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Economic Development of Central America Econ. 4200 - Spring 2004 – Dr. Taylor - page 104 / 153

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[7] Note: part of the way the government had maintained social stability was through  building a democratic welfare state => public finances moved to borderline crisis mode.

El Salvador…

Partido Democratica Cristiana (PDC)… Jose Napoleon Duarte

Series of events… Soccer War (67)… military lost the war… 125,000 El Salvadoran immigrants returned home causing social unrest… Honduran embargo hit Salvadoran exports and economy hard… political intrigue with General Molina stealing election from Duarte… coup led by dissident army officers (failed)… public protests begin… right-wing vigilante groups organized and become active… Church became active and was branded as an enemy (Archbishop Oscar Romero assassinated in 1979)… Frente Farabundo Marti para la Liberacion Nacional (FMLN… a leftist party) and Alianza Republicana Nacional (ARENA… right wing and associated with the death squads) formed… military divided… country constantly in state of internal siege… large scale immigration to US begins during Carter administration.

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