URUGUAY: Problems in Paradise

On the broad, busy streets of Montevideo last week it was hard to detect any signs of malaise. Montevideans looked well-fed, as usual, and stores were crowded with customers. Perhaps in no other Latin American capital were sidewalks so conspicuously free of beggars and ragamuffins. The faces in the crowd, as big-city crowds go, showed a high average of cheer.

Spring was on the march in Uruguay, rainbowing roadsides and vacant lots with vivid wild flowers. Cafe owners set out sidewalk tables. At coastal resort hotels, workmen began taking down shutters and painting...

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