Managua is surrounded by small lakes that have formed in the craters of volcanoes but, although the city lies in a volcanic region, earthquakes and floods have inflicted greater damage upon its infrastructure than volcanoes have. In 1876, Lake Managua caused widespread flooding. Damaging parts of the city and, in 1931, an earthquake destroyed much of Managua. From the 1930s through the 1970s, members of the Somoza family ruled Nicaragua as dictators. During this period, Managua developed economically and grew in size. In 1940, the city had a population of 84,000 but, by 1971, Managua had 399,000 inhabitants. However, the city's development and infrastructure were devastated in December 1972 by a major earthquake that damaged or destroyed 90 percent of Managua's buildings. Fires that followed the earthquake severely damaged many of the remaining buildings (Leiken p.12-18).
Recovery from the 1972 earthquake was slow, and the city's central business district was relocated some 6 miles (10 km) southwest of the former downtown area. However, civil war following the 1978 uprising that overthrew the Somozas also greatly damaged the city. After the Marxist Sandinista movement came to power in 1979, relations with the United States were poor. As a result, Nicaragua did not receive any U.S. funding to help with its reconstruction program. In the wake of the earthquake, many residents relocated to the suburbs, and much of the original downtown area still awaits reconstruction (Leonard p. 11).
Government
The largest country in Central America, Nicaragua shares borders with Honduras on the north and Costa Rica to the south. Nicaragua has undergone significant political, economic, and social changes since the late 1970s. As a result, Nicaraguans have had to contend with serious challenges posed by natural disasters such as earthquakes and hurricanes and unstable and corrupt governments. Comparable in size to the state of New York, the vast majority of the population (approximately five million) is located in the Pacific lowlands around Managua, the capital city. Most Nicaraguans are mestizo (of mixed Indian and Spanish descent), but there is a large African influence on the Atlantic coast. In addition, most Nicaraguans are Roman Catholics, although Protestantism is growing (Thomas p. 33-35).
Nicaragua is home to several volcanoes (many of which are still active) and the two largest freshwater lakes in Central America Managua and Nicaragua. Lake Managua gives the capital city a beautiful picturesque quality and Lake Nicaragua has the only freshwater sharks in the world. Nicaragua's economy is based largely on the production and export of agricultural goods. The most important export crops are coffee, cotton, various hardwoods (such as mahogany), cattle, and seafood. However, in recent years dropping world prices for agricultural commodities, coupled with the effects of a decade-long civil war in the 1980s, rampant corruption, and Hurricane Mitch, has wreaked havoc on Nicaragua's already weak economy.
During the 1980s, Nicaragua was the subject of a foreign policy debate in the waning years of the Cold War. The Sandinistas who had close ties to Cuba and the Soviet Union were engaged in a ...