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Unformatted text preview: 1 As the economic status of Chile steadily rises, they must look towards their closes neighbors to keep the success going. The opportunity for Chile to become a regional hegemon is well within reach and increasing international relations between the South American states is essential. There are several things which the Chilean government should consider strongly: Mercosur and Bolivia. For Chile to increase its potential it must continue to work with Mercosur, but approach most international situation bilaterally. We believe there is great potential for growth if these ideas are acted on. Mercosur is a trading zone set up between Brazil, Argentina, Paraguay, and Uruguay. Chile is already a trading associate along with Bolivia, Columbia, Ecuador, and Peru1. We believe that this is exactly where Chile needs to be right now. While Chile could become an official member state, the motivation is not there yet. We advise holding Chile's position as an overseer in Mercosur. This does not mean to disregard Mercosur as a illegitimate organization, and it is important to recognize its potential to balance larger international organizations and perhaps even the United States and the European Union. As mentioned before, we believe it is important for Chile to act bilaterally with its neighbors. We recommend using this approach to bury the hatchet with countries which they have issues with. This means that Chile would need to address Bolivia and their claims to land which is accessible to the Pacific Ocean. It has been over one hundred years since the land was taken, but Bolivia continues to claim the land which was taken during an "unjust war of aggression."2 For a long time, Chile claimed they could not give the land back to Bolivia without breaking international law due to a treaty made with Peru in 1904. This excuse worked until 2004 when Carlos Ferrera Costa, the president of Peru's ministerial council, said Peru would allow a sea passage for Bolivia3. As Bolivia's case for the land grows stronger and stronger, Chile must look for ways to capitalize on the situation. Like many countries today, Chile is becoming more and more in need of energy. The reason this is important is because Bolivia happened to stumble across huge oil reserves recently, and it gives them a much stronger stance for negotiation. Whether Chile likes it or not, they are geographically dependent on Bolivia for oil. In the long run giving Bolivia a small stretch of land to the coast would give Chile more access to oil. While Bolivia's bargaining power has grown recently, Chile still has the upper hand as long as Bolivia's naval fleet is still stationed at lake Titicaca. While pursuing bilateral relations with other Latin American countries, do not leave room for bargaining and approach with more of a contract format that does not leave room for changes. In regards to the bargaining power that Chile currently has, we recommend capitalizing on the current state of the Argentine economy. After their economic crisis recently, they have lost a significant amount of relative power. Brazil is still holding strong and due to their current status in the world economy, we do not advise pursuing Chile's interests bilaterally in Brazil. Overall, our main recommendation to Chile, with respect to gaining hegemony in Latin America, would be to not move in regards to the international organizations, and to pursue "The EU's Relations with Mercosur." External Relations. <http://ec.europa.eu/comm/external_relations/mercosur/intro/index.htm>. (Accessed on May 3, 2006) 2 Buitrago, Miguel A. "Bolivia-Chile Relations" MABB <http://mabb.blogspot.com/2005/07/bolivia-chile-relations.html>.(Accessed on May 3, 2006) 3 Ross, Jen. "Bolivia's Land-Locked Navy Dreams of Leaving Lake Titicaca." Find Articles. <http://ec.europa.eu/comm/external_relations/mercosur/intro/index.htm>. (Accessed on May 3, 2006)
1 bilateral relations with its neighbors. Capitalize on what Chile has, such as available coast for Bolivia and economic standing over the formally superior Argentina. We do not currently see tremendous potential in Mercosur, and there is no need to rush into joining. The position of overseer is all that is currently needed. ...
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- Fall '05
- International Relations