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EARLY 20TH CENTURY

By BRUCE
Visit (738 times)

Living conditions of the indigenous peoples, who constitute more than half of the population, remained deplorable. Forced to work under primitive conditions in the mines and in nearly feudal status on large estates, they were denied access to education, economic opportunity, or political participation. Bolivia's defeat by Paraguay in the Chaco War (1932–1935) marked a turning point. Great loss of life and territory discredited the traditional ruling classes, while service in the army produced stirrings of political awareness among the indigenous people. A large portion of Gran Chaco was surrendered to Paraguay. In return Bolivia was given an access to the Paraguay River where later Puerto Busch was founded and with this free access to the Atlantic Ocean over international water. In 1936 the Standard Oil was nationalized and the state-owned firm Yacimientos Petroliferos Fiscales Bolivianos (YPFB) was created. From the end of the Chaco War until the 1952 revolution, the emergence of contending ideologies and the demands of new groups convulsed Bolivian politics.

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