Unit 3Contemporary Latin America

Regions of:1. Mexico2. Central America3. South America4. The Island of the Caribbean Sea

Languages1. Official of most = Spanish2. Brazil = Portuguese3. Belize and Jamaica = English4. Haiti = French and Creole

Why Study Latin America?1. Size2. Population3. Resources led to rapid economic growth4. Oil – Venezuela, Mexico5. Cattle/Meat – Argentina, Uruguay6. Mineral Deposits7. Immigration8. Drugs

Challenges:1. Rapidly growing population

A. Tradition + progress = rapid growthB. Urbanization; Campensinos moved to cities for

work = ShantytownsC. Social inequality

2. Economies are based on exporting.A. Multinational corporations supported so now

huge debtB. Limited ag growth b/c of focus on cash crops

3. Growth of Democracy FailedA. Elite controlled gvmt and economyB. Liberals vs ConservativesC. Armed guerrilla movements to force changeD. Liberation theology

4. International relations (Trade)A. Rio Treaty (1947) – defenseB. Organization of American States OAS (1948)C. Cold War influenced

– Military aid to conservatives– Financial assistance (Alliance for Progress)

D. Free Trade Agreements after Cold War– North American Free Trade Agreement (NAFTA)

HOMEWORK: READ 755 - 760

Mexico

Background1. One of the most stable countries of Latin

American after WWII2. One political party since ’29, Institutional

Revolutionary Party (PRI)3. ’40-60s = standard of living ↑, but rural

areas lagged behind4. Today = 40% of population in poverty

Economic Problems1. 1970s oil boosted the economy; pay of foreign loans2. 1980s recession hit, wealthy Mexicans fled the country

A. Oil prices droppedB. G’vt cut back jobs and services to save $C. The value of the peso was cut in half

3. ProblemsA. ↑ debtB. Gap b/wn rich and poor ↑C. Population grew rapidlyD. 1985 Earthquake hit Mexico City, killing 1000s, costing billionsE. Relations w/ US worsened

The Salinas Era1. 1988 Pres Carlos Salinas de Gortari promised

reformsA. Crack down on drug smuggling, illegal immigrationB. encouraged privatizationC. Attract foreign investment w/ NAFTA

2. OppositionA. Reforms slow to reach the poorB. Disliked the PRI’s g’vt controlC. In 1994 Zapatistas rebelled against the g’vt

Guerilla army of native American peasants in Chiapas Demands: Aid poor, advance democracy, end NAFTA

Zedillo and Reform1. ’94 PRI candidate was assassinated;

Ernest Zedillo Ponce de Leon wins2. Dissatisfaction increases3. ’97 Zedillo allowed multi-parties elections4. Tensions remain w/ US

• Drugs• Immigration

Cuba

Dictator Fulgencio Batisa (1952-1959)1. Repressive, corrupt2. Allowed American companies to own and

control mines, ranches, oil, and sugar industries.

3. 1956-1959 Fidel Castro led guerilla attacks on Batista’s forces.

4. January 1, 1959 Batista fled; Castro took over

Fidel Castro’s (1959) Policies 1. Tightens Control 2. Domestic Policies

A. No elections, ignored Cuban civil rights B. Reforms

» Improved wages, health care, education» Nationalized plantations and major industries.» Seized American-owned property

C. Responses:» U.S. cut off all sugar imports to the U.S. in 1960.» Cuba allied with the USSR

3. By 1961 Cuba’s dictatorship was Communist.

Cuba After the Cold War1. Devastated Economy

A. Loss of USSR aid after the fall of communism.B. Poor sugar harvestsC. U.S. embargo since 1962.

2. Castro relaxes some policies but still Communist

A. Limited free enterprise to get foreign investmentB. Some religious freedom after the 1998 visit by

Pope John Paul II.

Haiti• One of poorest nations

in the world!• Unstable gvmts

– 1957 – 1971 Francois Duvaliert; dictator– 1971 – 1986 His son; overthrown– 1986 – 1990 chaos– 1990 – 1991 Jean Bertrand Aristide; military coup– 1991 – 1994 military rule– 1994 – Artistide returns; UN helps get democracy– 1995 – Rene Preval 1st president but still probs.

Contemporary Latin America

Central America

Factors that led to conflict:1. Ethnic and social divisions2. Unequal distribution of wealth3. Drug trafficking4. Foreign intervention5. Dictatorships

Nicaragua

Somoza Family took power in ’37

1. Am National guard supported until ’79

2. Under Anastasio Somoza Debayle (’67) the family owned ¼ of all land and most industries, banks, and businesses.

3. ’70 U.S. ends support

Anti-Somoza Overthrow in ’791. Sandinista National Liberation Front (FSLN)

2. Peasants

3. Catholic priests

4. Business people

5. Marxists

Divisions After the Revolution1. Sandinistas (Communists)

A. Less dependent on USB. Got support from Cuba, USSRC. Reforms: divided land, education, health care

2. ContrasA. Got support from USB. Wanted capitalismC. Upper, middle classD. Tried to overthrow the government

Civil War1. 1981 US sent $19.5 million to Contras,

who began attacking military bases from Honduras and Costa Rica.

2. 1985 Congress banned aid to Contras3. Covert funds continued4. Peace negotiations in

A. Cease-fireB. Presidential elections in ’90

5. Violeta Chamorrow (’90), Amoldo Aleman (’96)

El Salvador

Leading Industrial Country1. In the Early ’70s2. Modern3. Highways4. RRs5. Airports6. Office buildings

Unequal distribution of wealth1. 90% of wealth held by small # of

landowning families

2. 40% of population = landless peasants

3. DEMANDS FOR CHANGE!

Death Squads1. Organized by wealthy landowners to stop

a revolution2. 1000 killed/month3. Opposed by Roman catholic Archbishop

Oscar RomeroA. Killed in massB. Civil war erupted on March 24, 1980

Civil War1. Farabundo Marti National Liberation

Front (FMLN) = Leftist guerilla group2. Salvadoran Government - US supported3. 1992 peace established4. Results:

A. 12 year civil warB. 70,000 killedC. 1.5 million refugeesD. Economic recovery

Honduras

Government1. Democracy stable since 1981

2. New constitution

3. Successful elections

Economy1. Little development

2. Remains the poorest and least developed country of the Western Hemisphere

3. Hurricane MitchA. 1998; one of the worst natural disasters of te 20th centuryB. 7000 killedC. 100,000s homelessD. ½ o f ag crops destroyed (↓ exports)

GuatemalaThe northern-most Central

American country

Ethnic and Social Division1. Natives vs. Spanish-speaking urban dwellers

↓ ↓majority held the power

2. In the 1960s, Native guerilla fighters attacked the government

A. Wanted land reformsB. Result = Civil War

Civil War1. 36 years (1960 – 1980s)2. 1996 peace agreement

A. Government - ↓ military, end discrimination against natives

B. Guerillas: disarm and return home

3. Results:A. 100,000 killedB. 46,000 missingC. 1 million refugees

Panama

Government = Dictatorship

Economy = Prosperous b/c of American-owned Panama Canal

* but resentful of foreign influence

Panama Canal

Problems with the US

• 1920s the US interfered w/ elections• Around WWII wanted military bases in

Panama• 1950s student riots led to violence

Panama Canal Treaties1. Signed by Jimmy Carter and Omar

Torrijos b/c of opposition to US ownership

2. TermsA. Panama would take control of canal by

December 31, 1999B. US would have the right to protect the canal’s

neutrality

3. 1999 Mireya Moscosa becomes president and acquired the canal from the US

Manuel Noriega as President1. Elected in 1988

2. President Bush sent troops in Dec ’89 when Americans were arrested

3. Noriega was seized and charged w/ drug smuggling in ’92

South America

Argentina

One of the top 10 wealthiest nations before

the 1930s… Since then they have endured military rule and a steady

economic decline.

The Peron Era1. 1946 Juan Peron; Authoritarian but

popular• Increased military budget• Supported pay raises for union members• Nationalized industries• Eva –hospitals, schools, clinics, nursing homes; gave to

the poor

2. 1950s popularity ; protests • 1952 Eva’s died• Increased taxes on ag; food shortages

Juan and Eva Peron

3. Died in 1973; wife Isabel becomes 1st female president in the Ams.

4. Military ousted Isabel in 1976.

5. Changed tactics: Brutal, death squads (20,000 went missing) Isabel Peron

Moving Toward Democracy1. To regain status, the military was sent to

seize the Falkland Islands in 1982

2. After defeat by the British, military lost its credibility and allowed democratic reforms.

3. 1988 Economy in near collapse; hyperinflation

4. 1989 president Carlos Minem elected• Controlled inflation• Attracted foreign investment• Sold inefficient industries• Mercosur formed

5. 1999 Fernando de la Rua elected

Chile

The Threat of Socialism1. 1970 Socialist leader Salvador Allende

comes to power• 1st Marxist to win control peacefully• Nationalized industries, distributed land to poor

2. 1973 near economic collapse• Wealthy Chileans invested $ abroad• US funded opposition groups• US blocked international loans (World Bank)

Steps Toward Democracy1. Augusto Pinochet comes to power after CIA

backed military coup• Cancelled civil liberties• Killed, imprisoned opposition• Improved economy

2. Opposition was strong so Pinochet stepped down in 1990

3. Patricio Aylwin elected president• Economy thrived• Late 1990s joined NAFTA

Venezuela

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Venezuela1. Since 1940s, a major oil producer2. Lack of economic improvements brought Hugo

Chavez to the presidency in 1998.3. In 1999 he tried to tighten his power with a

new constitution4. Dec 1999 torrential rains caused floods and

mudslides• 50,000 died • Latin Ams worst natural disaster in the 20th century.

Colombia

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Colombia1. 1940s – 1960s La Violencia; instability

between liberals and conservatives caused over 200,000 deaths

2. 1970s-1980s drug dealing infected politics

• Killed judges, prosecutors• Marijuana and cocaine

Peru

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Peru1. Early 1970s military rule

• Land to peasants, nationalized industries, aid the urban poor• Inflation, unemployment high

2. 1980s Democracy• 1990, 1995 Alberto Fujimori elected• Dictoral ways• Improved government efficiency• Increased free enterprise• Increased economic links with Pacific countries

3. 1995 15 year civil war ended with Marxist guerillas – Shining Path

• 25,000 killed

4. Billions of dollars of property destroyed

Brazil

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Brazil1. 1940s – 1960s = Democracy2. Military leaders took control in 1964

• Afraid reforms would lead to communism• Decreased social programs, increased foreign

investments, weakened labor unions

3. 1980s – Democracy• 1990 Fernando Collor de Mello

4. 1992 Fernando Henrique Cardoso