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Economic Development of Central America Econ. 4200 - Spring 2004 – Dr. Taylor - page 110 / 153

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[2] The trick is to promote sustained economic growth in the context of a consistent social policy that guarantees that the benefits accrue to a large portion of the population.

[3] Given the entrenched sociopolitical structure installed   in post-colonial Central America, economic growth as well as the deployment of modern technological advancement, resulted in large portions of the population being displaced, culturally and socially degraded, and ultimately marginalized.

[4] This reserve of surplus labor, with the awareness of inequality and the arrogant culture of the elite, developed into anunstable social base. Throw into the mix some radical ideology and “liberation theology” and you get the bloody tragedy of civil war.

[5] The foreign policy of the US government, while not a primary cause, only made matters worse. Although, the US Cold War policy of snuffing out communism was realized.

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