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Page 1: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Latin AmericaLatin America

Page 2: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of primary goods (eg, coffee, petroleum) Heightened economic integration (eg. FTAA) 75% urban; prevalence of megacities World’s great reserves of biological diversity (eg. Amazo

n rain forest, Andes mountains)

Page 3: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Environmental Geography

Page 4: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Western mountains and Eastern shields

Page 5: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

The AndesThe Andes Created by collision of oceanic and continental Created by collision of oceanic and continental

platesplates Geologically young Geologically young volcanism, earthquakes volcanism, earthquakes Geologically complex Geologically complex rich in minerals rich in minerals Divided intoDivided into

Northern: Venezuela, ColombiaNorthern: Venezuela, Colombia Central: Ecuador, Peru, BoliviaCentral: Ecuador, Peru, Bolivia

Altiplano Southern: Chile, ArgentinaSouthern: Chile, Argentina

Page 6: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Elevated plateau straddling the Bolivian and Peruvian Andes

Inhabited mostly by Amerindians

High-altitude lake (Titicaca, Poopó)

Altiplano (elevated plain)

Page 7: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

The uplands of Mexico and Central The uplands of Mexico and Central AmericaAmerica

The Mexican PlateauThe Mexican Plateau Mesa Central (southern end)Mesa Central (southern end)

Mexico’s breadbasket (eg. Mexico City, Puebla)Mexico’s breadbasket (eg. Mexico City, Puebla)

The Volcanic Axis of Central America The Volcanic Axis of Central America Stretches from Guatemala to Costa RicaStretches from Guatemala to Costa Rica Many active volcanoes Many active volcanoes rich volcanic soil rich volcanic soil bulk of t bulk of t

he agricultural land (produce beef, cotton, and coffee)he agricultural land (produce beef, cotton, and coffee)

Page 8: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Fertile volcanic soils, ample rainfall, and temperate climate of the Guatemala highlands have supported dense populations for centuries

The Volcano Axis of Central America

Page 9: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

The ShieldsThe Shields

Paranã basalt plateau

Brazilian Brazilian shieldshield

Pat

agon

ia

Pat

agon

ia

shie

ldsh

ield

Large upland areas of exposed crystalLarge upland areas of exposed crystalline rockline rock

Remnants of the ancient landmass of Remnants of the ancient landmass of GondwanalandGondwanaland

Brazilian shieldBrazilian shield Human settlements: SHuman settlements: Sãão Paulo, Rio de Jao Paulo, Rio de Ja

neironeiro ParanParanãã basalt plateau: fertile red soils (te basalt plateau: fertile red soils (te

rra roxa) rra roxa) coffee, orange coffee, orange Patagonian shieldPatagonian shield

Open steppe country with few settlementOpen steppe country with few settlements s home to wildlife home to wildlife

Guiana Shield

Page 10: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Brazilian shield Patagonia shield

Oranges are widely cultivated due to the fertile soil

Wildlife (Guanacos) thrives on the steppe

Page 11: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Amazon basin Largest river system by volume and

area Year-round precipitation Sparse settlement

Plata basin Rivers: Paranã, Paraguay, Uruguay Grassland: Chaco, Pantanal, pampas Large-scale mechanized agriculture

Amazon Amazon basinbasin

Pla

ta

Pla

ta

basi

nba

sin

Orinoco Orinoco

basinbasinRiver Basins and River Basins and

LowlandsLowlands

Page 12: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

River Basins and River Basins and LowlandsLowlands

Orinoco basinLlanos

Tropical grasslandHas supported large cattle

ranchesNow becomes the area of

petroleum production

Amazon Amazon basinbasin

Pla

ta

Pla

ta

basi

nba

sin

Orinoco Orinoco

basinbasin

Page 13: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Tropical, dry, temperate, and highland climates

Tropical humid climates

Mirror image of mid-latitude climates in the northern hemisphere

Page 14: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Tropical climates Tropical lowlands in the east of

the Andes Support forest or savanna Average monthly temperatures

show little variation Unlike tropical wet climate (A

f), tropical savanna climate (Aw) has a dry season

Page 15: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Dry climates

Can be found in The Pacific coasts of Peru an

d ChilePatagoniaNorthern MexicoBahia of Brazil

Page 16: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Temperate climates

Humid subtropical (Cfa)Argentina, Uruguay, and pa

rts of Paraguay and Chile Mediterranean (Csb)

Around Santiago, Chile Marine west coast (Cfb)

South of Conceptión, Chile

Page 17: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Altitudinal Zonation

Changes in temperature by elevation (-3.5 °F for every 1000 feet; also known as environmental lapse rate)

Changes in vegetation by elevation – plant communities common to the midlatitudes could thrive in the tropics at higher elevations

Page 18: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Altitudinal Zonation

Tropical highland areas support a complex array of ecosystems

The Andes, the highlands of Central America, the Mexican Plateau

Page 19: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

El Niño

Warm pacific current that usually arrives along coastal Ecuador and Peru in December, around Christmastime

Occurs every decade or so Produces torrential rains Causes drought

Page 20: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Natural HazardsNatural Hazards

Page 21: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Environmental issues The Valley of Mexico

Air pollution thermal inversion layer traps pollutants in the high altitude

Water Shortage: water is overdrawn from valley’s aquiferContamination: pollutant run off into the soil, which leach

into the aquiferSubsidence reliance on ground waterWorsened by poverty and governmental inaction

Page 22: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Air pollution in Mexico City

High elevation and immense size make management of air quality difficult

Page 23: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Deforestation The Atlantic coastal forests of Brazil, and the Pacific fores

ts of Central America have nearly disappeared as a result of Agriculture/Settlement

Rather seen as an agricultural frontier Cleared to appease landless peasants

Ranching Grassification – conversion of tropical forest into pasture

Etc. Search for gold (Brazil, Venezuela, and Costa Rica) Coca leaf production (Peru, Bolivia, and Colombia)

Page 24: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Degradation of farmlands

Agricultural productivity has declined in recent decades due to increased aridity and severe soil erosion

Modern agriculture is squeezing out indigenous crops

Page 25: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Urban environmental challenges

Pollution, inadequate water, garbage removal Squatter settlements – more vulnerable to natural h

azards Industrial pollution

Eg. Cubatão 1984 oil pipeline explosion

Page 26: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Environmental issuesEnvironmental issues

Page 27: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Population and Settlement

Page 28: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Sparsely populated, youthfulness of population, urbanized High variation between urban and rural countries

Page 29: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of
Page 30: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

The Latin American city Rural-to-urban migration since 1950

1950: 25% 2000: 75% Preference for urban life

Cultural: Under Iberian rule, residence in a city conferred status and offered opportunity

Economic: primary role in structuring regional economies

Urban primacy A country has a primate city three to four times larger than any other c

ity in the country Eg. Lima, Caracas, Guatemala City, Santiago, Buenos Aires, and Mexi

co City Decentralizing effort: Ciudad Guayana, Brasilia

Page 31: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Latin American city model

Page 32: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Latin American city model Reflects colonial origins and contemporary growth

Colonial origins - existence of CBD(Central Business District) Contemporary growth

Zone of Maturity, and In Situ Accretion are radiated out from CBD Residential quality declines as one move from core to periphery

Highlights the class divisions Elite spine – newer commercial and business strip that extends from t

he colonial core to newer parts of the city Peripheral squatter settlements – straddles the periférico (beltway high

way); limited services and infrastructure; resulted from (1) rapid inflow of migrants (2) inability of government to meet presseing needs

Page 33: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

CBD(central business district) Elite Spine (new commercial

center)

Page 34: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Elite Residential Sector

Peripheral Squatter Settlements

Page 35: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Informal sector Economic sector that relies on self-employed, low-wage jo

bs (eg. street vending, shoe shining, and artisan manufacturing) that are unregulated and untaxed

Often includes illegal activities such as drug smuggling, sale of contraband items such as illegally copies videos and apes, and prostitutions

Fundamental force that houses, services, and employs the inhabitants of squatter settlements

Effort of the urban poor to make a place for themselves

Page 36: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Patterns of rural settlement Under the colonial rule

Colonial authorities granted land to the colonists Latifundia: practice of maintaining large estates Minifundia: peasants farmed small plots for their subsistence

Political turmoil in 20th centuryAgrarian reform – redistribution of landslandsCreation of agricultural frontiers

provides peasants with landTaps unused resourcesShores up political boundaries

Page 37: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Population growth High growth rates throughout the 20th century

Natural increase Immigration Increasing life expectancy

Growth rates have weakened in the late 20th century TFR has declined (except for rural countries) due to :

Increased participation of women in the labor force Higher education levels of women State support of family planning Better access to birth control

Page 38: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Migration to Latin America European migration

After gaining independence from Iberia (1870-1930), government attracted European peasants to populate

The Southern Cone countries (Argentina, Chile, Uruguay, Paraguay, and southern Brazil)

Italian, Portuguese, Spaniards, and Germans

Asian migration Mid 19th century: Chinese, and Japanese

Eg. Japanese in Peru, Japanese-Brazilian orange farms Latest: South Korea

Page 39: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

International migration in Latin America

Employment opportunities Venezuela’s oil wealth in 1960s and 1970s Argentina attracts Bolivian and Paraguayan laborers U.S. attracts Mexican laborers

Political turmoil Chilean intellectuals in the 1970s Nicaraguans in 1979 Civil war in El Salvador and Guatemala

Page 40: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Transnationalism Phenomenon in which migrants maintain close contact

with their home country

Develop vital immigrant social networks in host countries

Page 41: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Principal Latin American migration flows

Interregional To frontier zones

International within Latin America To Venezuela,

Argentina

International outside Latin America To U.S. To Europe

Page 42: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Cultural Coherence and Diversity

Page 43: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Cultural identity Precontact period: civilization in th

e central Mexico, and the Andes

Since 1500s: forced assimilation of European culture Religion, language, political organiza

tion Dominance of European culture is ex

plained by the demographic collapse of native populations

Machu Picchu, Peru – Inca

The Pyramid of the Sun, near Mexico City – pre-Aztec

Page 44: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Demographic Collapse Dramatic loss of indigenous population

47 million (1500) 5 million (1650)cf. 42 million in western Europe (1500)

Causes are Epidemics of influenza and smallpox Warfare Forced labor Starvation due to a collapse of food production systems

Page 45: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

The Columbian Exchange An immense biological swap that occurred after Columbus cam

e; exchange of crops and animal between Old World and New World

Introduction of Old World crops wheat, olives, grapes; sugarcane, coffee

Introduction of New World crops potato, corn, tomato, squash eg, Europe’s rapid population increase in 18th century

Introduction of Old World animals Introduces Animal-borne disease; used for plowing; wool; diversity to

diet

Page 46: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Indian survival Largest indigenous populations can be found in Mexico, G

uatemala, Ecuador, Peru, and Bolivia Occurs in isolated settings through the link to land Amerindians’ political control

Eg. Comarcas in Panama – areas of land set aside for indigenous Amerindians

Eg. The first Amerindian president in Peru

Page 47: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Complex ethnic blend Racial mixing is the norm

Mestizo: Spaniard + Indian Mulattoes: European + African

Racial caste system under Spanish rule: Blanco (European ancestry) Mestizo (mixed ancestry) Indio (Indian ancestry) Negro (African ancestry)

Page 48: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Languages 2/3 Spanish

1/3 Portuguese in Brazil

Indigenous languages in the Central Andes, Mexico, and Guatemala

Page 49: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Religions

90% Roman Catholic

Syncretic religions Blends of different belief

systems Animist practices + Chri

stian worshipChurches are important religious and social centers in Latin America

Page 50: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Machismo and Marianismo Cultural traits assigned to men and women Machismo

Honor, risk-taking, self-confident

Marianismo Patient, loving, gentle, willing to suffer in silence, keeper of hom

e, nurturers of childen, deferential to husbands

Fading stereotype

Page 51: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Global reach of Latino culture

TelenovelasPopular nightly soap opera exported worldwide

National identitiesDance and music tradition

Tango (Argentina), Samba (Brazil), mariachi (Mexico)

LiteratureGabriel Garcia Marquez, Isabel Allende

Page 52: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Geopolitical Framework

Page 53: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Since 1500s Iberian rule has shaped political landscape profoundly

In 1900s, declared independence Political instability persists until recently

Page 54: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Iberian conquest

Treaty of Tordesillas (1494)Division of New W

orld by Spain andand Portugal

Page 55: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Iberian conquest (~1800s) Portuguese

Settled in the coast of Brazil since 1500 Brazilwood, sugar estates, slave trade (late 16th century) Gold in the Brazilian interior (17th century)

Spanish Silver in Central Mexico, Central Andes (mid 16th century) Cacao, sugar, and livestock

Page 56: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Revolution and independence

Portuguese colony Became independent repub

lic (1808-89)

Spanish colonies Experienced fragmentation

in the 19th century Gran Colombia – led by Sim

on Bolivar United Provinces of Central

America

Page 57: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Persistent border conflicts Sparsely populated interior became a source of border con

flicts War of the Pacific (1879-82): Chile, Bolivia Mexican War (1846-48): U.S., Mexico War of the Triple Alliance (1864-70): alliance of Argentina, Bra

zil, and Uruguay against Paraguay Chaco War (1932-35): Bolivia, Parguay Falkland (1981): U.K., Argentina Territorial claims to Antarctica

Antarctic Treaty (1959) – should be used for peaceful purposes

Page 58: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Trend toward democracy Long independence, but political instability has been a

problem 250 constitutions have been written since independence Military coups are frequent

After 1980s Democratically elected governments Market-driven policy by free-market reformers However, problems still persist

Page 59: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Trend toward economic integrationTrend toward economic integration Trade blocks are established to foster internal trade and redTrade blocks are established to foster internal trade and red

uce trade barriersuce trade barriers MercosurMercosur (1991) (1991)

Brazil, Argentina, Uruguay, ParaguayBrazil, Argentina, Uruguay, Paraguay Chile, Bolivia as an associate memberChile, Bolivia as an associate member $19 billion interregional trade$19 billion interregional trade

NAFTANAFTA U.S., Canada, MexicoU.S., Canada, Mexico $700 billion interregional trade$700 billion interregional trade Impetus to the vision of Impetus to the vision of FTAA (Free Trade Area of the America) (Free Trade Area of the America)

Page 60: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Free Trade Area of the America (FTAA)

Proposed in 1994 34 states (excluding Cuba) in the Western Hemisphere Pledges to establish free trade zone stretching from Alaska

to Cape Horn by 2005 Embodies the ideals of Neoliberalism

Increased trade and economic integration will improve the standard of living for people in the America

Page 61: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Insurgencies, drug traffickers, and protest

Insurgency group Shining Path (Peru), FARC and ELN (Colombia)

Drug trade Often seen as the root of many of the regions’ problem Brings in currency, but damages judicial system

Eg. Colombia – highest crime rate

Protest Zapatista rebellion in Mexico – supported by Amerindian peasan

t; protest the consequences of globalization; how increased foreign trade and investment hurt rural peasant

Page 62: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Coca-growing Coca-growing areas in South areas in South AmericaAmerica

Peru, Bolivia Peru, Bolivia Colombia Colombia

Page 63: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Economic and Social Development

Page 64: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Primary export dependency Entrenched informal sector Experimented with various development strategies

From import substitution to neoliberalism World “periphery”?

Page 65: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Most Latin American countries are “middle income”, but extreme poverty exist

Page 66: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Agricultural production ~1950s: commercial agriculture for export

Each country specializes in one or two commodities Costa Rica (Banana, coffee), Nicaragua (coffee, cotton), Brazil (coffee) Peru, Chile, and Colombia (coca)

1960s~: diversification/mechanization of agriculture Conversion of plains into fields Agricultural production increases while fewer people are employ

ed by it (eg. Agriculture labor force in Peru: 45% 7%)

1990s~: efforts to conserve the ecosystem

Page 67: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Mining Oil

Venezuela, Mexico, Ecuador, ColombiaColombia Tin, Copper

Bolivia, ChileMechanized more production with fewer miners

GoldTropical regions of Venezuela, Brazil, Colombia, Costa RicaLabor-intensive offer employment

Page 68: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Logging Exportation of boards and wood pulp Short-term infusion of cash into a local economy, but make

s the system of extraction unsustainable Plantation forestry

Brazil, Venezuela, Chile, and Argentina Eg. Chile’s booming export economy

Page 69: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Entrenched informal sector Provides goods and services without the benefit of

government regulation, registration, or taxation

Estimated nearly 60% of the total non-agricultural employment in 1998

Reflects the inability of the formal economies of the region to absorb labor

Page 70: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Development strategies Self-sufficiency policy since the 1950s

Import substitution - foster domestic industry by imposing inflated tariffs on all imports

State-run nationalized industries Agrarian reform

Neoliberalism emerges recently Privatization of industries; direct foreign investment (DFI) Establishment of trade blocks

Page 71: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Industrial center Emphasized manufacturing since the 1960s National support

Growth poles (planned industrial center) Eg. Ciudada Guayana (Venezuela), Ciudad Juárez, Tijuana (Mex

ico)

Local investment Industrial sectors developed without direct state support Eg. Monterrey (Mexico), Medellín (Colombia), São Paulo (Brazi

l)

Page 72: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

São Paulo, Brazil Industrial giant of Latin America Financial center of Brazil The city of 18 million Began to industrialize in the early 1900s1900s

City’s coffee merchants started to diversitydiversity their investments Since then, industries have agglomerated Produce automobiles, aircraft, chemicals, process foods, and

construction materials within a 60-mile radius of the city center

Page 73: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Foreign investment Realize the benefit of attracting foreign investment

taking advantage of relatively cheap labor, and lax government regulationeg. Maquiladoras

The Mexican assembly plants that line the border with U.S.Manufacturing systems in an increasingly globalized econom

yMexico’s competitive advantage is

Its location along the U.S. border Membership in NAFTA

Page 74: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Maquiladoras – opportunities and challenges

Opportunities Between 1994 and 2000, 3 out of 10 new jobs in Mexico were in

Maquiladoras Account for nearly half of Mexico’s exports

Challenges U.S. workers lost jobs Industrial pollution due to lax government regulation Poorly integrated with the rest of the economy

Page 75: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Latin America in the Global Economy

Why does Latin America’s economy suffer?Dependency theory (1960s)

Expansion of European capitalism created the region’s underdevelopment

For the developed “cores” of the world to prosper, the “peripheries” became dependent and impoverished

Support self-sufficiency policy, and agrarian reform

Page 76: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Disproportionate flow of exports to the U.S. 80% of Mexican exports 40% of all Central Americ

an and Andean export 15% of Mercosur trade

Anyhow, increase in intraregional trade is recognized as a positive sign of greater economic independence for Latin America

Page 77: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Argentina in early 2002from the view of dependency theory

Shows how dependent economies can be vulnerable to the fluctuation in a global economy

Financial crisis in the late 1990s (Asia, Russia) Reduction in DFI in Latin America Devaluation of currency Cheaper Brazilian products Trade instability with Argentina Worsened Argentina’s already unstable economy

Page 78: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

So do you think FTAA will benefit all (in the hemisphere) or benefit only U.S. eventually?

Page 79: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Neoliberalism as globalization By the 1990s most Latin American political leader

s area embracing neoliberalism Neoliberal policies stress privatization, export prod

uction, direct foreign investment, and few restrictions on importsEg. Chile’s economic growth: 5.6% (1990s)

Social and environmental costs associated with neoliberal policies are not known yet

Page 80: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Dollarization A process by which a country adopts the U.S. dollar as its

official currency To address the problems of currency devaluation and

hyperinflation Ecuador (2000), Panama (1904) No long has control of its monetary policy Political cost Indicator of the prominence of the dollar in a global

economy

Page 81: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of
Page 82: Latin America. Introduction Is comprised of 17 countries Share a history of Iberian colonization Multiethnic (Amerindian, Iberian, African) Export of

Social development

Social indicators have improved last three decades Lower than MDC, but higher than other developin

g countries despite economic downturns Role of grassroots and nongovernment organizatio

ns (NGOs) Extreme variations between rural and urban areas,

between regions, and along race and gender lines

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Race and inequality

The complex racial and ethnic mix fostered tolerance for diversity

More often than not, link between race and poverty can be foundSouthern Mexico(Indian), Northeastern Brazil(Black)

Race does not necessarily determine one’s economic standing, but it certainly influences it

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For the last three decades, the status of women has improved