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Central America Introduction. Key issue: Agrarian Transformation. “a major change in the organization of agrarian society” What is the relationship between landownership, agricultural systems, and poverty? a gricultural export option “Agro-export” model
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Key issue: Agrarian Transformation • “a major change in the organization of agrarian society” • What is the relationship between landownership, agricultural systems, and poverty? • agricultural export option “Agro-export” model • Proposition:historical evolution since colonization has perpetuated poverty and underdevelopment • land dispossession and concentration • subjugation of peasants/anti democratic • unequal economic development • failure to reinvest in countries
Political implications: focus on specific countries • Agrarian reform--central to agendas of both reformers and revolutionaries • Goal and overthrow of reformers • Guatemala 1954 • Honduras 1963 • civil war and conflict: • El Salvador • Nicaragua • Guatemala peace and reconciliation
PRE-INDEPENDENCE • These transformations are important because they limit current options • Pre-Columbian agricultural systems • The conquest
COLONIAL PERIOD: HOW TO MAKE WEALTH? • 16th Century: Cacao • 17th Century: Indigo • 18th Century: Haciendas • EXCEPTION: Costa Rica
LIBERAL REFORMS AND COFFEE • Crisis “roots are to be found in the contradictions of a social structure established in the late 19th C. “ • Independence: Declared in 1821 • Central American Federal Republic 1823-1838 • CA liberalism different than Mexican liberalism • Economic, not political: Democracy =Property
CA coffee regimes • Guatemala: “forced labor camp” • El Salvador: Plenty of labor, but not enough land • Nicaragua: Retarded but similarto the others • Costa Rica: unique foundations • Honduras: waits til later • Conclusions of coffee boom
BANANA REPUBLICS • Two Views • Heroic entrepreneurs • Monopolist exploiters • United Fruit “The Octopus” • Bananas and Railroads • Key players • Minor Keith • Samuel Zemurry
BANANA REPUBLICS • Costa Rica • Honduras • Guatemala • Plusses and minuses
POSTWAR TRANSFORMATION OF CENTRAL AMERICAN AGRICULTURE • Factors • Cotton and Sugar Diversification • Cattle • Non traditional exports (NTX) • END RESULT: comparative expansion of exports v. food production
INTERNATIONALISATION OF EXPORT AGRICULTURE • Growing insertion into global economy by both commercial farmers and peasants • Growing role of international aid agencies • Evaluation of “comparative advantage”
IMPACTS OF AGRICULTURAL TRANSFORMATION ON RURAL ECONOMIC SECURITY • Status • Population growth or agricultural transformation Poverty? • Access to land • Export cropping Access to food/malnutrition • Access to Employment and Income • Social Impact of non-traditional exports (NTX) • Environmental Degradation