Colonial Economies and Gov’t More than 80% of Spanish America’s population was in agriculture and ranching. Mining was an essential activity. Maritime organized around precious metals—silver. Makes Latin America a dependent part of the world system.

Colonial Economies and Gov’t oSilver mines created wealthy urban centers. They were worked by Indians. 1/5 to the crown. oThe industry was a stimulus for the general economy because of the need to feed and clothe the workers. oRules the commercial system and world economy oSilver that went to Spain was used for state expenses and for manufactured goods for the Americas.

Colonial Economies and Gov’t Contributes to European inflation and stimulates unwise government spending Sheep raising led to textiles sweatshops worked by Indian women. Latin America becomes self-sufficient and imports only luxury items from Europe.

Haciendas and Villages As population dwindled rural estates (haciendas) emerged. Indians and mixed workers produced grains, grapes, and livestock primarily for consumers in the Americas. Became the basis of wealth and power for a local aristocracy.

State and Church Sovereignty over the Spanish empire rested with the crown, based upon a papal grant awarding the Indies to Castile in return for its bringing the lands into the Christian community. Treaty of Tordesillas (Spain and Portugal) regulated their conflicting claims by drawing a north/south line around the earth. East belonged to Portugal and West to Spain. All of the Americas went to Spain.

State and Church The King ruled from Spain through the Council of Indies and viceroys (high-ranking nobles). Viceroys had legislative, military, and judicial powers. Had ten magistrates who were often corrupt. Clergy performed both secular and religious functions. Converted Indians and established Christian religions. State nominated church officials, so they supported its policies. Influenced colonial culture and intellectual life.

Sugar and Slavery Brazil became the world’s leading sugar producer. Required large amounts of capital labor First plantation economy Slaves comprised about ½ of the total population at the close of the 17 th century. Whites at the top of the colonial life, middle was poor whites, people of mixed origins, Indians, and Africans who were artisans, small farmers, herders and free workers. Missionaries had an important role; they ran ranches, mills, schools and church institutions.