Historical Development of Liberalism, Capitalism, and National Unifications

The Foundations and Principles of Liberalism\n\nLiberalism is defined as a legacy of the French Enlightenment, serving as a political, economic, and social doctrine that fundamentally defends the liberty of the individual and advocates for strict limits on the power of the state. These ideas formed the essential basis for the development of republican governments, characterized as systems where citizens elect their authorities and societal life is strictly regulated because all individuals are considered equal before the law. A core component is popular sovereignty, which aims to achieve a representative model through the process of elections. Additionally, the separation of the powers of the state is mandatory, ensuring that specific functions are divided to prevent the concentration of authority.\n\n# Expressions and Modes of Liberalism\n\nLiberalism manifests in various forms, primarily political and economic. The parliamentary system, which originated in England, is a key political expression that defends liberal principles such as the division of power and popular sovereignty. Its central characteristic is the supremacy of the legislative branch, the parliament, which is the body responsible for creating and approving laws. This model exists within both monarchies and republics. Political liberalism emphasizes that the role of the government depends on the specific country but generally involves protecting citizens and constructing public works. Economic liberalism, on the other hand, defends the idea that the state should intervene as little as possible in the economy. This is governed by the law of supply and demand, where prices fluctuate based on what the people want. It promotes free trade and minimal state intervention.\n\n# Key Figures and Economic Principles\n\nAdam Smith is recognized as the father of economic liberalism. The doctrine posits that every person seeks their own individual benefit, and because of this, the economy depends on the competition between companies and the freedom of the market. A vital aspect of this system is the accumulation of capital, which is gathered to produce faster, purchase machinery, and develop industry and business. When individuals acquire goods, these remain under the custody of the proprietor, which necessitates the existence of laws that protect private property. This framework establishes that the state must not interfere, allowing individual pursuit of profit to drive the economy.\n\n# Constitutionalism and the Limitation of Power\n\nConstitutionalism is the movement dedicated to limiting the powers of the state and public power through the institution of laws that regulate the society of each state. This movement began at the end of the $XVIII$ century, specifically through two major historical processes: the French Revolution and the Independence of the United States. Its primary purpose was to avoid the abuse of power. The relationship between constitutionalism and liberalism is intrinsic, as both ideologies are positioned against the abuse of power and advocate for individual freedoms, equality before the law, freedom of opinion, and religious tolerance, all of which are enshrined in a written document.\n\n# The 19th-Century Bourgeoisie and Capitalism\n\nDuring the $XIX$ century, the bourgeoisie was a social class that highly valued individual effort, work, savings, and economic progress. They sought to grow their own businesses with a sense of order, and the family was considered a fundamental unit of this order. The bourgeoisie were also major promoters of artistic activity, both for personal delight and for social status (probability). Important cultural activities included the theater, opera, ballet, and the arts in general. They encouraged advances in technology, specifically technical and scientific progress that they could subsequently apply to their businesses. This class helped expand capitalism, a system based on commerce, production, and the search for profit, and they influenced patterns of production, exchange, and consumption.\n\n# Revolutionary Waves: 1820 and 1830\n\nHistory records three major revolutionary waves. Between $1820$ and $1830$, significant movements occurred in Europe. In Spain, there was an effort to re-establish the Constitution of $1812$ to limit the power of the king, but the monarch eventually restored absolutism. In Naples and the Two Sicilies in Italy, liberal movements emerged but were ultimately defeated, leading to the return of absolutism. In Greece, a revolution began against the Ottoman Empire, and they successfully achieved their independence years later in $1830$. The second wave, also in $1830$, saw liberals in France fighting against absolutism in favor of more liberal governments. The restoration government was overthrown in the July Revolution, and the "bourgeois king" Louis Philippe of Orleans was put in power. During this period, Belgium achieved independence from the Netherlands (Paises Bajos), while Poland attempted to gain independence from Russia but failed. In France, an absolutist king fell, and a liberal government took his place.\n\n# The Revolutionary Wave of 1848 and its Consequences\n\nThe third revolutionary wave occurred in $1848$ and involved the participation of transition groups: bourgeois, workers, republicans, and nationalists. Their demands included popular sovereignty, universal suffrage, and the establishment of a republic. In France, they elected Louis Bonaparte, who later launched a coup d'état and proclaimed the Second Empire. A major consequence of these revolutions was the rise of nationalism. Furthermore, workers began to organize more effectively, demanding better working conditions. This period saw the emergence of socialist ideas with greater force, focusing on decreasing inequality and advocating that the state should provide more aid to the population.\n\n# The Unification of Germany and Italy\n\nThe unification of Germany ($1864-1871$) was driven by Prussia, the most economically powerful of the separate German states. The principal leader was Otto von Bismarck, who believed Germany should unite using military force and political alliances. He led wars against other countries and succeeded in uniting the German states under Prussian leadership, resulting in the birth of the German Empire in $1871$. Similarly, Italy was previously divided into various kingdoms, some controlled by Austria. The goal was to unite all Italian territories, expel Austria, and create a single nation. Victor Manuel II, the King of Piedmont-Sardinia, eventually became the king of a unified Italy. Camillo Benso di Cavour was the politician who organized the alliances and wars necessary for unification, while Giuseppe Garibaldi, a revolutionary soldier, used his "Red Shirts" to conquer southern territories and unite them. In $1861$, the Kingdom of Italy was created. In $1870$, following a war between France and Prussia, France withdrew its troops from Rome, allowing Italy to incorporate the city and make it the capital.\n\n# Challenges in Post-Independence America\n\nAfter gaining independence, American nations faced numerous difficulties, including border conflicts, cultural obstacles, and political struggles. There were wars between countries, such as the conflict involving Brazil, Paraguay, and Argentina. Internal political organization was a major hurdle, specifically the debate between Federalism (dividing the country into states with more regional autonomy) and Centralism (a strong central government with less regional autonomy). Liberals and Conservatives frequently clashed over these models, leading to the first civil wars. Liberals advocated for less church power, equality before the law, and more freedom, while Conservatives sought to maintain tradition, keep church influence, and establish strong central governments. This period also saw the end of the Bolivarian project of unity due to differences and significant foreign interventions, such as the Mexico-France conflict, the Mexico-USA war, and the Hispano-American war.\n\n# Social Structure and Territorial Expansion in America\n\nDespite achieving independence, social differences persisted in America. The Creoles ($Criollos$) maintained political and economic power, while indigenous people, mestizos, and the poor remained marginalized and lacked rights. In some countries, there were military campaigns to occupy indigenous territories. Slavery also continued for varying periods, with Brazil being the last country to abolish it legally. The struggle for stability remained a primary problem for the region.