They used to say that all the clocks stopped in Paraguay in 1864. That was the year Argentina. Brazil and Uruguay ganged up on their small, landlocked neighbor in a grisly war that halved Paraguay's population to 250,000 and left only 14,000 males. Paraguay has made some progress since then: it now has a population of 1,800,000 and a gross national product of $198 million annually (equal to the annual sales of U.S. drugmaker Eli Lilly & Co.). It also has the last remaining old-style dictator in South America.
Last week, after nine years in power, General Alfredo Stroessner,...
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