Question

Chile's primary economic influence was those in control of the type of economy for the country. In 2-3 sentences, compare the historic economy of Chile with more recent history's market economy.

Answer 1

The Spanish invasion of Chile and the majority of Latin America changed its history. The Spanish rule exploited the country during the mercantilist era. Independence came in 1844 and with it, economic and political stability.

Chile started to sell copper and nitrate, and copper is still the foundation of the Chilean economy. The beginning of the 20th century came with the economic crisis for Chile, the demand for mineral nitrates fell. The Great Depression did not help the country either.

Chilean economy got better with WWII with a higher demand for copper. The 70s were a difficult period for Chile, Pinochet was a brutal dictator, he widespread repression, torture and murder, it was only in the early 80s that democracy returned to the country, with it came free market system, many state-owned firms were sold, privatizations continued.

Today, with political stability, Chile is one of the fourty most developed countries in the world, with a robust economy.