Latin America Economic Political Characteristics Francisci WG 4

Latin America: Economic & Political Characteristics Francisci WG. 4

Economic & Political Characteristics • Latin America has a diverse range of mineral resources and industries. – Chile has Copper. – Venezuela and Brazil have iron ore. – Oil can be found in Mexico, Venezuela and Ecuador. – Industries: farming, sugar, bananas, mangoes, coffee beans, rubber wheat, cattle, sheep, metal and chemical industries, food processing and textiles.

Economic & Political Characteristics • Very diverse economies in Latin America. – There is great disparity between the rich and the poor. – Disparity: Wide range of income distribution. – Subsistence Farming: Small plot where a farmer grows only enough food to feed his own family (maize, wheat or potatoes).

Economic & Political Characteristics • Farming in Latin America is very limited (only 6% of the land). – Terraced Farming: Farming practiced by carving out steps in the mountainside. – Plantation: An agricultural estate usually worked by resident laborers who grow cash crops: a product grown on plantations specifically for exporting (coffee beans, tobacco).

Economic & Political Characteristics – Ejidos: Large communally owned farms that are operated by community residents. – Cattle ranching on the grassy pampas provides meat and wool. – Gauchos: Cowboys that work on cattle ranges in the pampas and llanos.

Economic & Political Characteristics • The Amazon Rain Forest is being cut down at an alarming rate. – The population of Latin America is growing so fast that the rainforests are being cleared of trees for more land. – Deforestation: depletion of forest resources by human interaction. – Slash-and-Burn Agriculture: The practice of cutting down trees and burning the stumps in order to create fields or to sell timber for a profit.

Economic & Political Characteristics • Megacity: A large metropolitan city with a population of more than 10 million people (ex. Mexico City). – Many people moving to Mexico City for jobs. – Most do not find jobs and end up living in the outskirts of the city called shantytowns. – Mexico City has an enormous pollution problem with smog: haze of smoke and fog coming from factories.

Economic & Political Characteristics • The Panama Canal runs through the Isthmus of Panama and connects the Atlantic Ocean to the Pacific Ocean. – Major trade route – Shortened the distance that ships had to travel to pass between the Atlantic and Pacific Oceans.

Economic & Political Characteristics • Memberships: – North American Free Trade Agreement (NAFTA): Economic alliance created in 1989 that reduces trade barriers between Mexico, United States and Canada. – Organization of American States (OAS): Political organization made up of countries from the western hemisphere that works for peace and democracy.