Figure 1.--Here is a view of the port of La Guira at the turn of the 20tyh century. The lack pf refrigeratiin and the war climate which causes milk to spoil quickly resulted in this system of distribution. Of course in Ameruca t this time befire the afcent of the Food and Drug dministration (FDA), the milk Amerucans were drigging was often danbgeriusly aduterated. Also notice the narrow streets. This was a Keystone stereo view card. The caption read, "In the narrow streets of La Guaira, Venezuela, So. Am. Native method of distributing milk unadulturated. Click on the image to see the text on the back.

While of limited economic importance, it was in Venezuela that the revolution and independence movement was born (1802). The Wars for Independence were fought for more than two decades. was launched during the Napoleonic Wars. Spain was occupied by the French and unable to support the Roylist forces in the America. Britain with its powerful Royal Navy favored independence because it essentially opened the whole continent to trade. Spain unlike Britain required its colonies to trade with the mother country. Thus even after the French were expelled, the Royal Navy meant that Spain could not significantly assist the Roytalists. After independence, Venezuela was part of a similar economic and political trajectory as the rest of Spanish Empire. The new Government did not make major economic changes beyond removing Spanish colonial restriuctions on trade. Gradually they did adopt high tariffs to protect infant industries. But there were few industries to protect. The country's ecomnomy was primarily agriculture. Coffee and cocoa were very important. This was the situation despite the industrial revolution in Europe and America. Why did the the indidtril revolution not take hold in Venezuela and other Latin Anmeriucan counytries? In part, it was the same reason that it did bnot take hold in Spain and Portugal. The Iberaian social system did not promomote entrpreneurship. And little effort was made to develop the country's human capital. Whjile Europe and Anerica developed fine public education systems, public education lagged. And not one world class university was created. In addition to agriculture, Latin America turned to exporting raw material. In cvintrast, the United sdtates used commonly usednatural resources to develop industries. Venezuela had few important raw materials to export--until oil began to become an increasingly valuable commodity at the turn of the 20th century.

Created: 8:28 PM 10/13/2021
Last updated: 8:28 PM 10/13/2021