6.2

Economic Control in Latin America

Colonial Economic Structures:

• Elites (urban merchants and large landholders) maintained control over local economies post-independence, profiting from European trade and investment.

• This dynamic disincentivized economic diversification, reinforcing dependency on foreign markets.

Effects of Foreign Investment:

• Latin America experienced more damaging effects from foreign investment compared to the U.S. or Canada, leading to structural economic vulnerabilities.

British Investment:

• Limited foreign influence arose from small market size; manifested as informal imperialism rather than transforming states into dependent partners.

• British investors focused on profitable sectors such as cattle and sheep ranching in Argentina.

• Innovations like refrigerated cargo ships in the 1860s facilitated the export of meat, predominantly controlled by British investors.

• Urban areas, specifically Buenos Aires, grew rapidly due to European migrant labor, with a 1914 population exceeding 3.5 million.

Industrialization Attempts

• General Porfirio Díaz's Rule (1876-1911):

  • This period supported large landowners, merchants, and foreign investor interests, primarily benefiting a small elite.

  • Infrastructure expansion included railroads and telegraphs, alongside increased mineral resource production.

  • Despite industrial advancements in steel, glass, and textiles, the working class saw minimal economic gains, with profits funneled to elites.

Declining Standard of Living:

• By the early 20th century, declining living conditions among average Mexicans contributed to revolutionary fervor in 1910.

Export-Driven Economic G”owth

• Latin American economies witnessed rapid expansion from the late 19th century, with key exports including copper, bananas, coffee, rubber, beef, wheat, and tobacco.

• Global competition and foreign control resulted in local economies being subject to external decision-making, impacting price stability and sovereignty.

Cultural and Social Diversity in the Americas

• Walt Whitman's Reflection:

  • The quote underscores the vast diversity of societies in the Americas, highlighting the contrasts among various ethnic groups.

• Struggles for Recognition:

  • Ethnic, racial, and gender divisions fueled conflicts, resisting the Enlightenment ideals of freedom and equality.

  • Dominant political forces often suppressed demands from marginalized groups, undermining their societal contributions.

Societal Dynamics in the United States

• Multicultural Society:

  • By the late 19th century, the U.S. comprised diverse groups, including indigenous peoples, Euro-American settlers, African Americans, and migrants from Europe and Asia.

• Power Structures:

  • Political and economic power predominantly resided with white male elites, leading to tensions with increasingly diverse constituencies seeking equality.

Challenges Faced by Indigenous Peoples

• Territorial expansion resulted in the displacement of Native Americans onto reservations, undermining their autonomy through federal policies.

• The Dawes Severalty Act (1887):

  • Aimed at assimilating Native Americans into white culture by abolishing communal landholding practices.

• Native culture was further eroded by the forced enrollment of children in boarding schools, which sought to eliminate tribal influences.

African American Experience Post-Civil War

• Efforts for equality included Reconstruction policies, facing significant resistance and subsequent withdrawal in the 1870s.

• Freed slaves encountered barriers to land ownership, often relegated to sharecropping, facing systemic violence and segregation that restricted upward mobility.

Women in the 19th Century

• Early Women's Movement:

  • This movement gained momentum at the Seneca Falls Convention in 1848, demanding equal rights and voting rights.

• Despite some advancements in education, women faced significant limitations on political power until the 20th century.

Migration in the Americas

• Mass Migration (1840-1914):

  • Approximately 25 million European immigrants introduced diverse cultural elements into the U.S., frequently subjected to hostility and segregation in urban neighborhoods.

Canadian Cultural Contrasts

• Ethnic and Cultural Diversity:

  • The dominance of British and French settlers obscured rich cultural diversity, particularly the significant indigenous populations.

• Louis Riel and Métis Rights:

  • Riel emerged as a leader of resistance movements advocating for Métis and indigenous rights against expanding British Canadian authority.

Unique Vocabulary Terms:

• Informal Imperialism: A form of indirect control where a country exerts influence over another nation without direct political or military domination.

• Sharecropping: A system where farmers work land owned by someone else in exchange for a share of the crops produced, often leading to cycles of debt and poverty.