Homework Help

How has the value of U.S. investments in Latin America changed over time?Has the...

user profile pic

activeg | Student, Undergraduate | (Level 1) Honors

Posted September 30, 2010 at 7:33 AM via web

dislike 2 like
How has the value of U.S. investments in Latin America changed over time?

Has the changing balance between the two regions been more beneficial for the United States or for Latin America?

2 Answers | Add Yours

user profile pic

brettd | High School Teacher | (Level 2) Educator Emeritus

Posted September 30, 2010 at 7:47 AM (Answer #2)

dislike 0 like

Great question.  In recent years, I would say it has been more beneficial to Latin America, this being in part because for so many years previous, it was so imbalanced in favor of the United States and its business interests.

In nations such as Venezuela and Bolivia, which have had populist revolutions in favor of Evo Morales and Hugo Chavez, they have nationalized key industries in their oil and gas sectors, meaning more dollars are directed towards their own economies as opposed to being exported overseas.  This is controversial, of course, because it costs large companies a lot of money and these companies have powerful friends in Washington and elsewhere.

Where investments haven't largely changed is in agriculture, as land reform in Latin American countries has been quite rare, and large landowners, backed by the US, produce a lot of food and profit for US investors.

user profile pic

litteacher8 | Middle School Teacher | (Level 1) Distinguished Educator

Posted February 16, 2011 at 9:29 PM (Answer #3)

dislike 0 like


Yes, there are many Latin American countries that have attracted the interest of US companies.  Companies are buying land and resources from many of the more stable countries.  At the same time, the unstable countries like Mexico are seeing a decrease in US interest, as companies try to avoid losses due to drug cartel violence.

Join to answer this question

Join a community of thousands of dedicated teachers and students.

Join eNotes