satires of the fascist thinking.
No, I am pretty sure that fascism does not encourage this and quite on the contrary, it would punish this with death: in a fascist societies all people are expected to believe in the agenda
The second option: private ..., as long as the government is served.
I think that the missing word here is "businesses" - and yes, fascism would encourage this, since it would make the economy stronger