
Today’s population of almost 4 million reflects this historical background in its racial
and cultural characteristics in an extremely densely populated and predominantly urban
environment. Racially, the population consists of the progeny of
white
and
African
American
families, but it is a largely mulatto mixture of whites, blacks and Arawaks.
Some coastal towns are inhabited by a majority of blacks, attesting to a past of plantation
slavery in these areas. Puerto Rico’s Spanish
language
and the dominance of Catholicism
are derivatives of Spain.
Puerto Rico has never been a free and independent nation. After three centuries o
absolute and often oppressive Spanish rule, Spain ceded it to the United States in 1898,
after its military occupation in the Spanish American War. For more than one hundred
years, this relationship with the US has been defined through a web of often tense and
ambivalent political, economic, social and cultural ties. In 1917, as the US prepared to
enter the First World War, for example, Puerto Ricans were granted citizenship and the
right to elect their entire legislature. Nevertheless, the appointed governor maintained the
power to veto legislation and to select judicial and executive officers, and
Congress
could annul legislation.
It was not until 1948 that Puerto Ricans elected their own governor. The result was a
mandate for Muñoz Marín, the architect of the island’s economic development program,
Operation Bootstrap, and a proponent of turning Puerto Rico into an
Estado Libre
sociado
—an associated free state. On July 25, 1952, the Commonwealth of Puerto Rico
was created with its own constitution. Education, health, justice and welfare are under
Puerto Rican control. The United States retains control over
trade,
defense,
immigration,
the postal system, the currency and international relations.
For decades, the organization of political parties focused on the options for the political
status of the island: independence, statehood or continuation of semi-autonomous
Commonwealth status. When the Popular Democratic Party was formed in 1938, its
rogram focused on improving the stagnant economy and poor living conditions. As it
launched Operation Bootstrap, it was forced to take a proCommonwealth position to
attract corporations that were hesitant to invest resources in an independent Puerto Rico.
The economy of the island has evolved from agricultural to industrial since the 1940s.
In 1955, for the first time, manufacturing contributed more to the economy than
agriculture. The transition displaced workers and families from rural areas, where two-
thirds of the population lived in 1940, to towns and urban centers where two-thirds o
Puerto Ricans live now, including the capital, San Juan (437,745 in 1990), Bayamon,
Ponce, Carolina and Caguas. Manufacturing provides about 40 percent of the gross
domestic product, with more than one hundred pharmaceutical companies, the main
industry, accounting for one-quarter of that total.
Operation Bootstrap emphasized industry,
tourism
and the production of rum. Local
tax exemptions were provided for industrial and tourism development, and promotional
campaigns were initiated in the United States to attract investors and visitors. Congress
also sanctioned federal corporate tax exemptions on profits earned on the island. These
stimulated growth, but budget cuts pressured Congress to phase them out over ten years,
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