Unidad Educativa Particular

“SAINT DOMINIC SCHOOL”

Formamos personas nuevas para un mundo nuevo
SOCIAL STUDIES WORKSHEET No 4
Name: _____________________________________ Class: __________________ Date: ____________________
Skill with performance criteria: CS.3.1.43. Discuss the main incidences of the so-called "plutocratic predominance", with emphasis on the cocoa crisis and the social reaction.

PLUTOCRATIC RULE IN ECUADOR

After the death of Eloy Alfaro in However, from 1910 onwards, cocoa exports
Ecuador began a period called suffered a fall in international markets as
plutocratic predominance. neighboring countries such as Brazil began to
Plutocracy is known as the become the main exporters of this product. As
predominance of the richest in a result, cocoa production as well as cocoa
the government of a State. prices have declined. But it was not until
1920 when the price of cocoa fell
dramatically and this was compounded by the
presence of pests that destroyed the
plantations.

According to several historians, this is

what happened in our country between
1912 and 1925. The powerful sectors
in the country were in the Coastal
Region, they obtained great fortunes
through the exploitation of cocoa,
fortunes that were linked to commerce
and banking.
 In the second presidential period
This event caused the country to enter a
Leonidas Plaza tried to protect the banks
serious crisis in which many cocoa
and gave them the power to influence
farmers went bankrupt and the land was
presidential elections. This was the way
concentrated in powerful groups linked to
the governments of Alfredo Baquerizo
the banks. On the other hand, sugar
Moreno, José Luis Tamayo and Gonzalo
production, which began in mid-1914,
Córdova came to power. These presidents
boomed until 1929, although the profit
were government leaders who represented
levels did not compare with those
the bankers.
obtained from cocoa production.

The popular response to these events was the

confrontation of peasants, indigenous people,
artisans and workers with the oligarchic
regime. To stop these protests, the
government decided to incur new debts with
the banks. Leonidas Plaza, who was the
country's president, was only able to stay in
government through heavy repression, but the
violence did not disappear until after the end
of his term.