Contemporary Latin America & Canada

• By the 1990s, there appeared to be some hopeful signs that much of Latin America was overcoming its traditional problems of political instability, socialism, and inflation
• Attempts to turn state-owned enterprises over to private ownership often resulted not in free competition, but in private monopolies subsidized by the government
• In Mexico, a reform policy to turn state-controlled agricultural lands over to the peasant farmers was hampered by the socialist national constitution, which decreed that all lands belonged to the state
• By the 1990s, Colombia was experiencing a crisis of widespread violence and terrorism launched by drug dealers and Marxist guerrillas
• With American aid, Colombian officials and military commanders launched intense efforts to at least halt the growing power of the drug lords
• Peru also struggled against Marxist revolutionaries such as the Shining Path and the Túpac Amaru terrorist organizations
• These groups worked to squelch Christianity in Peru by brutally harassing and attacking Christian missionaries and Christian citizens of Peru
• The collapse of the Soviet Union left many of the other revolutionary movements in Latin America without support
• In 1990, free elections were held in Nicaragua, where Violeta Barrios de Chamorro defeated the Communist leader Daniel Ortega
• Although Ortega made another run for the presidency in 1996, a candidate who favored free enterprise and strong ties to the United States defeated him
• In Communist Cuba, the economy went into a tailspin without support from the former Soviet Union, and Fidel Castro agreed to some free-market reforms to attract foreign investments
• Castro lifted emigration restrictions in 1994 and allowed people to freely leave the country
• The North American Free Trade Agreement (NAFTA) joined Mexico in an economic partnership with the United States and Canada
• Most of the tariffs and other trade barriers between the three nations were eliminated
• Despite movement toward more trade and privatization in the economy, Mexico was beset with political and economic problems, including guerrilla warfare by Marxist rebels
• In 1995, the Mexican economy experienced difficulties because of the government's corruption and its inability to pay its foreign debts
• Mexico's currency system faced a complete collapse, but the United States Treasury intervened, lending Mexico billions of dollars
• Mexico's largest industry—oil—remained under government control in a socialist bureaucracy
• Canada achieved complete independence from Great Britain in 1982
• The British monarch continues to be the official head of state, but the real political power in Canada rests in the hands of the Canadian prime minister, who is the selected leader of the majority party in Canada's House of Commons
• Since World War II, Canada has moved more toward socialism, including instituting a national healthcare program
• Socialism became more prevalent under Prime Minister Pierre Trudeau of Canada's Liberal Party, who held power from 1968 to 1984
• Under his rule, Canada experienced a terrible economic recession, high unemployment, and inflation
• After the 1984 elections, the Progressive Conservative Party came to power under Prime Minister Brian Mulroney, and by the 1990s, a trend toward free enterprise contributed to Canadian prosperity
• Kim Campbell, also a member of the Progressive Conservative Party, succeeded Mulroney and became Canada's first female prime minister, but her term was short-lived as the Liberal Party regained power in the next election
• Currently, Justin Trudeau, the son of Pierre Trudeau, serves as prime minister for Canada
• Since Canada is the neighbor to the north of the US, Canadian influence on United States politics is felt
• Friendly borders lead to friendly relationships, wherein politics can easily transfer
• Additionally, keeping all nations in North America happy influences the need for good relationships with Canada and Mexico