Inca conquest.
Chile was the recognized name of the country from the beginning of its
known history. The land was originally inhabited by tribes of Indians,
who, though not mere savages, were far below the level of civilization
distinguishing the races of Mexico and Peru. When the country first
became known to the Spaniards in the 16th century the northern tribes
were found to be more civilized and much more submissive than those of
the south. The difference was no doubt due to the invasion and conquest
of northern Chile in the 15th century by Yupanqui, Inca of Peru,
grandfather of Atahualpa, ruler of Peru at the time of its conquest by
Pizarro. The dominion of the Incas in Chile was probably bounded by the
Rapel river (lat. 34 deg. 10' S.), and, though their control of the country
was slight, the Peruvian influence led to the introduction of a higher
civilization, and, by weakening the power of the tribes, paved the way
for the invasion of the Spaniards. Beyond the limits of the Inca
conquest the Indians of Chile were distinguished by fierce independence
of character and by their warlike qualities. Rude and ignorant as they
were, they possessed a rough military organization; each community was
led by its _ulmen_ (chief), and in war the tribes fought together under
an elected leader (_toqui_). The name of the Araucanians, the most
powerful of the tribes, came to be applied to the whole confederation of
Indians living south of the Bio-bio river.
Spanish invasions.
The first Spanish invasion of Chile took place in 1535, when Diego de
Almagro, the companion and rival of Pizarro in the conquest of Peru,
marched into Chile in search of gold. Disappointed in his quest, and
meeting with obstinate resistance from the southern tribes, he returned
to Peru with his whole force in 1538. In 1540 Pizarro sent Pedro de
Valdivia to make a regular conquest and settlement of Chile. Valdivia
founded Santiago, the present capital of Chile, in February 1541, and
proceeded to build the towns of La Serena, Conception, Villarica,
Imperial, Valdivia and Angol, in order to secure his hold on the
country. But the Indians fought desperately for their independence, and
in 1553 a general rising of the tribes ended in the defeat and death of
Valdivia and in the destruction of most of his settlements. This was the
beginning of nearly a century of continuous warfare. As there was no
gold in the country the number of settlers was small, the loose tribal
organization of the natives made it impossible to inflict a vital defeat
on them, and the mountainous and thickly wooded country lent itself
admirably to a warfare of surprises and ambuscades. General after
general and army after army were despatched from Spain and Peru; Chile
was given a government independent of the viceroy of Lima; attack after
attack was made on the Indians, their lands were laid waste, and the
struggle was conducted with merciless ferocity: all in vain. Settlements
and forts were never free from assault and were taken and retaken; if
one Indian army was destroyed another took its place, if one _toqui_ was
killed another was chosen; when defeated, the Indians retired to their
forests, marshes and hills, recruited their forces, and fell on the
pursuing Spaniards. In 1612 an attempt was made by a Jesuit missionary
to negotiate a peace, but not till 1640 was the desperate struggle ended
by the treaty of Quillin, which left the Indians all the land south of
the Bio-bio river. Up to 1800 the peace was broken by three wars, in
1655, in 1723 and in 1766, the last ended by a treaty which actually
gave the Araucanians the right to have a minister at Santiago.
Colonial system.
It was this constant warfare with the Indians and the necessity for hard
continuous work, owing to the lack of precious metals in Chile, that no
doubt helped to produce in the settlers the strength and hardihood of
character that distinguishes the Chileans among South American races.
But not unnaturally the material condition of the country was the
reverse of prosperous. The expenditure far exceeded the revenue. The
Indian warfare occupied nearly the whole attention of the governors and
much of the time of the settlers. By the Spanish colonial system the
development of manufactures was prohibited and the trade of the colony
was limited not only to Spain but to the one port of Cadiz. Till the
18th century ships were not allowed to sail round Cape Horn, so that the
Chileans had to trade indirectly through Peru and the Argentine.
Agriculture was the one resource of the colony, and wheat was grown for
export to Peru, but the land was concentrated in the hands of a few big
landowners, and the cultivation of the vine and olive was forbidden. At
the end of the 17th century Santiago was a town of poor one-storeyed
houses and had only 8000 inhabitants; the other towns, Valparaiso,
Concepcion, La Serena, were only large villages. Books were not allowed
to be imported, and education was limited to such as was given here and
there by priests and monks. The Indians within the limits of the Spanish
colony were treated like slaves, and horribly mutilated to prevent their
escape; but at the same time a gradual fusion of races was taking place,
and the Chilean peasant (_peon_) of to-day is as much of Indian as of
Spanish descent. The Araucanians, however, continued to preserve their
independence; they jealously resented the introduction of Spanish
influence, and the missionary efforts of the Jesuits met with little
success.
During the 18th century the condition of the colony was improved in many
ways. The Bourbon kings of Spain were more liberal in their colonial
policy. Merchant-ships were allowed to sail direct to Chile, trade with
France was sometimes permitted, and a large batch of hardy emigrants was
sent out from the Biscay provinces of Spain. Freed from the
preoccupation of the Indian wars, the governors gave more attention to
the general welfare of the country: a university was started in Santiago
in 1747, many towns were built about the same time, agriculture and
industries were promoted and a coasting trade grew up. In 1778 Charles
III. threw open all the ports of Spain to the colonies and allowed
freedom of trade with France. But in general the administration of the
colony was burdensome, oppressive and inefficient. The people had no
voice in the government. Ruling with the help of the Royal Audience, the
governor was absolute master of the country, and regulated the smallest
details of life. Such time as the officials could spare from the main
object of enriching themselves by extortion and corruption was given up
to endless official and religious ceremonies and to petty disputes of
etiquette and precedence. All the high posts and offices were filled by
men sent from Spain, with the result that bitter jealousy reigned
between them and the native-born colonists (_criollos_). The _criollos_
as a rule filled the posts in the municipalities (_cabildos_), disposed
of by sale, so that when the revolution broke out the _cabildos_
naturally became the centres of the movement. As in all Spanish
colonies, so in Chile, the Church played a large part in the public
life. Chile was divided into the two bishoprics of Santiago and
Concepcion, and the Church managed to accumulate most of the wealth of
the country. At the same time the monks and Jesuits did useful work in
teaching industrial and agricultural arts, and in giving the people a
certain degree of education; but the influence of the Church was used to
bolster up the traditional narrow colonial system, and the constant
quarrels between the clergy and the secular powers often threw the
country into confusion.
At the opening of the 19th century Chile was a colony whose resources
had hardly been touched, with a population of about 500,000 persons, of
Spanish and mixed Spanish and Indian blood: a people endowed with the
vigour of character bred by a mountainous country and a bracing climate
and by a hard struggle for existence, but ignorant through lack of
education, shut out by a narrow-minded commercial system from knowledge
of the outside world, and destitute of the character-training that free
institutions afford.
Struggle for independence.
The national independence of Chile dates from the second decade of the
19th century. The revolt of England's North American colonies, and the
events of the French Revolution naturally suggested the idea of a
struggle for independence to the Spanish colonists, and the deposition
of Ferdinand VII. by Napoleon, and the ensuing disorganization of Spain,
supplied the desired opportunity. In 1809 risings took place in
Venezuela, in Ecuador, in Upper Peru and in the Argentine; the
revolutionary fever spread to Chile, and on the 18th of September 1810
the _cabildo_ of Santiago secured the resignation of the governor and
vested his powers in an elected _Junta_ (board) of seven members. This
event was the beginning of the independence of Chile. But it was some
time before independence was fully attained. The mass of the people were
ignorant, intercourse between them was slight, and there was a strong
section attached to the old regime. The party determined on independence
was at first small, and compelled to conceal its aims till the ground
had been prepared for open decisive action. Further, there were
divisions between the patriots of Santiago and those of Concepcion, and
bitter jealousies between the leaders, the chief of whom were Juan
Martinez de Rozas, Jose Miguel Carrera and Bernardo O'Higgins. Owing to
the apathy of the people and the enmities existing among the leaders,
the Spanish forces, sent by the viceroy of Peru to crush the
revolutionary movement, succeeded after two years' indecisive fighting
in completely defeating the patriots at Rancagua in 1814. For three
years the Spaniards maintained their hold on Chile, ruling the country
with tyrannical harshness, but in the spring of 1817 a patriot force
which had been organized at Mendoza in the Argentine by Jose de San
Martin, an Argentine officer, and by O'Higgins, crossed the Andes and
overwhelmed the royalists at the battle of Chacabuco. O'Higgins was
named director-general of Chile, while San Martin, realizing that the
independence of each colony depended on the Spanish being expelled from
the whole of South America, set about preparing an invasion of Peru. The
viceroy of Lima made one more effort to uphold the power of Spain in
Chile, but the army he despatched under Mariano Osorio, the victor of
Rancagua, was decisively defeated at the river Maipo on the 3rd of April
1818. By this battle the independence of Chile, formally proclaimed by
O'Higgins in the previous February, was finally secured.
The republic.
The next few years witnessed the expulsion of the royalists from the
south of Chile, the equipment of a small fleet, placed under the command
of Manuel Blanco Encalada and Lord Cochrane (earl of Dundonald), and the
invasion of Peru by San Martin with the help of the fleet, ending in the
proclamation of Peruvian independence in 1821; though the Spanish power
was not finally broken until Bolivar's victory at Ayacucho in 1824.
Relieved from all fear of Spanish attacks from the north, the new
republic of Chile entered upon a period of internal confusion and
dissension bordering upon anarchy. As soon as the necessity for
establishing a stable government arose the lack of training in
self-government among the Chileans became painfully obvious. O'Higgins
as director-general, rightly perhaps, considered that firm orderly
government was more important than the concession of liberal
institutions, but his administration roused strong hostility, and in
1823 he was compelled to resign. From that date up to 1830 there were no
less than ten governments, while three different constitutions were
proclaimed. The nation was divided into small mutually hostile parties;
there were ecclesiastical troubles owing to the hostility of the Church
to the new republic; there were Indian risings in the south and royalist
revolts in the island of Chiloe; the expenditure exceeded the revenue,
and the employment of the old Spanish financial expedients naturally
increased the general discontent. Up to 1830 the Liberal party, which
favoured a free democratic regime, held the upper hand, but in that year
the Conservatives, backed by a military rising led by General Joaquin
Prieto, placed themselves in power after a sanguinary battle at Lircay.
Prieto was elected president in 1831, and a new constitution was drafted
and promulgated in 1833, which, with some modifications, remains the
constitution of Chile at the present time. This constitution invested
the executive with almost dictatorial powers, and the Conservatives
entered upon a long term of office.
The aim of the Conservative policy was to secure above all a strong
administration; power was concentrated in the hands of a small circle;
public liberties were restricted and all opposition crushed by force.
Inaugurated under General Prieto's administration (1831-1841) by his
able minister Diego Portales, this policy was continued by his
successors General Manuel Bulnes (1841-1851) and Manuel Montt
(1851-1861), each of whom like Prieto was elected to a double term of
office. In spite of the discontent of the Liberals, the Conservative
ascendancy secured a long period of firm stable government, which was
essential to put an end to the confusion in public life and to give time
for the people to awake to a fuller realization of the duties and
responsibilities of national independence. The internal peace of the
country was only disturbed three times, by Liberal risings in 1835, in
1851 and in 1859, all of which were crushed, but not without severe
fighting. In 1836 Chile also became involved in a war with a
confederation of Peru and Bolivia, which ended in the victory of Chile
and the dissolution of the confederation.
While refusing to allow the people any share in, or control over, the
government, the Conservative leaders devoted themselves to improving the
condition of the people and of the country, and under their firm rule
Chile advanced rapidly in prosperity. The government established a
department for education, a training college for teachers, and numerous
schools and libraries; literary magazines were started and a school of
art and an academy of music founded. By the consolidation of the foreign
debt, by the regular payment of interest, by the establishment of
several banks, and by the negotiation of commercial treaties, the
financial position of the country was improved. Internal development was
promoted by the working of the silver mines of Copiapo and the coal
mines of Lota, by the building of railways and erection of telegraphs,
and by the colonization of the rich Valdivia province with German
settlers.
The Straits of Magellan were occupied; under an American engineer,
William Wheelwright, a line of steamers was started on the coast, and,
by a wise measure allowing merchandise to be landed free of duty for
re-exportation, Valparaiso became a busy port and trading centre; while
the demand for food-stuffs in California and Australia, following upon
the rush for gold, gave a strong impetus to agriculture. A code of law
was drawn up and promulgated, and the ecclesiastical system was
organized under an archbishop appointed by the pope. To Montt, as
minister under Bulnes and afterwards as president, must be given the
main credit for the far-seeing policy which laid the foundations of the
prosperity of Chile; and though the administration was in many ways
harsh and narrow, firm government, rather than liberty that would have
tended to anarchy, was essential for the success of the young republic.
After 1861, however, a Liberal reaction set in, aided by divisions in
the Conservative party arising mainly over church questions. Montt's
successors, Jose Joaquin Perez (1861-1871), Federico Errazuriz
(1871-1876) and Anibal Pinto (1876-1881), abandoned the repressive
policy of their predecessors, invited the co-operation of the Liberals,
and allowed discontent to vent itself freely in popular agitation. Some
democratic changes were made in the constitution, notably a law
forbidding the re-election of a president, and the gradual and peaceful
transition to a Liberal policy was a proof of the progress which the
nation had made in political training. Outside the movement for
constitutional reform, the most important internal question was the
successful Liberal attack on the privileged position and narrow views of
the Church, which led to the birth of a strong ultra-montane party among
the clergy. The government continued to be animated by a progressive
spirit: schools, railways, telegraphs were rapidly extended; a steamship
mail service to Europe was subsidized, and the stability of the
government enabled it to raise new foreign loans in order to extinguish
the old high interest-bearing loans and to meet the expenses of public
works. In 1877 a financial crisis occurred, met by the emission of paper
money, but the depression was only temporary, and the country soon
rallied from the effects.
During this period there was desultory fighting with the Indians; there
was a long boundary dispute with the Argentine, settled in 1880; and in
1865 Chilean sympathy with Peru in a quarrel with Spain led to a foolish
war with Spain. The blockade of their ports and the bombardment of
Valparaiso by a Spanish squadron impressed the Chileans with the
necessity of possessing an adequate fleet to defend their long
coast-line; and it was under President Errazuriz that the ships were
obtained and the officers trained that did such good service in the
great war with Peru. With a population of over two millions, a rapidly
increasing revenue, ruled by a government that was firm and progressive
and that enjoyed the confidence of all classes, Chile was well equipped
for the struggle with Peru that began in 1879.
Close of the war with Peru.
The war of 1879-82 between Chile and Peru is the subject of a separate
article (see CHILE-PERUVIAN WAR). By the beginning of 1881 the war had
reached a stage when the final struggle was close at hand. On the 13th
of January of that year the Chilean forces under command of General
Baquedano attacked the entrenched positions of the Peruvians at daybreak
in the vicinity of Chorillos, a village some few miles from Lima, and
forming the outer line of defence for the capital. After a stubborn
fight the day ended in victory for the attacking forces; but the losses
on both sides were great, and on the following day negotiations for
peace were attempted by the representatives of the foreign powers in
Lima, the object being to avoid, if possible, any further bloodshed.
This attempt to end the conflict proved, however, abortive, and on the
15th of January at 2 P.M. hostilities recommenced in the neighbourhood
of Miraflores. After severe fighting for some four hours the Chileans
again proved victorious, and drove the Peruvians from the second line of
defence back upon the city of Lima. Lima was now at the mercy of the
Chileans, and on the 17th of January a division of 4000 men of all arms,
under the command of General Cornelio Saavedra, was sent forward to
occupy the Peruvian capital and restore order within the town limits. A
portion of the Chilean forces was shortly afterwards withdrawn from
Peru, and the army of occupation remaining in the conquered country was
in charge of Admiral Patricio Lynch, an officer who had been specially
promoted for distinguished services during the war. President Anibal
Pinto of Chile now set about to find means to conclude a treaty of peace
with Peru, but his efforts in this direction were frustrated by the
armed resistance offered in the country districts to the Chilean
authorities by the remainder of the Peruvian forces under command of
General Caceres. So matters continued--the Chileans administering on the
seaboard and in the principal towns, the Peruvians maintaining a
guerilla warfare in the mountainous districts of the interior. In
September 1881 the term of office of president Pinto expired, and he was
succeeded in the post of chief executive of Chile by President Domingo
Santa Maria. Ex-President Pinto died three years later in Valparaiso,
leaving a memory respected and admired by all political parties in his
country. The name of Pinto will always occupy a prominent place in the
annals of Chilean history, not only because the war with Peru took place
during his term of office, but also on account of the fact that it was
largely due to the intelligent direction of all details by the president
during the struggle that the Chilean arms proved so absolutely
successful by land and sea.
President Santa Maria.
Senor Domingo Santa Maria, who now acceded to the presidency of Chile,
was a Liberal in politics, and had previously held various important
posts under the government. Under the rule of President Montt he had
been an active member of the opposition and involved in various
revolutionary conspiracies; for his participation in these plots he was
at one time exiled from the country, but returned and received official
employment under President Perez. The principal task confronting
President Santa Maria on assuming the presidency was to negotiate a
treaty of peace with Peru and provide for the evacuation of the Chilean
army of occupation. The presence of the Peruvian general Caceres and his
forces in the interior of Peru prevented for some two years the
formation of any Peruvian national administration in Lima with which the
Chilean authorities could deal. In August of 1883 the Peruvians were
defeated by the forces commanded by Admiral Lynch, and a government was
then organized under the leadership of General Iglesias. A provisional
treaty of peace was then drawn up and signed by General Iglesias and the
Chilean representative, and this was finally ratified by the Chilean and
Peruvian congresses respectively in April 1884. By the terms of this
treaty Peru ceded to Chile unconditionally the province of Tarapaca, and
the provinces of Tacna and Arica were placed under Chilean authority for
the term of ten years, the inhabitants having then to decide by a
general vote whether they remained a part of Chile or elected to belong
once more to Peru. In the event of the decision being favourable to Peru
a sum of 10,000,000 dollars was to be paid by Peru to Chile. On the
ratification of this treaty the Chilean forces were immediately
withdrawn from Lima and other points of occupation in Peruvian
territory. The government of Bolivia also attempted to negotiate a
treaty of peace with Chile in 1884, and for this purpose sent
representatives to Santiago. No satisfactory terms, however, could be
arranged, and the negotiations ended in only an armistice being agreed
to, by which Chile remained in occupation of the Bolivian seaboard
pending a definite settlement at some future period.
The administration of President Santa Maria met with violent opposition
from the Conservatives, who included the Clerical party in their ranks,
and also from a certain section of the Liberals. The dislike of the
Conservatives to President Santa Maria was occasioned by his
introduction of the law of civil marriage, the civil registration of
births and deaths, and the freeing of the cemeteries. Hitherto no
marriage was legal unless celebrated according to the rites of the
Roman Catholic religion, and all registers of births and deaths were
kept by the parish priests. Civil employees were now appointed under the
new laws to attend to this work. Formerly the cemeteries were entirely
under the control of the Church, and, with the exception of a few places
specially created for the purpose, were reserved solely for the burial
of Roman Catholics. Under the new regime these cemeteries were made
common to the dead of all religions. Under President Perez, in 1865, a
clause in the law of constitution had been introduced permitting the
exercise of all creeds of religion, and this was now put into practice,
all restrictions being removed. On several occasions, notably in 1882
and 1885, President Santa Maria used his influence in the elections of
senators and deputies to congress for the purpose of creating a
substantial majority in his favour. He was induced to take this course
in consequence of the violent opposition raised in the chambers by the
liberal policy he pursued in connexion with Church matters. This
intervention caused great irritation amongst the Conservatives and
dissentient Liberals, and the political situation on more than one
occasion became so strained as to bring the country to the verge of
armed revolution. No outbreak, however, took place, and in 1886 the five
years of office for which President Santa Maria had been elected came to
an end, and another Liberal, Senor Jose Manuel Balmaceda, then succeeded
to power.
Balmaceda elected president.
Revolution of 1891.
The election of Balmaceda was bitterly opposed by the Conservatives and
dissentient Liberals, but was finally successfully carried by the
official influence exercised by President Santa Maria. On assuming
office President Balmaceda endeavoured to bring about a reconciliation
of all sections of the Liberal party in congress and so form a solid
majority to support the administration, and to this end he nominated as
ministers representatives of the different political groups. Six months
later the cabinet was reorganized, and two most bitter opponents to the
recent election of President Balmaceda were accorded portfolios.
Believing that he had now secured the support of the majority in
congress on behalf of any measures he decided to put forward, the new
president initiated a policy of heavy expenditure on public works, the
building of schools, and the strengthening of the naval and military
forces of the republic. Contracts were given out to the value of
L6,000,000 for the construction of railways in the southern districts;
some 10,000,000 dollars were expended in the erection of schools and
colleges; three cruisers and two sea-going torpedo boats were added to
the squadron; the construction of the naval port at Talcahuano was
actively pushed forward; new armament was purchased for the infantry and
artillery branches of the army, and heavy guns were acquired for the
purpose of permanently and strongly fortifying the neighbourhoods of
Valparaiso, Talcahuano and Iquique. In itself this policy was not
unreasonable, and in many ways extremely beneficial for the country.
Unfortunately corruption crept into the expenditure of the large sums
necessary to carry out this programme. Contracts were given by favour
and not by merit, and the progress made in the construction of the new
public works was far from satisfactory. The opposition in congress to
President Balmaceda began to increase rapidly towards the close of 1887,
and further gained ground in 1888. In order to ensure a majority
favourable to his views, the president threw the whole weight of his
official influence into the elections for senators and deputies in 1888;
but many of the members returned to the chambers through this official
influence joined the opposition shortly after taking their seats. In
1889 congress became distinctly hostile to the administration of
President Balmaceda, and the political situation became grave, and at
times threatened to involve the country in civil war. According to usage
and custom in Chile, a ministry does not remain in office unless
supported by a majority in the chambers. Balmaceda now found himself in
the impossible position of being unable to appoint any ministry that
could control a majority in the senate and chamber of deputies and at
the same time be in accordance with his own views of the administration
of public affairs. At this juncture the president assumed that the
constitution gave him the power of nominating and maintaining in office
any ministers he might consider fitting persons for the purpose, and
that congress had no right of interference in the matter. The chambers
were now only waiting for a suitable opportunity to assert their
authority. In 1890 it was stated that President Balmaceda had determined
to nominate and cause to be elected as his successor at the expiration
of his term of office in 1891 one of his own personal friends. This
question of the election of another president brought matters to a head,
and congress refused to vote supplies to carry on the government. To
avoid trouble Balmaceda entered into a compromise with congress, and
agreed to nominate a ministry to their liking on condition that the
supplies for 1890 were voted. This cabinet, however, was of short
duration, and resigned when the ministers understood the full amount of
friction between the president and congress. Balmaceda then nominated a
ministry not in accord with the views of congress under Senor Claudio
Vicuna, whom it was no secret that Balmaceda intended to be his
successor in the presidential chair, and, to prevent any expression of
opinion upon his conduct in the matter, he refrained from summoning an
extraordinary session of the legislature for the discussion of the
estimates of revenue and expenditure for 1891. When the 1st of January
1891 arrived, the president published a decree in the _Diario Oficial_
to the effect that the budget of 1890 would be considered the official
budget for 1891. This act was illegal and beyond the attributes of the
executive power. As a protest against the action of President Balmaceda,
the vice-president of the senate, Senor Waldo Silva, and the president
of the chamber of deputies, Senor Ramon Barros Luco, issued a
proclamation appointing Captain Jorje Montt in command of the squadron,
and stating that the navy could not recognize the authority of Balmaceda
so long as he did not administer public affairs in accordance with the
constitutional law of Chile. The majority of the members of the chambers
sided with this movement, and on the 7th of January Senores Waldo Silva,
Barros Luco and a number of senators and deputies embarked on board the
Chilean warship "Blanco Encalada," accompanied by the "Esmeralda" and
"O'Higgins" and other vessels, sailing out of Valparaiso harbour and
proceeding northwards to Tarapaca to organize armed resistance against
the president (see CHILEAN CIVIL WAR). It was not alone this action of
Balmaceda in connexion with congress that brought about the revolution.
He had alienated the sympathy of the aristocratic classes of Chile by
his personal vanity and ambition. The oligarchy composed of the great
landowners have always been an important factor in the political life of
the republic; when President Balmaceda found that he was not a _persona
grata_ to this circle he determined to endeavour to govern without their
support, and to bring into the administration a set of men who had no
traditions and with whom his personality would be all-powerful. The
Clerical influence was also thrown against him in consequence of his
radical ideas in respect of Church matters.
Immediately on the outbreak of the revolution President Balmaceda
published a decree declaring Montt and his companions to be traitors,
and without delay organized an army of some 40,000 men for the
suppression of the insurrectionary movement. While both sides were
preparing for extremities, Balmaceda administered the government under
dictatorial powers with a congress of his own nomination. In June 1891
he ordered the presidential election to be held, and Senor Claudio
Vicuna was duly declared chosen as president of the republic for the
term commencing in September 1891. The resources of Balmaceda were
running short on account of the heavy military expenses, and he
determined to dispose of the reserve of silver bullion accumulated in
the vaults of the Casa de Moneda in accordance with the terms of the law
for the conversion of the note issue. The silver was conveyed abroad in
a British man-of-war, and disposed of partly for the purchase of a fast
steamer to be fitted as an auxiliary cruiser and partly in payment for
other kinds of war material.
The organization of the revolutionary forces went on slowly. Much
difficulty was experienced in obtaining the necessary arms and
ammunition. A supply of rifles was bought in the United States, and
embarked on board the "Itata," a Chilean vessel in the service of the
rebels. The United States authorities refused to allow this steamer to
leave San Diego, and a guard was stationed on the ship. The "Itata,"
however, slipped away and made for the Chilean coast, carrying with her
the representatives of the United States. A fast cruiser was immediately
sent in pursuit, but only succeeded in overhauling the rebel ship after
she was at her destination. The "Itata" was then forced to return to San
Diego without landing her cargo for the insurgents. The necessary arms
and ammunition were arranged for in Europe; they were shipped in a
British vessel, and transferred to a Chilean steamer at Fortune Bay, in
Tierra del Fuego, close to the Straits of Magellan and the Falkland
Islands, and thence carried to Iquique, where they were safely
disembarked early in July 1891. A force of 10,000 men was now raised by
the _junta_ of the revolution, and preparations were rapidly pushed
forward for a move to the south with the object of attacking Valparaiso
and Santiago. Early in April a portion of the revolutionary squadron,
comprising the "Blanco Encalada" and other ships, was sent to the
southward for reconnoitring purposes and put into the port of Caldera.
During the night of the 23rd of April, and whilst the "Blanco Encalada"
was lying quietly at anchor, a torpedo boat called the "Almirante
Lynch," belonging to the Balmaceda faction, steamed into the bay of
Caldera and discharged a torpedo at the rebel ship. The "Blanco
Encalada" sank in a few minutes and 300 of her crew perished.
Defeat and suicide of Balmaceda.
In the middle of August 1891 the rebel forces were embarked at Iquique
(where a provisional government under Captain Jorje Montt had been set
up), numbering in all about 9000 men, and sailed for the south. On the
20th of August the congressist army was disembarked at Quinteros, about
20 m. north of Valparaiso, and marched to Concon, where the Balmacedists
were entrenched. A severe fight ensued, in which the troops of President
Balmaceda were defeated with heavy loss. This reverse roused the worst
passions of the president, and he ordered the arrest and imprisonment of
all persons suspected of sympathy with the revolutionary cause. The
population generally were, however, distinctly antagonistic to
Balmaceda; and this feeling had become accentuated since the 17th of
August 1891, on which date he had ordered the execution of a number of
youths belonging to the military college at San Lorenzo on a charge of
seditious practices. The shooting of these boys created a feeling of
horror throughout the country, and a sensation of uncertainty as to what
measures of severity might not be practised in the future if Balmaceda
won the day. After the victory at Concon the insurgent army, under
command of General Campos, marched in a southerly direction towards Vina
del Mar, and thence to Placilla, where the final struggle in the
conflict took place. Balmaceda's generals Barbosa and Alcerrica had here
massed their troops in a strong position. The battle, on the 28th of
August, resulted in victory for the rebels. Both the Balmacedist
generals were killed and Valparaiso was at once occupied. Three days
later the victorious insurgents entered Santiago and assumed the
government of the republic. After the batile of Placilla it was clear to
President Balmaceda that he could no longer hope to find a sufficient
strength amongst his adherents to maintain himself in power, and in view
of the rapid approach of the rebel army he abandoned his official duties
to seek an asylum in the Argentine legation. The president remained
concealed in this retreat until the 18th of September. On the evening of
that date, when the term for which he had been elected president of the
republic terminated, he committed suicide by shooting himself. The
excuse for this act, put forward in letters written shortly before his
end, was that he did not believe the conquerors would give him an
impartial trial. The death of Balmaceda finished all cause of contention
in Chile, and was the closing act of the most severe and bloodiest
struggle that country had ever witnessed. In the various engagements
throughout the conflict more than 10,000 lives were lost, and the joint
expenditure of the two governments on military preparations and the
purchase of war material exceeded L10,000,000 sterling.
An unfortunate occurrence soon after the close of the revolution brought
strained relations for a short period between the governments of the
United States and Chile. A number of men of the U.S.S. "Baltimore"
having been given liberty on shore, an argument arose between some of
them and a group of Chilean sailors in a drinking den in Valparaiso.
Words led to blows. The Americans were badly handled, one of their
number being killed and others severely hurt. The United States
government characterized the affair as an outrage, demanding an
indemnity as satisfaction. The Chilean authorities demurred at this
attitude, and attempted to argue the matter. James G. Elaine, then
secretary of state, refused peremptorily to listen to any explanations.
In the end Chile paid an indemnity of $75,000 as asked, but the affair
left bad feeling in its train.
President Jorje Montt.
The close of the revolution against Balmaceda left the government of
Chile in the hands of the _junta_ under whose guidance the military and
naval operations had been organized. Admiral Jorje Montt had been the
head of this revolutionary committee, and he acted as president of the
provisional government when the administration of the country changed
hands after the victory of the Congressional party. An election was now
immediately ordered for the choice of a president of the republic and
for representatives in the senate and chamber of deputies. Admiral
Montt, as head of the executive power, stanchly refused to allow
official influence to be brought to bear in any way in the presidential
campaign. The great majority of the voters, however, required no
pressure to decide who was in their opinion the man most fitted to
administer the affairs of the republic. For the first time in the
history of Chile a perfectly free election was held, and Admiral Montt
was duly chosen by a nearly unanimous vote to be chief magistrate for
the constitutional term of five years. The senate and chamber of
deputies were formally constituted in due course, and the government of
the republic resumed normal conditions of existence. The new president
showed admirable tact in dealing with the difficult problem he was
called upon to face. Party feeling still ran high between the partisans
of the two sides of the recent conflict. Admiral Montt took the view
that it was politic and just to let bygones be bygones, and he acted
conscientiously by this principle in all administrative measures in
connexion with the supporters of the late President Balmaceda. Early in
1892 an amnesty was granted to the officers of the Balmaceda regime, and
they were freely permitted to return to Chile without any attempt being
made to molest them. The first political act of national importance of
the new government was the grant of control to the municipalities, which
hitherto had possessed little power to direct local affairs, and were
not even permitted to dispose of the municipal revenues to any important
amount without first obtaining the consent of the central government.
Almost absolute power was now given these corporations to manage their
own concerns, and the organization of the police was placed in their
hands; at a later period, however, it was found necessary to modify this
latter condition.
President Montt next turned his attention towards the question of how
best to repair the damage occasioned to the country by eight months of
civil warfare. The plan of public works authorized in 1887 was
reconsidered, and the construction of portions of the various
undertakings recommenced. The army and navy were reorganized. Additional
instructors were brought from Germany, and all arms of the military
service were placed on a thoroughly efficient footing in matters of
drill and discipline. Several new and powerful cruisers were added to
the navy, and the internal economy of this branch of the national
defence was thoroughly inspected and many defects were remedied.
President Montt then took in hand the question of a reform of the
currency, the abolition of inconvertible paper money, and the
re-establishment of a gold basis as the monetary standard of the
republic. This reform of the currency became the keynote of the
president's policy during the remainder of his term of office. Great
opposition was raised by the representatives of the debtor class in
congress to the suppression of the inconvertible paper money, but in the
end President Montt carried the day, and on the 11th of February 1895 a
measure finally became law establishing a gold currency as the only
legal tender in Chile. In July 1896 the Conversion Act was put in force,
a dollar of 18d. being the monetary unit adopted. In 1895 relations with
the neighbouring republic of Argentina began to become somewhat strained
in regard to the interpretation of the treaty concerning the boundary
between the two countries. The treaties of 1881, 1893 and 1895 left
doubts in the minds of both Chileans and Argentines as to the position
of the frontier line. On the 17th of April 1896 another protocol was
drawn up, by which the contending parties agreed to submit any
differences to the arbitration of Great Britain, at the instance of one
or both governments. President Montt had now fulfilled his term of
office, and on the 18th of September 1896 he handed over the
presidential power to his successor, Senor Federico Errazuriz, who had
been duly elected in the month of June previously.
President Errazuriz.
Crisis with Argentina.
The election for the position of president of the republic was closely
contested in 1896 between Senor Errazuriz and Senor Reyes, and ended in
the triumph of the former candidate by the narrow majority of one vote.
The father of the new president had been chief magistrate of Chile from
1871 to 1876, and his administration had been one of the best the
country had ever enjoyed; his son had therefore traditions to uphold in
the post he was now called upon to fill. At the beginning of 1897 the
public attention was absorbed by foreign political questions. The
problems to be solved were the frontier difficulty with Argentina, the
question of the possession of Tacna and Arica with Peru, and the
necessity of fulfilling the obligation contracted with Bolivia to give
that country a seaport on the Pacific coast. The treaty made in 1896
with the Argentine government, referring to the arbitration of disputed
points concerning the boundary, became practically for the moment a dead
letter, and both Argentines and Chileans began to talk openly of an
appeal to arms to settle the matter once for all. The governments of
both countries began to purchase large supplies of war material, and
generally to make preparations for a possible conflict. In these
circumstances no final settlement with Peru and Bolivia was possible,
the authorities of those republics holding back to see the issue of the
Chile-Argentine dispute, and Chile being in no position at the time to
insist on any terms being arranged. So matters drifted until the
beginning of 1898. In July of that year the crisis reached an acute
stage. Both Chile and Argentina put forward certain pretensions to
territory in the Atacama district to the north, and also to a section of
Patagonia in the south. Neither side would give way, nor was any
disposition exhibited to refer the matter to arbitration under the
protocol of 1896. The cry of an acute financial crisis emanating from
the fear of war with Argentina was now raised in Chile. The president
was advised that the only way of averting the financial ruin of the
banking institutions of the republic was to suspend the conversion law
and lend from the national treasury inconvertible notes to the banks.
Senor Errazuriz weakly gave way, and a decree was promulgated placing
the currency once more on an inconvertible paper money basis until 1902.
In August of 1898 the Chilean government determined to insist upon the
terms of the protocol of 1896 being acted upon, and intimated to
Argentina that they demanded the fulfilment of the clause relating to
arbitration on disputed points. This was practically an ultimatum, and a
refusal on the part of the Argentine government to comply with the terms
of the 1896 agreement meant a declaration of war by Chile. For a few
days the issue hung in the balance, and then the Argentine government
accepted the provisions made in 1896 for arbitration. The dispute
concerning the Atacama district was submitted to an arbitration
tribunal, consisting of the representative of the United States in
Argentina, assisted by one Argentine and one Chilean commissioner. This
tribunal, after due investigation, gave their decision in April 1899,
and the verdict was accepted unreservedly by both governments. The
dispute regarding the Patagonian territory was submitted to the
arbitration of Great Britain, and a commission--consisting of Lord
Macnaghten, Sir John Ardagh and Sir T.H. Holdich--was appointed in 1899
to hear the case.
The Argentine difficulty was ended, but Chile still had to find a
settlement with Peru and Bolivia. The treaty made with the former
country in 1893 was not ratified, as it was thought to concede too much
to Peru, and the subsequent _ad referendum_ treaty was rejected on
account of Peru claiming that only Peruvians, and not all residents,
should have the right to vote in the plebiscite to be taken by the terms
of the treaty of 1883 for the possession of Tacna and Arica. By the
terms of the armistice of 1883 between Chile and Bolivia, a three years'
notice had to be given by either government wishing to denounce that
agreement. By the protocol of 1895 Chile agreed to give to Bolivia the
port of Arica, or some other suitable position on the seaboard. On these
lines a settlement was proposed. Vitor, a landing-place a little to the
south of Arica, was offered by the Chilean government to Bolivia, but
refused as not complying with the conditions stated in the protocol of
1895; the Bolivians furthermore preferred to wait and see if Arica was
finally ceded by Peru to Chile, and if so to claim the fulfilment of the
terms of the protocol.
After the accession to office of President Errazuriz there was no
stability of any ministry. Political parties in congress were so evenly
balanced and so subdivided into groups that a vote against the ministry
was easy to obtain, and the resignation of the cabinet immediately
followed in accordance with the so-called parliamentary system in vogue
in Chile. The president of the republic has no power to dissolve the
chambers, to endeavour to remedy the evil by one or another political
party obtaining a substantial working majority, but must wait to see the
results of the triennial elections. As a consequence of these conditions
Conservative, Liberal and coalition ministries held office at short
intervals. These unsettled political circumstances checked any
continuity of policy, and tended to block the passage of all useful
legislation to help forward the economic development of the country and
inhabitants; on the other hand, the financial situation was better by
the end of 1899 than in the previous year, since all proposals for a
fresh paper issue had been vetoed; and the elections for congress and
municipal office at the opening of 1900 returned a majority favourable
to a stable currency policy.
In September 1900 a fresh outburst of hostile feeling against Chile was
created in Argentina by a note addressed by the Chilean government to
Bolivia, intimating that Chile was no longer inclined to hand over the
port of Arica or any other port on the Pacific, but considered the time
ripe for a final settlement of the questions connected with the Chilean
occupation of Bolivian territory, which had now been outstanding for
sixteen years. The foreign policy of Chile, as indicated by this note,
was considered by Argentina to be grasping and unconciliatory, and there
were rumours of an anti-Chilean South American federation. Chile
disclaimed any aggressive intentions; but in December the Bolivian
congress declined to relinquish their claim to a port, and refused to
conclude a definite treaty of peace. The year closed with a frontier
incident between Chile and Argentina in the disputed territory of Ultima
Esperanza, where some Argentine colonists were ejected by Chilean
police; but both governments signed protocols agreeing not to take
aggressive action in consequence.
President Riesco.
At the opening of 1901 the country was chiefly interested in the
forthcoming presidential election, for which the candidates were Don
Pedro Montt (Conservative and Clerical) and Senor German Riesco
(Liberal). The relations between President Errazuriz and congress became
rather strained, owing to the former's inclination to retain in office a
ministry on which congress had passed a vote of censure; but Errazuriz
had been in ill-health for more than a year, and on the 1st of May he
resigned, and died in July. At the ensuing election Riesco was elected
president. The attitude of Chile towards the Pan-American Congress at
Mexico became a matter of interest in the autumn, particularly in
connexion with the proposal for compulsory arbitration between all
American governments. The Chilean government made it quite clear that
they would withdraw from the congress if this proposal was meant to be
retroactive; and their unyielding attitude testified to the
apprehensions felt by Chile concerning United States interference. In
October the Chilean government announced that the contemplated
conversion scheme, for which gold had been accumulated, would be
postponed for two years (till October 1903), the gold being held as a
reserve fund pending the result of the arbitration over the Argentine
frontier. This was generally considered to be a reasonable and
statesmanlike course. Unfortunately, a recrudescence of the excitement
over the boundary dispute was occasioned by the irritation created in
Argentina by the fact that, pending a decision, Chile was constructing
roads in the disputed territory. During December 1901 relations were
exceedingly strained, and troops were called out on both sides. But at
the end of the month it was agreed to leave the question to the British
arbitrators, and the latter decided to send one of their number, Sir
T.H. Holdich, to examine the territory.
Argentine boundary award.
The survey occupied some eight months, and it was not until the autumn
that Sir T.H. Holdich returned to England to make his report. The
difficulty of ascertaining the true line watershed had been very great,
but the result was eminently successful. The award of King Edward was
signed on the 20th of November 1902, and both parties to the litigation
were satisfied. In order that future disputes might be amicably settled,
a treaty was signed by which it was agreed that any question that might
arise should be submitted to the arbitration of Great Britain or in
default of that power to the Swiss Confederation. The removal of this
source of irritation and the restoration of friendly relations between
the two republics was a great relief to the finance of Chile. Had it not
been for the political instability of the country, the effects of the
diminution of expenditure on military and naval preparations would have
effected a rapid improvement in its financial position. The constant
change of ministry (there being no stable majority in the congress)
prevented during 1903 any settled policy, or that confidence in the
government which is the basis of commercial prosperity. In 1904,
however, both trade and revenue showed signs of improvement, and the
sale of the warships "Esmeralda" and "Chambuco" for L1,000,000 furnished
a surplus, which was devoted to the improvement of the port of
Valparaiso. This was the beginning of a period of steady industrial
growth and development. The settlement of the long outstanding dispute
with Bolivia in a treaty of peace signed on the 17th of October 1905 was
very advantageous to both countries. By this treaty Bolivia ceded all
claims to a seaport and strip of the coast, on condition that Chile
constructed at her own charges a railway to Lapaz from the port of
Arica, giving at the same time to Bolivia free transit across Chilean
territory to the sea. A cash indemnity of L300,000 was also paid, and
certain stipulations were made with regard to the construction of other
railways giving access from Chile to the Bolivian interior.