The region now known as Bolivia had been occupied for over 2,500 years when the Aymara arrived. However, present-day Aymara associate themselves with the ancient civilization of the Tiwanaku culture which had its capital at Tiwanaku, in Western Bolivia. The capital city of Tiwanaku dates from as early as 1500 BC when it was a small, agriculturally based village.
The community grew to urban proportions between AD 600 and AD 800, becoming an important regional power in the southern Andes. According to early estimates, the city covered approximately 6.5 square kilometers (2.5 square miles) at its maximum extent and had between 15,000 and 30,000 inhabitants. In 1996 satellite imaging was used to map the extent of fossilized suka kollus (flooded raised fields) across the three primary valleys of Tiwanaku, arriving at population-carrying capacity estimates of anywhere between 285,000 and 1,482,000 people.
Around AD 400, Tiwanaku went from being a locally dominant force to a predatory state. Tiwanaku expanded its reaches into the Yungas and brought its culture and way of life to many other cultures in Peru, Bolivia, and Chile. Tiwanaku was not a violent culture in many respects. In order to expand its reach, Tiwanaku exercised great political astuteness, creating colonies, fostering trade agreements (which made the other cultures rather dependent), and instituting state cults.
The empire continued to grow with no end in sight. William H. Isbell states "Tiahuanaco underwent a dramatic transformation between AD 600 and 700 that established new monumental standards for civic architecture and greatly increased the resident population." Tiwanaku continued to absorb cultures rather than eradicate them. Archaeologists note a dramatic adoption of Tiwanaku ceramics into the cultures which became part of the Tiwanaku empire. Tiwanaku's power was further solidified through the trade it implemented among the cities within its empire.
Tiwanaku's elites gained their status through the surplus food they controlled, collected from outlying regions and then redistributed to the general populace. Further, this elite's control of llama herds became a powerful control mechanism as llamas were essential for carrying goods between the civic centre and the periphery. These herds also came to symbolize class distinctions between the commoners and the elites. Through this control and manipulation of surplus resources, the elite's power continued to grow until about AD 950. At this time a dramatic shift in climate occurred, causing a significant drop in precipitation in the Titicaca Basin, believed by archaeologists to have been on the scale of a major drought.
As the rainfall decreased, many of the cities farther away from Lake Titicaca began to tender fewer foodstuffs to the elites. As the surplus of food decreased, and thus the amount available to underpin their power, the control of the elites began to falter. The capital city became the last place viable for food production due to the resiliency of the raised field method of agriculture. Tiwanaku disappeared around AD 1000 because food production, the main source of the elites' power, dried up. The area remained uninhabited for centuries thereafter.
Between 1438 and 1527, the Inca empire, during its expansion from its capital at Cuzco, Peru. It gained control over much of what is now Andean Bolivia and extended its control into the fringes of the Amazon basin.
The Spanish conquest of the Inca empire began in 1524, and was mostly completed by 1533. The territory now called Bolivia was known as Charcas, and was under the authority of the Viceroy of Lima. Local government came from the Audiencia de Charcas located in Chuquisaca (La Plata—modern Sucre). Founded in 1545 as a mining town, Potosí soon produced fabulous wealth, becoming the largest city in the New World with a population exceeding 150,000 people.
By the late 16th century, Bolivian silver was an important source of revenue for the Spanish Empire. A steady stream of natives served as labor force under the brutal, slave conditions of the Spanish version of the pre-Columbian draft system called the mita. Charcas was transferred to the Viceroyalty of the Río de la Plata in 1776 and the people from Buenos Aires, the capital of the Viceroyalty, coined the term "Upper Peru" (Spanish: Alto Perú) as a popular reference to the Royal Audiencia of Charcas. Túpac Katari led the indigenous rebellion that laid siege to La Paz in March 1781, during which 20,000 people died. As Spanish royal authority weakened during the Napoleonic wars, sentiment against colonial rule grew.
Independence and subsequent wars
The struggle for independence started in the city of Sucre on 25 May 1809 and the Chuquisaca Revolution (Chuquisaca was then the name of the city) is known as the first cry of Freedom in Latin America. That revolution was followed by the La Paz revolution on 16 July 1809. The La Paz revolution marked a complete split with the Spanish government, while the Chuquisaca Revolution established a local independent junta in the name of the Spanish King deposed by Napoleon Bonaparte. Both revolutions were short-lived and defeated by the Spanish authorities in the Viceroyalty of the Rio de La Plata, but the following year the Spanish American wars of independence raged across the continent.
Bolivia was captured and recaptured many times during the war by the royalists and patriots. Buenos Aires sent three military campaigns, all of which were defeated, and eventually limited itself to protecting the national borders at Salta. Bolivia was finally freed of Royalist dominion by Antonio José de Sucre, with a military campaign coming from the North in support of the campaign of Simón Bolívar. After 16 years of war the Republic was proclaimed on 6 August 1825.
In 1836, Bolivia, under the rule of Marshal Andrés de Santa Cruz, invaded Peru to reinstall the deposed president, General Luis José de Orbegoso. Peru and Bolivia formed the Peru-Bolivian Confederation, with de Santa Cruz as the Supreme Protector. Following tension between the Confederation and Chile, Chile declared war on 28 December 1836. Argentina separately declared war on the Confederation on 9 May 1837. The Peruvian-Bolivian forces achieved several major victories during the War of the Confederation: the defeat of the Argentine expedition and the defeat of the first Chilean expedition on the fields of Paucarpata near the city of Arequipa.
At the outset of the war, the Chilean and Peruvian rebel army surrendered unconditionally and signed the Paucarpata Treaty. The treaty stipulated that Chile would withdraw from Peru-Bolivia, Chile would return captured Confederate ships, economic relations would be normalized, and the Confederation would pay Peruvian debt to Chile. In Chile, the government and public rejected the peace treaty. Chile organized a second attack on the Confederation and defeated it in the Battle of Yungay. After this defeat, Santa Cruz resigned and went to exile in Ecuador and then Paris, and the Peruvian-Bolivian Confederation was dissolved.
Following the renewed independence of Peru, Peruvian president General Agustín Gamarra invaded Bolivia. The Peruvian army was decisively defeated at the Battle of Ingavi on 20 November 1841 where Gamarra was killed. The Bolivian army under General José Ballivián then mounted a counter-offensive, capturing the Peruvian port of Arica. Later, both sides signed a peace treaty in 1842, putting a final end to the war.
A period of political and economic instability in the early-to-mid-19th century weakened Bolivia. In addition, during the War of the Pacific (1879–83), Chile occupied vast territories rich in natural resources south west of Bolivia, including the Bolivian coast. Chile took control of today's Chuquicamata area, the adjoining rich salitre (saltpeter) fields, and the port of Antofagasta among other Bolivian territories.
Thus, since independence, Bolivia has lost over half of its territory to neighboring countries. It also lost the state of Acre, in the Acre War, important because this region was known for its production of rubber. Peasants and the Bolivian army fought briefly but after a few victories, and facing the prospect of a total war against Brazil, it was forced to sign the Treaty of Petrópolis in 1903, in which Bolivia lost this rich territory. Popular myth has it that Bolivian president Mariano Melgarejo (1864–71) traded the land for what he called "a magnificent white horse" and Acre was subsequently flooded by Brazilians, which ultimately led to confrontation and fear of war with Brazil. In the late 19th century, an increase in the world price of silver brought Bolivia relative prosperity and political stability.
Early 20th century
During the early 20th century, tin replaced silver as the country's most important source of wealth. A succession of governments controlled by the economic and social elite followed laissez-faire capitalist policies through the first thirty years of the 20th century.
Living conditions of the native people, who constitute most of the population, remained deplorable. With work opportunities limited to primitive conditions in the mines and in large estates having nearly feudal status, they had no access to education, economic opportunity, and political participation. Bolivia's defeat by Paraguay in the Chaco War (1932–35), where Bolivia lost a great part of the Gran Chaco region in dispute, marked a turning-point.
The Revolutionary Nationalist Movement (MNR), the most historic political party, emerged as a broad-based party. Denied its victory in the 1951 presidential elections, the MNR led a successful revolution in 1952. Under President Víctor Paz Estenssoro, the MNR, having strong popular pressure, introduced universal suffrage into his political platform and carried out a sweeping land-reform promoting rural education and nationalization of the country's largest tin mines.
Late 20th century
12 years of tumultuous rule left the MNR divided. In 1964, a military junta overthrew President Estenssoro at the outset of his third term. The 1969 death of President René Barrientos Ortuño, a former member of the junta who was elected president in 1966, led to a succession of weak governments. Alarmed by the rising Popular Assembly and the increase in the popularity of President Juan José Torres, the military, the MNR, and others installed Colonel (later General) Hugo Banzer Suárez as president in 1971. He returned to the presidency in 1997 through 2001.
The United States' Central Intelligence Agency (CIA) had been active in providing finances and training to the Bolivian military dictatorship in the 1960s. The revolutionary leader Che Guevara was killed by a team of CIA officers and members of the Bolivian Army on 9 October 1967, in Bolivia. Félix Rodríguez was a CIA officer on the team with the Bolivian Army that captured and shot Guevara. Rodriguez said that after he received a Bolivian presidential execution order, he told "the soldier who pulled the trigger to aim carefully, to remain consistent with the Bolivian government's story that Che had been killed in action during a clash with the Bolivian army." Rodriguez said the US government had wanted Che in Panama, and "I could have tried to falsify the command to the troops, and got Che to Panama as the US government said they had wanted", but that he had chosen to "let history run its course" as desired by Bolivia.
Elections in 1979 and 1981 were inconclusive and marked by fraud. There were coups d'état, counter-coups, and caretaker governments. In 1980, General Luis García Meza Tejada carried out a ruthless and violent coup d'état that did not have popular support. He pacified the people by promising to remain in power only for one year. At the end of the year, he staged a televised rally to claim popular support and announced, "Bueno, me quedo", or, "All right; I'll stay [in office]." After a military rebellion forced out Meza in 1981, three other military governments in 14 months struggled with Bolivia's growing problems. Unrest forced the military to convoke the Congress, elected in 1980, and allow it to choose a new chief executive. In October 1982, Hernán Siles Zuazo again became president, 22 years after the end of his first term of office (1956–60).
Gonzalo Sánchez de Lozada pursued an aggressive economic and social reform agenda. The most dramatic reform was the "capitalization" program, under which investors, typically foreign, acquired 50% ownership and management control of public enterprises in return for agreed upon capital investments.
In 1993, Gonzalo Sánchez de Lozada ran for president in alliance with the Tupac Katari Revolutionary Liberation Movement, which inspired indigenous-sensitive and multicultural-aware policies. In 1993, Sanchez de Lozada introduced the Plan de Todos, which led to the decentralization of government, introduction of intercultural bilingual education, implementation of agrarian legislation, and privatization of state owned businesses. The plan explicitly stated that Bolivian citizens would own a minimum of 51% of enterprises; under the plan, most state-owned enterprises (SOEs), though not mines, were sold. This privatization of SOEs led to a neoliberal structuring.
The Law of Popular Participation gave municipalities the responsibility of maintaining various infrastructures (and offering services): health, education, systems of irrigation, which stripped the responsibility away from the state.
The reforms and economic restructuring were strongly opposed by certain segments of society, which instigated frequent and sometimes violent protests, particularly in La Paz and the Chapare coca-growing region, from 1994 through 1996. During this time, the umbrella labor-organization of Bolivia, the Central Obrera Boliviana (COB), became increasingly unable to effectively challenge government policy. A teachers' strike in 1995 was defeated because the COB could not marshal the support of many of its members, including construction and factory workers.
In the 1997 elections, General Hugo Banzer, leader of the Nationalist Democratic Action party (ADN) and former dictator (1971–78), won 22% of the vote, while the MNR candidate won 18%. At the outset of his government, President Banzer launched a policy of using special police-units to eradicate physically the illegal coca of the Chapare region. The MIR of Jaime Paz Zamora remained a coalition-partner throughout the Banzer government, supporting this policy (called the Dignity Plan). The Banzer government basically continued the free-market and privatization-policies of its predecessor. The relatively robust economic growth of the mid-1990s continued until about the third year of its term in office. After that, regional, global and domestic factors contributed to a decline in economic growth. Financial crises in Argentina and Brazil, lower world prices for export commodities, and reduced employment in the coca sector depressed the Bolivian economy. The public also perceived a significant amount of public sector corruption. These factors contributed to increasing social protests during the second half of Banzer's term.
Between January 1999 and April 2000, large-scale protests erupted in Cochabamba, Bolivia's third largest city, in response to the privatisation of water resources by foreign companies and a subsequent doubling of water prices. On 6 August 2001, Banzer resigned from office after being diagnosed with cancer. He died less than a year later. Vice President Jorge Fernando Quiroga Ramírez completed the final year of his term.
In the June 2002 national elections, former President Gonzalo Sánchez de Lozada (MNR) placed first with 22.5% of the vote, followed by coca-advocate and native peasant-leader Evo Morales (Movement Toward Socialism, MAS) with 20.9%. A July agreement between the MNR and the fourth-place MIR, which had again been led in the election by former President Jaime Paz Zamora, virtually ensured the election of Sánchez de Lozada in the congressional run-off, and on 6 August he was sworn in for the second time. The MNR platform featured three overarching objectives: economic reactivation (and job creation), anti-corruption, and social inclusion.
In 2003 the Bolivian gas conflict broke out. On 12 October 2003 the government imposed martial law in El Alto after 16 people were shot by the police and several dozen wounded in violent clashes. Faced with the option of resigning or more bloodshed, Sanchez de Lozada offered his resignation in a letter to an emergency session of Congress. After his resignation was accepted and his vice president, Carlos Mesa, invested, he left on a commercially scheduled flight for the United States.
The country's internal situation became unfavorable for such political action on the international stage. After a resurgence of gas protests in 2005, Carlos Mesa attempted to resign in January 2005, but his offer was refused by Congress. On 22 March 2005, after weeks of new street protests from organizations accusing Mesa of bowing to U.S. corporate interests, Mesa again offered his resignation to Congress, which was accepted on 10 June. The chief justice of the Supreme Court, Eduardo Rodríguez, was sworn as interim president to succeed the outgoing Carlos Mesa.
The indigenous population of the Andean region was not able to benefit from government reforms.
Evo Morales won the 2005 presidential election with 53.7% of the votes, an absolute majority, unusual in Bolivian elections. On 1 May 2006, Morales caused controversy when he announced his intent to re-nationalize Bolivian hydrocarbon assets. Fulfilling a campaign promise, on 6 August 2006, Morales opened the Bolivian Constituent Assembly to begin writing a new constitution aimed at giving more power to the indigenous majority.
In August 2007, more conflicts arose in Sucre, as the city demanded the discussion of the seat of government inside the assembly, hoping the executive and legislative branches could return to the city, but the assembly and the government said this demand was overwhelmingly impractical and politically undesirable. In May 2008, Evo Morales was a signatory to the UNASUR Constitutive Treaty of the Union of South American Nations. In the 2009 national general elections, Evo Morales was re-elected with 64.22% of the vote. His party, Movement for Socialism, also won a two-thirds majority in both houses of the National Congress.Source: https://en.wikipedia.org/wiki/Bolivia