Juan Velasco Alvarado of the Velasco administration's economic policies is still debated today. As the Peruvian military government ran deeper into debt, it was forced to devalue the currency and run inflationary policies. This however, was in part due to the 1970s Energy Crisis, which also affected Peru and made it impossible for the Velasco administration to fund some of its most ambitious reforms. In foreign policy, in contrast with his 1970s Latin American contemporaries, which were mostly right-wing military dictatorships, he pursued a partnership with the Soviet bloc, tightening relations with Cuba and Fidel Castro and undertaking major purchases of Soviet military
Juan Bautista Alvarado was born in Monterey, Alta California, to Jose Francisco Alvarado and María Josefa Vallejo. His grandfather Juan Bautista Alvarado accompanied Gaspar de Portolà as an enlisted man in the Spanish Army in 1769. His father died a few months after his birth and his mother remarried three years later, leaving Juan Bautista in the care of his grandparents on the Vallejo side, where he and Mariano Guadalupe Vallejo grew up together. They were both taught by William Edward Petty Hartnell, an English merchant living in Monterey. In 1827 the eighteen-year-old Alvarado was hired as secretary to the territorial legislature. In