"The investment of foreign capital in our country, particularly in the construction of railways and the modernization of mining, has been the most powerful agent of progress. By connecting our agricultural and mineral wealth directly to the ports, these foreign-owned enterprises have integrated us into the great currents of global commerce, transforming local isolation into national and international exchange."
—Adapted from a report by Matías Romero, Mexican diplomat and statesman, 1898
The economic activities described in the passage most directly reflect which of the following nineteenth-century developments?
- AThe establishment of direct Western colonial rule and administrative control over the Mexican government.
- BThe establishment of direct Western colonial rule and administrative control over the Mexican government.
- The growth of transnational businesses and the global flow of industrial capital to expand trade networks.Answer
- DThe persistence of mercantilist trade systems that prohibited foreign investment in former colonies.
- EThe widespread adoption of Marxist reforms that nationalized transport and mining infrastructure.
Answer
The growth of transnational businesses and the global flow of industrial capital to expand trade networks.
The correct option describes the growth of transnational businesses and the global flow of capital. The passage details how foreign investments in infrastructure (like railways and mining) connected Latin American economies to global trade networks, demonstrating the expansion of industrial capitalism and transnational enterprise in the late nineteenth century.
Step-by-Step Solution
Key Concept
Development of Industrial Capitalism and Transnational Businesses
Estimated Time:1m 0s