The People

  • 22 nations form Latin America
  • most republics have much in common
    • all were colonies of European powers (esp. Spain & Portugal)
    • most speak Spanish or Portuguese
    • most are Roman Catholics
  • due to these common factors, there is a western stereotype that people of L.A. are the similar

The Problems

  1. Wealth hinging on export of a few raw materials
    • Chile dependent on nitrates and copper
    • Venezuela dependent on oil
    • Argentina dependent on meat exports
    • by spending profits on exports on the purchase of imported manufactured goods, industrialization was slow to take place
  2. U.S.A. traditionally being both main customer and supplier of L.A.
  3. Development of large urban areas not dependent on growth of industry
    • complete contrast with most of the world
    • tens of thousands of very poor people condemned to live in shanty town areas
    • causes one of the worst problems for Latin America: wealth gap
      • tremendous gap between rich and poor incomes since 1968
      • esp. worse due to rise of cost of living
    • poverty also creates another large problem for L.A:
      • population explosion

Examples

  1. Venezuela
    • more than 90% of wealth comes from oil exports to U.S.A.
    • 2% of people work in oilfields
    • 35% scratch a living on soil
    • can only afford wooden or adobe houses
    • floors made made of earth and few windows have glass
    • most people still living on maize, beans, roots, and tubers
    • 1920, Venezuela’s population was 2.5million
    • 1966, population reached 8.25 million
      • half being young people under 18
    • yet… oil profits have built motorways that could put British roads to shame
  2. Argentina
    • during dictatorship of President Peron (1956-1955), he tried to raise standard of living of poor city dwellers
    • increased wages and gave them holidays with pay
    • resulted in formation of trade unions and support for Peron
    • failed to improve for lot of peasants, and after droughts and bad harvests of 1925, discontent grew
    • after wife died and power waning, Peron gave up office in 1955
    • regardless, Argentina became the world’s biggest meat exporter and important grain producer
    • population explosion less serious than elsewhere, and education standards are higher

Solutions

  • most other republics face difficult problems, hoping to find a solution through rapid industrialization and increasing trade with one another
    • done to replace dependency on the U.S.
  • formed the Central American Market and Latin American Free Trade Association
  • Brazil led the way in new methods of industrial and agricultural production
    • came at cost to humanity
    • ex. in attempt to reclaim land for arable crops and growing sugar to make alcohol (as a replacement fuel for petrol), Brazil destroyed millions of hectares of Amazon rain forest