The Economic Basis of Politics in Latin America

The geographies of the American nations are extremely varied and give rise to different problems of develop ment not only as between the United States and Latin America but also as between the Latin-American countries themselves. Generally, the United States has had a frontier more amenable to settlement and development along democratic lines—on the bases of equality and individual initiative—than any of the Latin-American countries. In Latin America, land and agri culture remain organized much as they had been in colonial days. Trade has consisted of raw-material exports and manu factured imports. Industrialization has begun, but supported by foreign capital. A middle class, so long nonexistent, has developed, but it has followed the liberal professions in num bers disproportionate to the need for such services. The polit ical pattern of bureaucratic caesarism—already existing on the bases of the predominance of great landed estates, undeveloped industry, the paternalistic state, and the absence of new areas of individual opportunity—has been intensified by the de mands of the professional middle class for suitable positions. The development of Latin-American countries depends upon corrective co-operation between the governments and the people to bring about agrarian reform, urban renewal and development, education, and industrialization. Prompt action, particularly in agrarian reform, can enhance the stability of democratic regimes.—Ed.