Costa Rica History
PRE-COLUMBIAN ERA
When Spanish explorers arrived in what is now Costa Rica
at the dawn of the 16th century, they found the region populated
by several poorly organized, autonomous tribes. In all, there
were probably no more than 20,000 indigenous peoples on 18
September 1502, when Columbus put ashore near current-day
Puerto Limón. Although human habitation can be traced
back at least 10,000 years, the region had remained a sparsely
populated backwater separating the two areas of high civilization:
Mesoamerica and the Andes. High mountains and swampy lowlands
had impeded the migration of the advanced cultures.
There are few signs of large organized communities, no monumental
stone architecture lying half-buried in the luxurious undergrowth
or planned ceremonial centers of comparable significance to
those elsewhere in the isthmus. The region was a potpourri
of distinct cultures. In the east along the Caribbean seaboard
and along the southern Pacific shores, the peoples shared
distinctly South American cultural traits. These groups--the
Caribs on the Caribbean and the Borucas and Chibchas in the
southwest--were seminomadic hunters and fishermen who raised
yucca, squash, and tubers, chewed coca, and lived in communal
village huts surrounded by fortified palisades. The matriarchal
Chibchas had a highly developed slave system and were accomplished
goldsmiths. They were also responsible for the fascinating,
perfectly spherical granite "balls" of unknown purpose
found in large numbers at burial sites in the Río Terraba
valley, Caño Island, and the Golfito region. They had
no written language.
The largest of Costa Rica's archaeological sites is at Guayabo,
on the slopes of Turrialba, 56 km east of San José,
where an ancient city is currently being excavated. Dating
from perhaps as early as 1000 B.C. to A.D. 1400, Guayabo is
thought to have housed as many as 10,000 inhabitants. The
most interesting archaeological finds throughout the nation
relate to pottery and metalworking. The art of gold working
was practiced throughout Costa Rica for perhaps one thousand
years before the Spanish conquest, and in the highlands was
in fact more advanced than in the rest of the isthmus.
The tribes here were the Corobicís, who lived in small
bands in the highland valleys, and the Nahuatl, who had recently
arrived from Mexico at the time that Columbus stepped ashore.
In late prehistoric times, trade in pottery from the Nicoya
Peninsula brought this area into the Mesoamerican cultural
sphere, and a culture developed among the Chorotegas--the
most numerous of the region's indigenous groups--that in many
ways resembled the more advanced cultures farther north.
In fact, the Chorotegas had originated in southern Mexico
before settling in Nicoya early in the 14th century (their
name means "Fleeing People"). They developed towns
with central plazas; brought with them an accomplished agricultural
system based on beans, corns, squash, and gourds; had a calendar,
wrote books on deerskin parchment, and produced highly developed
ceramics and stylized jade figures (much of it now in the
Jade Museum in San José). Like the Mayans and Aztecs,
too, the militaristic Chorotegas had slaves and a rigid class
hierarchy dominated by high priests and nobles.
COLONIAL ERA
The First Arrivals
When Columbus anchored his storm-damaged vessel in the Bay
of Cariari on his fourth voyage to the New World, he was welcomed
and treated with great hospitality. The coastal Indians sent
out two girls, "the one about eight, the other about
14 years of age," Columbus's son Ferdinand recorded.
"The girls . . . always looked cheerful and modest. So
the Admiral gave them good usage. . ."
In his Lettera Rarissima to the Spanish king, Columbus gave
a different tale of events: "As soon as I got there they
sent right out two girls, all dressed up; the elder was hardly
eleven, the other seven, both behaving with such lack of modesty
as to be no better than whores. As soon as they arrived, I
gave orders that they be presented with some of our trading
truck and sent them directly ashore."
The Indians also gave Columbus gold. "I saw more signs
of gold in the first two days than I saw in Española
during four years," his journal records. He called the
region La Huerta ("The Garden"). The prospect of
loot drew adventurers whose numbers were reinforced after
Balboa's discovery of the Pacific in 1513. To these explorers
the name Costa Rica must have seemed a cruel hoax. Floods,
swamps, and tropical diseases stalked them in the sweltering
lowlands. Fierce, elusive Indians harassed them maddeningly.
And, with few exceptions, there was no pot of gold at the
end of the rainbow.
In 1506, Ferdinand of Spain sent a governor, Diego de Nicuesa,
to colonize the Atlantic coast of Veragua. He got off to a
bad start by running aground off the coast of Panama and was
forced to march north, enduring a welcome that was less hospitable
than that of Columbus. Antagonized Indian bands used guerrilla
tactics to slay the strangers and willingly burnt their own
crops to deny them food. Nicuesa set the tone for future expeditions
by foreshortening his own cultural lessons with the musket
ball. Things seemed more promising when an expedition under
Gil Gonzalez Davila set off from Panama in 1522 to settle
the region. It was Davila's expedition, given quantities of
gold, that nicknamed the land Costa Rica, the "Rich Coast."
Davila's Catholic priests also supposedly managed to convert
many Indians to Christianity. But once again, sickness and
starvation were the price: the expedition reportedly lost
more than 1,000 men. Later colonizing expeditions on the Caribbean
similarly failed miserably; the coastal settlements dissolved
amidst internal acrimony, the taunts of Indians, and the debilitating
impact of pirate raids. Two years later, Francisco Fernandez
de Cordova founded the first Spanish settlement on the Pacific,
at Bruselas, near present-day Puntarenas. It lasted less than
two years.
For the next four decades Costa Rica was virtually left alone.
The conquest of Peru by Pizarro in 1532 and the first of the
great silver strikes in Mexico in the 1540s turned eyes away
from southern Central America. Guatemala became the administrative
center for the Spanish main in 1543, when the captaincy-general
of Guatemala, answerable to the viceroy of New Spain (Mexico),
was created with jurisdiction from the Isthmus of Tehuantepec
to the empty lands of Costa Rica.
By the 1560s several Spanish cities had consolidated their
position farther north and, prompted by Philip II of Spain,
the representatives in Guatemala thought it time to settle
Costa Rica and Christianize the natives. By then it was too
late for the latter. Barbaric treatment and European epidemics--opthalmia,
smallpox, and tuberculosis--had already reaped the Indians
like a scythe, and had so antagonized the survivors that they
took to the forests and eventually found refuge amid the remote
valleys of the Talamanca Mountains. Only in the Nicoya Peninsula
did there remain any significant Indian population, the Chorotegas,
who soon found themselves chattel on Spanish land.
Settlement
In 1562, Juan Vásquez de Coronado--the true conquistador
of Costa Rica--arrived as governor. He treated the surviving
Indians more humanely and moved the existing Spanish settlers
into the Cartago Valley, where the temperate climate and rich
volcanic soils offered the promise of crop cultivation. Cartago
was established as the national capital in 1563. The economic
and social development of the Spanish provinces was traditionally
the work of the soldiers, who were granted encomiendas, land
holdings which allowed for rights to the use of indigenous
serfs.
In the highlands, land was readily available, but there was
no Indian labor to work it. Without native slave labor or
the resources to import slaves, the colonists were forced
to work the land themselves (even Coronado had to work his
own plot of land to survive). Without gold or export crops,
trade with other colonies was infrequent at best. Money in
fact became so scarce that the settlers eventually reverted
to the Indian method of using cacao beans as currency. After
the initial impetus given by the discovery, Costa Rica lapsed
into being a lowly Cinderella of the Spanish empire.
Thus, the early economy evolved slowly under conditions that
didn't favor the development of the large colonial-style hacienda
and feudal system of other Spanish enclaves. The settlers
had to make do with clearing and tilling primitive plots for
basic subsistence. A full century after its founding, Cartago
could boast little more than a few score adobe houses and
a single church, which all perished when Volcán Irazú
erupted in 1723.
Gradually, however, prompted by an ecclesiastical edict that
ordered the populace to resettle near churches, towns took
shape around churches. Heredia (Cubujuquie) was founded in
1717, San José (Villaneuva de la Boca del Monte) in
1737, and Alajuela (Villa Hermosa) in 1782. Later, exports
of wheat and tobacco placed the colonial economy on a sounder
economic basis and encouraged the intensive settlement that
characterizes the Meseta Central today.
Intermixing with the native population was not a common practice.
In other colonies, Spaniard married native and a distinct
class system arose, but mixed-bloods and ladinos (mestizos)
represent a much smaller element in Costa Rica than they do
elsewhere in the isthmus. All this had a leveling effect on
colonial society. As the population grew, so did the number
of poor families who had never benefited from the labor of
encomienda Indians or suffered the despotic arrogance of criollo
landowners. Costa Rica, in the traditional view, became a
"rural democracy," with no oppressed mestizo class
resentful of the maltreatment and scorn of the Creoles. Removed
from the mainstream of Spanish culture, the Costa Ricans became
very individualistic and egalitarian.
Not all areas of the country, however, fit the model of rural
democracy. Nicoya and Guanacaste on the Pacific side offered
an easy overland route from Nicaragua to Panama and were administered
quite separately in colonial times from the rest of present-day
Costa Rica. They fell within the Nicaraguan sphere of influence,
and large cattle ranches or haciendas arose. Revisions to
the encomienda laws in 1542, however, limited the amount of
time that Indians were obliged to provide their labor; Indians
were also rounded up and forcibly concentrated into settlements
distant from the haciendas. The large estate owners thus began
to import African slaves, who became an important part of
the labor force on the cattle ranches that were established
in the Pacific northwest. The cattle-ranching economy and
the more traditional class-based society that arose persist
today.
Some three centuries of English associations and of neglect
by the Spanish authorities have also created a very different
cultural milieu all along the Caribbean coast of Central America.
On the Caribbean of Costa Rica, cacao plantations--the most
profitable activity of the colonial period--became well established.
Eventually large-scale cacao production gave way to small-scale
sharecropping, and then to tobacco as the cacao industry went
into decline. Spain closed the Costa Rican ports in 1665 in
response to piracy, thereby cutting off seaborne sources of
legal trade. Such artificial difficulties to economic development
compounded those created by nature. Smuggling flourished,
however, for the largely unincorporated Caribbean coast provided
a safe haven to buccaneers and smugglers, whose strongholds
became 18th-century shipping points for logwood and mahogany.
The illicit trade helped weaken central authority. The illusion
of Central American colonial unity was also weakened in the
waning stages of the Spanish empire as interest in, and the
ability to maintain, the rigid administrative structure declined.
THE EMERGENCE OF A NATION
Independence
Independence of Central America from Spain on 15 September
1821 came on the coattails of Mexico's declaration earlier
in the same year. Independence had little immediate effect,
however, for Costa Rica had required only minimal government
during the colonial era and had long gone its own way. In
fact, the country was so out of touch that the news that independence
had been granted reached Costa Rica a full month after the
event. A hastily convened provincial council voted for accession
to Mexico; in 1823, the other Central American nations proclaimed
the United Provinces of Central America, with their capital
in Guatemala City.
After the declaration, effective power lay in the hands of
the separate towns of the isthmus, and it took several years
for a stable pattern of political alignment to emerge. The
four leading cities of Costa Rica felt as independent as had
the city-states of ancient Greece, and the conservative and
aristocratic leaders of Cartago and Heredia soon found themselves
at odds with the more progressive republican leaders of San
José and Alajuela. The local quarrels quickly developed
into civic unrest and, in 1823, to civil war. After a brief
battle in the Ochomogo Hills, the republican forces of San
José were victorious. They rejected Mexico, and Costa
Rica joined the federation with full autonomy for its own
affairs. Guanacaste voted to secede from Nicaragua and join
Costa Rica the following year.
From this moment on, liberalism in Costa Rica had the upper
hand. Elsewhere in Central America, conservative groups tied
to the Church and the erstwhile colonial bureaucracy spent
generations at war with anticlerical and laissez-faire liberals,
and a cycle of civil wars came to dominate the region. By
contrast, in Costa Rica colonial institutions had been relatively
weak and early modernization of the economy propelled the
nation out of poverty and lay the foundations of democracy
far earlier than elsewhere in the isthmus. While other countries
turned to repression to deal with social tensions, Costa Rica
turned toward reform. Military plots and coups weren't unknown--they
played a large part in determining who came to rule throughout
the next century--but the generals usually were puppets used
as tools to install favored individuals (usually surprisingly
progressive civilian allies) representing the interests of
particular cliques.
Early Liberalism
Juan Mora Fernandez, elected the nation's first chief of
state in 1824, set the tone by ushering in a nine-year period
of progressive stability. He established a sound judicial
system, founded the nation's first newspaper, and expanded
public education. He also encouraged coffee cultivation and
gave free land grants to would-be coffee growers. The nation,
however, was still riven by rivalry, and in September 1835
the War of the League broke out when San José was attacked
by the three other towns. They were unsuccessful and the national
flag was planted firmly in San José (see "San
José--History" for more details).
Braulio Carrillo, who had taken power as a benevolent dictator,
established an orderly public administration and new legal
codes to replace colonial Spanish law. In 1838, he withdrew
Costa Rica from the Central American federation and proclaimed
complete independence. In a final show of federalist strength,
the Honduran general Francisco Morazan toppled Carrillo in
1842. It was too late. The seeds of independence had taken
firm root. Morazan's extranational ambitions and the military
draft and direct taxes he imposed soon inspired his overthrow.
He was executed within the year.
Coffee Is King
By now, the reins of power had been taken up by a nouveau
elite: the coffee barons, whose growing prosperity led to
rivalries between the wealthiest family factions, who vied
with each other for political dominance. In 1849, the cafetaleros
announced their ascendancy by conspiring to overthrow the
nation's first president, José María Castro,
an enlightened man who initiated his administration by founding
a high school for girls and sponsoring freedom of the press.
They chose as Castro's successor Juan Rafael Mora, one of
the most powerful personalities among the new coffee aristocracy.
Mora is remembered for the remarkable economic growth that
marked his first term, and for "saving" the nation
from the imperial ambitions of the American adventurer William
Walker during his second term (which Mora gained by manipulating
the elections). In a display of ingratitude, his countryfolk
ousted him from power in 1859; the masses blamed him for the
cholera epidemic which claimed the lives of one in every 10
Costa Ricans in the wake of the Walker saga, while the elites
were horrified when Mora moved to establish a national bank,
which would have undermined their control of credit to the
coffee producers. After failing in his own coup against his
successor, he was executed . . . a prelude to a second cycle
of militarism, for the war of 1856 had introduced Costa Rica
to the buying and selling of generals and the establishment
of a corps of officers possessing an inflated aura of legitimacy.
The Guardia Legacy
The 1860s were marred by power struggles among the ever-powerful
coffee elite supported by their respective military cronies.
General Tomás Guardia, however, was his own man. In
April 1870, he overthrew the government and ruled for 12 years
as an iron-willed military strongman backed up by a powerful
centralized government of his own making.
True to Costa Rican tradition, Guardia proved himself a progressive
thinker and a benefactor of the people. His towering reign
set in motion forces that shaped the modern liberal-democratic
state. Hardly characteristic of 19th-century despots, he abolished
capital punishment, managed to curb the power of the coffee
barons, and tamed the use of the army for political means.
He utilized coffee earnings and taxation to finance roads
and public buildings. And in a landmark revision to the Constitution
in 1869, he made "primary education for both sexes obligatory,
free, and at the cost of the Nation."
Guardia had a dream: to make the transport of coffee more
efficient and more profitable by forging a railroad linking
the Central Valley with the Atlantic coast, and thus with
America and Europe. The terrain through which he proposed
to build his railroad was so forbidding that it gave rise
to a saying: "He who once makes the trip to the Caribbean
coast is a hero; he who makes it a second time is a fool."
Fulfillment of Guardia's dream was the triumph of one man--Minor
Keith of Brooklyn, New York--over a world of risks and logistical
nightmares (see opposite page).
Guardia's enlightened administration was a watershed for
the nation. The aristocrats gradually came to understand that
liberal, orderly, and stable regimes profited their business
interests while the instability inherent in reliance on militarism
was damaging to it. And the extension of education to every
citizen (and the espousal in the free press of European notions
of liberalism) raised the consciousness of the masses and
made it increasingly difficult for the patrimonial elite to
exclude the population from the political process.
Democracy
The shift to democracy was witnessed in the election called
by President Bernardo Soto in 1889--commonly referred to as
the first "honest" election, with popular participation;
women and blacks, however, were still excluded from voting.
To Soto's surprise, his opponent José Joaquin Rodriguez
won. The masses rose and marched in the streets to support
their chosen leader after the Soto government decided not
to recognize the new president. The Costa Ricans had spoken,
and Soto stepped down.
During the course of the next two generations, militarism
gave way to peaceful transitions to power. Presidents, however,
attempted to amend the Constitution to continue their rule
and even dismissed uncooperative legislatures. Both Rodriguez
and his hand-picked successor, Rafael Iglesias, for example,
turned dictatorial while sponsoring material progress. Iglesias's
successor, Ascension Esquivel, who took office in 1902, even
exiled three contenders for the 1906 elections and imposed
his own choice for president: Gonzalez Visquez. And Congress
declared the winner of the 1914 plebiscite ineligible and
named its own choice, noncontender Alfredo Gonzalez Flores,
as president.
Throughout all this the country had been at peace, the army
in its barracks. In 1917, democracy faced its first major
challenge. At that time, the state collected the majority
of its revenue from the less wealthy. Flores's bill to establish
direct, progressive taxation based on income and his espousal
of state involvement in the economy had earned the wrath of
the elites. They decreed his removal. Minister of War Federico
Tinoco Granados seized power. Tinoco ruled as an iron-fisted
dictator and soon squandered the support of U.S. business
interests. More importantly, Costa Ricans had come to accept
liberty as their due; they were no longer prepared to acquiesce
in oligarchic restrictions. Women and high-school students
led a demonstration which called for his ouster, and Flores
stepped down.
There followed a series of unmemorable administrations culminating
in the return of two previous leaders, Ricardo Jimenez and
Gonzalez Visquez, who alternated power for 12 years through
the 1920s and '30s. The apparent tranquility was shattered
by the Depression and the social unrest which it engendered.
Old-fashioned paternalistic liberalism had failed to resolve
social ills such as malnutrition, unemployment, low pay, and
poor working conditions. The Depression distilled all these
issues, especially after a dramatic communist-led strike against
the United Fruit Company brought tangible gains. Calls grew
shrill for reforms.
REFORMISM AND CIVIL WAR
Calderón
The decade of the 1940s and its climax, the civil war, mark
a turning point in Costa Rican history: from paternalistic
government by traditional rural elites to modernistic, urban-focused
statecraft controlled by bureaucrats, professionals, and small
entrepreneurs. The dawn of the new era was spawned by Rafael
Angel Calderón Guardia, a profoundly religious physician
and a president (1940-44) with a social conscience. In a period
when neighboring Central American nations were under the yoke
of tyrannical dictators, Calderón promulgated a series
of farsighted reforms. His legacy included a stab at land
"reform" (the landless could gain title to unused
land by cultivating it), establishment of a guaranteed minimum
wage, paid
vacations, unemployment compensation, progressive taxation,
plus a series of constitutional amendments codifying workers'
rights. Calderón also founded the University of Costa
Rica.
Calderón's social agenda was hailed by the urban poor
and leftists and despised by the upper classes, his original
base of support. His early declaration of war on Germany,
seizure of German property, and imprisonment of Germans further
upset his conservative patrons, many of whom were of German
descent. World War II stalled economic growth at a time when
Calderón's social programs called for vastly increased
public spending. The result was rampant inflation, which eroded
his support among the middle and working classes. Abandoned,
Calderón crawled into bed with two unlikely partners:
the Catholic Church and the communists (Popular Vanguard Party).
Together they formed the United Social Christian Party.
The Prelude To Civil War
In 1944, Calderón was replaced by his puppet, Teodoro
Picado, in an election widely regarded as fraudulent. Picado's
uninspired administration failed to address rising discontent
throughout the nation. Intellectuals, distrustful of Calderón's
"unholy" alliance, joined with businessmen, campesinos,
and labor activists and formed the Social Democratic Party,
dominated by the emergent professional middle classes eager
for economic diversification and modernization. In its own
strange amalgam, the SDP allied itself with the traditional
oligarchic elite. The country was thus polarized. Tensions
mounted.
Street violence finally erupted in the run-up to the 1948
election, with Calderón on the ballot for a second
presidential term. When he lost to his opponent Otilio Ulate
by a small margin, the government claimed fraud. Next day,
the building holding many of the ballot papers went up in
flames, and the calderonista-dominated legislature annulled
the election results. Ten days later, on 10 March 1948, the
"War of National Liberation" plunged Costa Rica
into civil war.
"Don Pepe"--Savior Of The Nation
The popular myth suggests that José María ("Don
Pepe") Figueres Ferrer--42-year-old coffee farmer, engineer,
economist, and philosopher--raised a "ragtag army of
university students and intellectuals" and stepped forward
to topple the government that had refused to step aside for
its democratically elected successor. In actuality, Don Pepe's
revolution had been long in the planning; the 1948 election
merely provided a good excuse.
Don Pepe had been exiled to Mexico in 1942--the first political
outcast since the Tinoco era--after being seized halfway through
a radio broadcast denouncing Calderón. Figueres formed
an alliance with other exiles, returned to Costa Rica in 1944,
began calling for an armed uprising, and arranged for foreign
arms to be airlifted in to groups being trained by Guatemalan
military advisors.
Supported by the governments of Guatemala and Cuba, Don Pepe's
insurrectionists captured the cities of Cartago and Puerto
Limón and were poised to pounce on San José
when Calderón, who had little heart for the conflict,
capitulated. (The government's pathetically trained soldiers--aided
and armed by the Somoza regime in Nicaragua--included communist
banana workers from the lowlands; they wore blankets over
their shoulders against the cold of the highlands, earning
Calderon supporters the nickname mariachis.) The 40-day civil
war claimed over 2,000 lives, most of them civilians.
THE MODERN ERA
Foundation Of The Modern State
Don Pepe became head of the Founding Junta of the Second
Republic of Costa Rica. As leader of the revolutionary junta,
he consolidated Calderón's progressive social reform
program and added his own landmark reforms: he banned the
press and Communist Party, introduced suffrage for women and
full citizenship for blacks, revised the Constitution to outlaw
a standing army (including his own), established a presidential
term limit, and created an independent Electoral Tribunal
to oversee future elections. Figueres also shocked the elites
by nationalizing the banks and insurance companies, a move
that paved the way for state intervention in the economy.
On a darker note, Don Pepe reneged on the peace terms that
guaranteed the safety of the calderonistas: Calderón
and many of his followers were exiled to Mexico, special tribunals
confiscated their property, and, in a sordid episode, many
prominent left-wing officials and activists were abducted
and murdered. (Supported by Nicaragua, Calderón twice
attempted to invade Costa Rica and topple his nemesis, but
was each time repelled. Incredibly, he was allowed to return,
and even ran for president unsuccessfully in 1962!)
Then, by a prior agreement which established the interim
junta for 18 months, Figueres returned the reins of power
to Otilio Ulate, the actual winner of the '48 election and
a man not even of Don Pepe's own party. Costa Ricans later
rewarded Figueres with two terms as president, in 1953-57
and 1970-74. Figueres dominated politics for the next two
decades. A socialist, he used his popularity to build his
own electoral base and founded the Partido de Liberacion Nacional
(PLN), which became the principal advocate of state-sponsored
development and reform. He died on 8 June 1990, a national
hero.
The Contemporary Scene
Social and economic progress since 1948 has helped return
the country to stability, and though post-civil war politics
have reflected the play of old loyalties and antagonisms,
elections have been free and fair. With only two exceptions,
the country has ritualistically alternated its presidents
between the PLN and the opposition Social Christians. Successive
PLN governments have built on the reforms of the calderonista
era, and the 1950s and '60s saw a substantial expansion of
the welfare state and public school system, funded by economic
growth. The intervening conservative governments have encouraged
private enterprise and economic self-reliance through tax
breaks, protectionism, subsidized credits, and other macroeconomic
policies. The combined results were a generally vigorous economic
growth (see "Economy," below) and the creation of
a welfare state which had grown by 1981 to serve 90% of the population, absorbing 40% of the national budget in the process
and granting the government the dubious distinction of being
the nation's biggest employer.
By 1980, the bubble had burst. Costa Rica was mired in an
economic crisis: epidemic inflation, crippling currency devaluation,
soaring oil bills and social welfare costs, plummeting coffee,
banana, and sugar prices, and the disruptions to trade caused
by the Nicaraguan war (Costa Rica became a base first for
Sandinista and then for contra activities, as its war-torn
northern neighbor swung from rightist to leftist regimes).
When large international loans then came due, Costa Rica found
itself burdened overnight with world's the greatest per-capita
debt.
In February 1986, Costa Ricans elected as their president
a relatively young sociologist and economist-lawyer called
Oscar Arias Sanchez. Arias's electoral promise had been to
work for peace. Immediately, he put his energies into resolving
Central America's regional conflicts. He attempted to expel
the contras from Costa Rica and enforce the nation's official
proclamation of neutrality made in 1983 (much to the chagrin
of the U.S. government; see "Costa Rica And The Nicaraguan
Revolution"). Arias's tireless efforts were rewarded
in 1987, when his Central American peace plan was signed by
the five Central American presidents in Guatemala City--an
achievement that earned the Costa Rican president the 1987
Nobel Peace Prize, and for which the whole nation is justly
proud.
In February 1990, Rafael Angel Calderón Fournier,
a conservative lawyer and candidate for the Social Christian
Unity Party (PUSC), won a narrow victory with 51% of the vote.
He was inaugurated 50 years to the day after his father, the
great reformer, was named president. Restoring Costa Rica's
economy to sound health in the face of a debilitating national
debt remains Calderón's paramount goal. Under the aegis
of pressure from the World Bank and International Monetary
Fund, Calderón has initiated a series of austerity
measures aimed at redressing the country's huge deficit and
national debt (see "Economy," below).
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