Why Is Guatemala Poor?

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The richest 20% in the world gorge themselves on over 70% of the world’s resources while continuing to exploit the poorest, who are forced to live in desolate poverty. Guatemala is no exception to this, as over 50% of their population live under the poverty line. With a population of around fifteen million people, Guatemala is the most populous country in Central America, but is also one of the poorest. Guatemala’s extreme impoverishment is because of the struggle between the poor mixed-blood natives and the rich Spanish descendants who run the country, the interference of other countries and the extortion of the country with deceitful loans and conditions by the World Bank and other associations.
Guatemala was home to the remnants of the Mayan people and it was composed of a number of small fortified kingdoms. It was colonized in the early 16th century by the Spanish conquistador Pedro de Alvarado. Right from the beginning, the Spanish were attracted in the hopes of extracting gold, silver and other riches and did so by aligning themselves with the Kaqchikel, who wanted to defeat their enemies the Tz’utujil. This alliance soon failed and soon the Spanish conquered the entire Yucatan Peninsula. The Spanish conquest had a dramatic impact on the native population from the result of epidemic diseases and the export of over 50,000 slaves. After the initial colonization, it was soon followed by years of extreme exploitation and gradual assimilation of the native people. The government was dominated by the Spanish and descendants who soon introduced new cash crops such as coffee and sugarcane that economically exploited native labour. The locals are still being oppressed today on the cash crop plantations with basically slave type co...

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... improve its economy, he would adopt policies for a nationalist economic development. This was during the Cold War and the United States had both political and economic interests in Guatemala. They were concerned about a “Soviet Beachhead” opening up in the Western Hemisphere, so they failed to mention small details to prove the existence of widespread communism in Guatemala. Many groups of Guatemalan exiles were trained by the CIA and commanded by Armas, an officer disbanded by Arbenz, and in 1954 they invaded Guatemala. A military government run by Armas replaced Arbenz’ government and Arbenz was forced to flee. It is impossible for a country to develop if when they try to get out from underneath corporations like the United Fruit Company, or try to stimulate their economy they are shut down and labelled communists. This sparked a civil war that lasted 36 years.

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