Revolution and Intervention in Latin America after World War II

3. Revolution and Intervention Main Idea In reaction to economic and social conditions in Latin America after World War II, many Central American countries experienced revolutions that involved intervention by the United States. • Reading Focus • What were some key economic and social trends in postwar Latin America? • How did the Cuban Revolution come about and what changes did it bring? • What other revolutions arose in Central America?

4. Economic Trends Industrialization • Roots of poverty, inequality go back to history of colonialism • Most land, wealth in hands of elite • Economies based on agricultural exports • To decrease dependence on foreign countries, import-substitution led industrialization policy adopted • Local industries developed to replace need to import manufactured goods • Dependence on foreign countries remained for investment, technology, loans, military aid • Rural land use remained a major issue Trends in Latin America After World War II many countries in Latin America struggled to address problems of poverty and inequality.

5. Economic Trends Industrialization did not solve land problems • Rural lands • Owned by small group of elites, many with ties to U.S. business interests • Peasants struggled to find land to farm • Addressing the issue • Some countries took land from large landholders, gave to landless peasants • Mixed results, but still major economic trend

6. Social Trends • Large gap between rich, poor major social issue • Liberation Theology promoted by priests • Church should be active in struggle for economic, social equality • Criticized by Catholic Church, but popular in Catholic Latin America • Cities • Unable to make living in rural areas, people flocked to region’s cities • Movement caused rapid urbanization • Many found life no easier in cities • Shortages of food, housing, safe drinking water presented challenges

7. Summarize How did people in Latin America try to deal with some of the region’s economic and social problems? Answer(s): industrialization, land reform, migration to cities, Liberation Theology movement

8. Reasons for Revolt Rich and Poor U.S. Support • Cuba very dependent on U.S. • 1950s, hotels, casinos owned by wealthy Americans, Cuba’s elite • U.S. owned sugar, tobacco plantations • Valuable exports from plantations • Little land for peasants to farm • Cuba one of richest Latin American countries • Most Cubans could not earn living • Business interests encouraged U.S. government support of corrupt dictators • Anticommunist Fulgencio Batista took power in 1952 military coup The Cuban Revolution In Cuba, social and economic trends led to a revolution. There, social inequality and heavy U.S. influence led to a revolt that brought communism to this large Caribbean island.

9. The Cuban Revolution The coming of Castro • Batista’s Cuba • “A rich country with too many poor people” • Batista’s coup stirred discontent, nationalism among poor • Revolutionaries under Castro • Led unsuccessful attack, 1953; guerrilla war became full-scale revolution, 1955 • Batista fled 1959; Castro took control

10. Castro’s Programs Goals of the Revolution • Castro focused on ending U.S. dominance, redistributing wealth, reforming society • Energies went to restructuring economy, society, government, foreign policy • 1961, program virtually eliminated illiteracy in one year • Created medical care system, raised life expectancy • Broad support for revolution to remove Batista • Most did not know what kind of revolution Castro would lead • Middle-class Cubans supported moderate democratic reforms • Many Castro revolutionaries, including Che Guevara, wanted Marxist regime The Cuban Revolution

11. The Cuban Revolution Changes under Castro • Limited size of landholdings • Nationalized private property, businesses • To ensure he had power to make changes • Took full control of government • Took away freedom of press • Result of radical actions • Led Cuba more toward communism • Led Cuba toward confrontation with U.S.

12. The Cuban Revolution • U.S. Involvement • Cuba’s move toward communism troubled U.S. leaders • Viewed Latin America as part of U.S. sphere of influence • Wanted to keep communism out of region • Organization of American States • Set up shortly after World War II to promote economic, military cooperation • 1961, U.S.-trained invasion force of Cuban exiles landed at Bay of Pigs • Mission to spark nationwide uprising against Castro; mission failed • Cuban Missile Crisis • 1962, CIA learned Soviet Union building nuclear missile site in Cuba • President John Kennedy ordered naval blockage to keep Soviet ships out • World came close to nuclear war before compromise, missiles removed

13. Economic Effects of Revolution Results of the Revolution • Mixed results as well; economy suffered from U.S. embargo • Castro’s policies led many Cubans to leave country, many for U.S.; caused economy to struggle • Castro relied on Soviet Union for economic support; Soviet collapse in 1991 hurt economy • Mixed results since Cold War; good access to health care, education • People’s civil liberties restricted under one-party system • Government jails opponents, spies on citizens The Cuban Revolution

14. Identify Cause and Effect What were some of the causes and effects of the Cuban Revolution? Answer(s): Causes—social inequality, U.S. influence, revolts; Effects—access to health care and education, but restricted freedom, economy still suffers

15. Other Conflicts • Causes • Economic conditions not only cause of revolutions • Political corruption, repression • U.S. support for corrupt governments stirred nationalism • Guatemala • 1952, Guatemalan president Arbenz used land reform to redistribute land to peasants • Policy hurt American-owned United Fruit Company • U.S. Concerns • Pressure from United Fruit Company, concerns over Arbenz’ s leftist leanings • U.S. decided to remove from power • CIA Intervention • Intervened in coup that toppled Arbenz, replaced him • Start of repressive dictatorship • Civil war raged from 1970s until peace accord of 1996

16. Other Revolutions • El Salvador • Military dictatorships kept power through unfair elections, repression • 1980 assassination of Archbishop Oscar Romero, outspoken government critic, sparked bloody civil war between Communist guerillas, army • Civil War • Peasant villagers often caught in middle • Government “death squads” roamed countryside, killed anyone suspected of aiding opposition • Reagan Administration • Supported Salvadoran government and army • Provided money and military aid • Violence continued into the 1990s

17. Sandinistas Contras • 1979, Somoza forced to flee • Sandinistas, revolutionary group took over capital • Ruled as junta, group of leaders who rule jointly • Launched economic, social reforms • Allowed political opposition • Reagan administration cut off aid • Sandinistas looked to socialist countries for financial aid • Contras, U.S.-trained, funded rebel group, began campaign of violence • 1984 election kept Sandinistas in power, though violence continued Other Revolutions • Nicaragua • Nicaragua struggled with instability • Ruled for four decades by Somoza family • Wealthy family, controlled about one quarter of country’s farmland • Anti-communist views kept them in favor with U.S. • Corruption, violent tactics alarmed many Nicaraguans

18. Make Generalizations How did U.S. influence affect conflicts in Guatemala, El Salvador, and Nicaragua? Answer(s): civil war, violence, some corrupt leaders overthrown, economic problems, some financial and military aid

19. The Rise of Dictatorships Main Idea Spiraling economic and social problems and political turmoil in Latin America led military leaders to seize power and install repressive regimes. • Reading Focus • How did life change under dictatorships in Argentina? • What changes occurred during the dictatorship in Brazil? • What was life like in Chile during Pinochet’s dictatorship? • How did dictatorships affect life in other countries?

20. Peronism Radical Changes Downside • Juan Peron rose to power following military coup, 1943 • Had great deal of help from wife, Eva • Proved to be populist, supporter of rights of common people, not the elite • Wife Eva took charge of labor, social programs • Peron created minimum wage, eight-hour workday, paid vacations • Built schools, hospitals, shelters • Tried, failed to boost industrialization • Placed cattle, wheat industries under government control; farm production plunged • Became dictator Argentina After World War II, Argentina and other Latin American countries saw a rise in dictatorships. Social and economic conditions allowed them to take tremendous power at the expense of people’s freedoms.

21. Dirty War Military Dictatorships • 1976 to 1983, government carried out “dirty war” against suspected dissidents • Secret war carried out in middle of night • Soldiers took people from homes to detention centers, tortured, sometimes killed • 10,000 to 30,000 victims vanished during this time • Peron’s downfall, 1955, followed by decades of economic, political turmoil • Right-wing military dictatorships ruled for many years • Struggled with declining industry, rising unemployment, inflation, foreign debt • Cracked down on dissent, limited personal freedoms Argentina

22. Argentina Victims of “dirty war,” critics of government and those falsely accused of being critics • Desperate relatives tried to find out what happened to loved ones • Plaza de Mayo • Square outside government buildings in Buenos Aires • Group of mothers of disappeared marched every week • Did not get wanted answers • Brought national, international attention to tactics of Argentina’s military dictatorship

23. Find the Main Idea How did dictatorships affect society in Argentina? Answer(s): people lived in fear; economy suffered

24. Brazil • Followed path similar to Argentina’s, though more stable for a time • Juscelino Kubitschek elected president in free election, 1954 • Promised “fifty years of progress in five” • Foreign investment flowed in, helped him achieve goal • Brasília • Results of economic progress seen in capital city, Brasília • Built in three years, cost $2 billion • Symbol of pride, modernity, but bankrupted Brazil’s economy • Military rulers seized control, 1964

25. Brazil • Under Military Rule • Military rulers achieved success, creating “Brazilian miracle” of 1968 to 1973 • Industrial exports, farming, mining grew • Economy grew faster during this time than any other in the world • Rapid Growth Achieved at Cost • To achieve rapid growth, military dictatorship froze wages • Living standards declined sharply • People who complained about government risked government death squads • Opposition Grew to Military • As opposition grew, economy spiraled into debt, hyperinflation • Extremely high level of inflation; economy growing too rapidly, too quickly • 1990 inflation rate more than 2,500 percent

26. Identify Cause and Effect What caused Brazil’s economic problems? Answer(s): foreign investment, excessive domestic spending, dependence on imported petroleum products

27. Allende’s Presidency Trouble for Allende • Salvador Allende elected, 1970 • Tried to improve lives of workers, stimulate economy • Spent money on housing, education, health care • Broke up large estates, distributed land to peasants • Nationalized foreign-owned companies • After a time, industrial, farm production fell, prices rose, food shortages spread Allende’s leftist policies alienated business owners, worried U.S. government. • CIA led opposition, economy failed, military rebelled • Allende, 3,000 others killed in coup, September 11, 1973 Chile As in Argentina and Brazil, economic problems led to drastic changes in Chile’s government.

28. Chile • The Pinochet Regime • Augusto Pinochet appointed commander in chief of army a few weeks before coup • General Pinochet closely involved in coup • Destroyed Opposition • Pinochet took command of military junta following coup • Became president, 1974 • Moved quickly to destroy opposition • Pinochet’s Tactics • Disbanded congress, censored media, suspended constitution, banned opposition parties • Arrested thousands who opposed government • Period of Growth • Despite political crackdown, economy experienced several periods of rapid growth • Government promoted capitalism, exports grew

29. Summarize How did events in Chile lead to a dictatorship? Answer(s): economic problems, socialist-style policies, CIA provided funding and training to opposition, a coup took place

30. Other Dictatorships • Haiti • One family headed dictatorship for 28 years • 1957, Francois Duvalier elected president, began to repress opposition • After his death, son carried on dictatorship • From Bad to Worse • Duvalier’s corruption made Haiti’s bad economy worse • 1986, riots broke out, Duvalier forced to flee • 1990, Jean–Bertrand Aristide elected president after years of turmoil • Aristide • Popular, but military coup ended presidency after only seven months • U.S. troops invaded, Aristide returned to power, 1994 • Unable to solve economic problems, eventually pushed from power again

31. Panama Canal U.S. Action • U.S. controlled since construction • Scheduled to be handed over to Panama, 1999 • Important to worldwide shipping • Noriega’s misrule threat to worldwide economic interests • U.S. sent troops to arrest Noriega, 1989 • Noriega arrested, imprisoned in Florida for drug trafficking • Democratic elections, 1994 • Canal transferred smoothly, 1999 Panama During the 1980s, Panama was controlled by Manuel Noriega. Noriega brutally crushed enemies and used the country as a base for drug smuggling.

32. Peru • Challenges • 1990, Peru faced challenges of poor economy • Shining Path, guerrilla group terrorized countryside • Alberto Fujimori won presidential election • Fujimori • Took drastic measures to improve economy, stop Shining Path • Congress complained about abuse of power • Fujimori disbanded congress, suspended constitution • Elections • Fujimori had become dictator, yet won election in 1995 • Booming economy, progress against guerilla activity reasons for victory • Scandals, fraud forced Fujimori to resign following election of 2000

33. Compare What did the dictators in Haiti, Panama, and Peru have in common? Answer(s): abuse of power, economic problems, repression of opposition

34. Democratic and Economic Reforms Main Idea In the 1980s, repressive regimes in Latin America fell, and more moderate elected leaders brought some measure of political and economic progress. • Reading Focus • How did democracy return to Latin America? • How has democracy in Mexico changed in recent years? • What have been the results of market reforms in Latin America?

35. Peasants No Security • Landless poor streamed into cities, searched for work • “Brazilian miracle” miracle for military, landowners, wealthy business people only • Dictatorships did not bring stability • Death squads, civil rights repressed, mysterious disappearances, torture, killings • People began to demand change • Many failed to achieve social, economic reforms • Poverty, malnutrition, infant mortality remained high Failures of Dictatorships Return of Democracy After decades, dictatorships across Latin America started falling in the 1980s and 1990s. Moderate civilian politicians put an end to military rule, and began a series of political and economic reforms.

36. A Peaceful Transition • Despite history of violence, return of democracy fairly peaceful • Combination of internal, external forces applied pressure for reform • International lenders demanded changes in way countries governed as a condition for receiving loans • Voting Rights • Pro-democracy groups called for countries to restore voting rights, allow political opposition • Military leaders relaxed restrictions, integrated limited freedoms • Given a chance to vote, people did • Voted out military, voted in new civilian governments

37. Return of Democracy New civilian governments • Democracy returned in Brazil, early 1970s • Argentina returned to democracy after Falklands War, 1982 • Central American countries • Returned to relative calm 1980s, 1990s • Elected moderate governments like that of Violeta Chamorro in Nicaragua • Chile • Enjoyed more economic success than most of region • Pinochet regime fell, 1990

39. Identify Cause and Effect What factors brought about the return of democracy in Latin America? Answer(s): severe social and economic problems; new requirements for reform from IMF and other leaders in order to obtain loans; pro-democracy groups

40. One-Party Rule PRI Politics • Mexico never a dictatorship, but not very democratic either • Institutional Revolutionary Party, PRI • Ruled Mexico with little opposition for more than 70 years • Controlled congress • Won every presidential election • Political victories achieved through fraud, force, bribery • Still economy remained strong • Industry grew for many years • Industry became dominated by foreign companies • Companies’ profits increased, less money stayed in Mexico • Foreign debt grew; poverty, inequality remained Democracy in Mexico Mexico’s path to democracy was very different from other countries in the region.

41. Other Crises Demands for Reform • 1980s, world oil prices fell, caused Mexico’s oil revenues to be cut in half • High inflation, unemployment caused severe economic decline • 1985, earthquake destroyed parts of Mexico City, created more problems for government, economy • Worsening economic conditions, frustration with political corruption, crises blamed on PRI • Police, military fired on peaceful student protestors, 1968; hundreds dead, wounded • Government tried to cover up extent of tragedy Democracy in Mexico

42. 1994 1992 • Peasant uprising occurred in Mexican state of Chiapas • Government devalued Mexican currency, shook public’s confidence • More Mexicans faced new hardships in their lives • Something had to change • 1992, Mexico, U.S., Canada signed North American Free Trade Agreement • NAFTA eliminated tariffs on trade between the countries • Designed to improve economies, but Mexicans feared effects of increased competition from foreign imports Democracy in Mexico

43. Democracy in Mexico • A New Era • 1997, opposition parties won seats in congress • 2000, voters ended 71 years of PRI rule • Elected conservative PAN party member Vicente Fox president • Challenges • Had to create functioning government, stable economy • Worked to end Chiapas uprising, end corruption, improve relations with U.S. • Made progress on most goals • 2006 • Strained U.S.-Mexico relations on reform of immigration laws, border security • Mexico maintained commitment to democracy with 2006 elections • Conservative PAN party member Felipe Calderón won extremely close race

45. Find the Main Idea In what way was Mexico not very democratic until 2000? Answer(s): One party ruled the government for over 70 years.

46. Market Reforms • Economic Changes • Shift to democracy from Mexico to Argentina brought economic changes • Western banks pressured countries into reform measures • Reforms • Drastically cut government spending • End some government subsidies of businesses • Reforms • Sell government services to private enterprise • Return inefficient government-controlled businesses to private ownership • Reforms • Strengthen regional trade agreements, establish new ones • Measures intended to reduce inflation, expand imports

47. Struggles Continued Hardships • Other parts of Latin America struggled • Exports from region remained sluggish • Countries dependent on single commodities • Many reform measures caused hardships in some countries • Argentina experienced deep recession in 2001, 2002 • Could not pay multi-billion-dollar debt • President devalued currency Results of Market Reforms • Mixed Results • Many countries experienced economic growth, stability, others suffered • Brazil’s inflation fell from quadruple digits to less than 7 percent by 2006 • Chile’s reforms cut poverty rate in half between 1990 and 2003 • Business owners celebrated economic changes • Bankers, international lenders loaned billions for increased economic development in Latin America

48. Results of Market Reforms • Argentina’s currency devalued • Banks failed, unemployment rate reached more than 20 percent • Even many middle-class struggled to buy basic necessities • Economy stabilized by end of 2003 • No positive effects • Even where market reforms benefited national economies, many people did not feel positive effects • Poverty still widespread in Latin America, gap between rich and poor wider • Supporters • Supporters of market reforms say reforms have not gone far enough • Key elements of reform, laws to protect property rights, business contracts, have not been made; political corruption still affects Latin American business

50. Venezuela Populist Bolivia and Brazil • Venezuelans elected Hugo Chávez president, 1998 • Set out to eliminate poverty • To do so rejected certain aspects of capitalism • Limited success, problems remain • Critics concerned he has turned toward dictatorship • Evo Morales elected Bolivian president, 2005 • Nationalized gas industry, supported coca farmers • Brazil elected Luiz Inácio Lula da Silva, 2002 • Former union leader, sympathetic to poor • Managed to balance interests of social reformers, businesses Reactions to Market Reforms Dissatisfaction with economic problems and government’s inability to solve them has led to more political and economic shifts in the region.