the state, and is mined for export
to the various states of the Pacific coast. It is not a good coal for
iron smelting, however, and about three times as much is imported as is
exported. A considerable part of the imported coal comes from Australia,
and with it structural steel is made from pig-iron that is also
imported.

Chile is well equipped with railways, a part of which has been built and
are operated by the state. The most important line traverses the valley
between the Andes and the coast ranges, from Concepcion to Valparaiso.
In this region are most of the manufacturing enterprises.

The imports are chiefly coal, machinery, textile goods, and sugar. The
British control about two-thirds of the foreign trade; the Germans and
the French have most of the remainder. The United States supplies the
Chileans with a part of the textiles, a considerable quantity of Oregon
pine, and practically all the coal-oil used.

[Illustration: VALPARASIO]

_Valparaiso_ is the chief business centre of the Pacific coast of South
America. Most of the forwarding business is carried on by British and
German merchants. The transandine railway, now about completed, will
make it one of the most important ports of the world. _Santiago_ is the
capital. _Concepcion_ and _Talca_ are important centres of trade.
_Chillan_ is the principal cattle-market of the Pacific coast of South
America. _Copiapo_ is the focal point of the mining interests. _Iquique_
is the port from which about all the nitrates are shipped. _Punta
Arenas_, one of the "end towns" of the world, is an ocean post-office
for vessels passing through the Straits of Magellan. It is about as far
south as Calgary, B.C., is north.

QUESTIONS FOR DISCUSSION

What will be the probable effect of an interoceanic canal on the
commerce of these states?

From the Abstract of Statistics make a list of the exports from the
United States to these countries.

From the statistics of trade in the Statesman's Year-Book compare the
trade of the United States with that of other countries in these states.

How have race characteristics affected the commerce and development of
these states?

What is meant by peonage?

What cities of the tropical part of these states are in the climate of
the temperate zone?

FOR COLLATERAL READING AND REFERENCE

Carpenter's South America.

Vincent's Around and About South America.

Fiske's Discovery of America--Chapters IX-X.

Procure, if possib