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first Europeans arrived in the area in the early
16th century. Both Spain and Portugal pursued the
colonization of Uruguay, with the Spanish eventually
gaining control. The future capital, Montevideo,
was founded in the early 18th century and became
a rival to Buenos Aires across the Río de
la Plata. Montevideo, however, was thought of as
a military center for the Spanish empire, while
Buenos Aires was a commercial center.
In
the early 19th century, independence movements
sprung up across South America, including Uruguay
(then known as the Banda Oriental, or "Eastern
Strip", referring to the area east of the
Uruguay river). Uruguayan territory was contested
between the nascent states of Brazil and Argentina.
Brazil annexed the area in 1821 under the name
of Provincia Cisplatina, but a revolt began on
August 25, 1825, after which Uruguay became an
independent country with the Treaty of Montevideo
in 1828.
The
original population of Charrúa Indians
was gradually decimated over three centuries,
culminating on 11 April 1831 in a mass killing
at Salsipuedes, which was led by General Fructuoso
Rivera, Uruguay's first president. After that
date the few remaining Charrúas were dispersed
and a viable Charrúa culture was a thing
of the past, although Charrúa blood still
runs in the veins of many Uruguayans today as
a result of extensive Charrúa-Spanish intermixing
during colonial times. Four Charrúas -
Senaqué, the leader Vaimaca Pirú,
the warrior Tacuabé and his wife Guyunusa
- were taken to Paris in 1833 to be displayed
as circus attractions.
In
the latter part of the 19th century, Uruguay participated
in the War of the Triple Alliance against Paraguay.
Uruguay
then experienced a series of elected and appointed
presidents and saw conflicts with neighboring
states, political and economic fluctuations and
modernization, and large inflows of immigrants,
mostly from Europe. The work of President José
Batlle y Ordóñez made Uruguay an
advanced nation with a complex welfare system;
for most of the 20th century Uruguay was on par
with European nations. Due to its advanced social
system and its stable democracy, Uruguay came
to be known as "the Switzerland of the Americas".
The
Uruguayan economy relies largely on agricultural
exports. The world wars brought prosperity as
Uruguayan beef and grain went to feed a war-ravaged
Europe. World food prices dropped precipitously
following the end of WWII, which triggered years
of decline for the Uruguayan economy. By the 1960's,
the stable social system began to break down as
the economy spiralled. The government started
losing popular support as students, workers and
lower-class families felt the pain of an economy
unable to adapt to a post-agricultural world economy.
The Tupamaros, a radical marxist-leninist group,
responded to the crisis with violence, which triggered
government repression that ended with the suspension
of individual rights by the president, Jorge Pacheco
Areco, and his successor, Juan María Bordaberry.
Finally, in 1973, the army seized power, ushering
in 11 years of military dictatorship in what was
once one of the most stable democracies in the
region. In 1984, democracy was finally restored
with the election of Julio María Sanguinetti.
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