Latin America The Economy

Goods sold to other countries Exports: Goods sold to other countries

Agriculture Campesinos: rural farmers and workers Latifundia: Large agricultural estates owned by wealthy families or corporations Minifundia: All other farms. “Small plots of land intensively farmed by campesinos to feed their families. Their plots are usually owned by the government or wealthy

Agriculture Cash crops: crops produced in large quantities to be sold or traded. Bananas, Sugarcane, Coffee, Rubber, Chocolate Illicit drugs

Industry Developing Countries Service Industries have grown rapidly Andes and Amazon Rainforest limit industrial growth Expanding global trade strengthens economies

Maquiladoras Manufacturing plants built by American and Japanese companies Most along the U.S.-Mexico border Free Trade Zones: areas of a country where trade restrictions do not apply Low-cost labor, duty free exports.

Transportation

Trade: NAFTA 1994: between US, Mexico, and Canada North American Free Trade Agreement Trade grew 10-15% annually Very Controversial

CAFTA Similar to NAFTA Central American Free Trade Agreement Lower trade barriers between U.S. and Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, and the Dominican Republic

Homework NAFTA, the Good, the Best, and the Ugly for the Americas ^Print this Article Read it Highlight or underline important points Write a 2 paragraph summarizing your views on NAFTA: Is it good? Bad? Should it be abolished? Expanded? Etc. Attach your written work to the printout of the article, and turn it in tomorrow.