New problems — including the financial collapse of Argentina — have obliterated the last decade of economic growth in South America and pushed the continent into recession. Some economists blame the International Monetary Fund and other multilateral lenders for the decline, arguing they forced South America's fragile economies to adopt free trade and other market-oriented policies without fully considering the consequences. Defenders of the banks' policies blame the economic woes on huge budget deficits and corruption. Meanwhile, leftist guerrillas continue to terrorize Colombia, and political turmoil, especially in Venezuela, has led some experts to worry about the survival of democratic gains made throughout South America in the 1980s and '90s.

David Masci specializes in social policy, religion and foreign affairs. Before joining CQ Researcher as a staff writer in 1996, he was a reporter at CQ's Daily Monitor and CQ Weekly. He holds a BA in medieval history from Syracuse University and a law degree from The George Washington University.