Economic history of Peru market. By the mid-19th century, the reversal of the socioeconomic hierarchy was complete; Peru would not recover its Viceroyalty-era supremacy (Mahoney, 86). Peru embarked on a railroad building program. Henry Meiggs built a standard gauge line from Callao across the Andes to the Interior, Huancayo; striking for Cuzco he built the line but also bankrupted the country. In 1879, Peru entered the War of the Pacific which lasted until 1884. Bolivia invoked its alliance with Peru against Chile. The Peruvian Government tried to mediate the dispute by sending a diplomatic team to negotiate with the Chilean government, but the committee
Water resources management in Peru upper basins, whereas the southern part of the country is particularly prone to droughts. Aside from natural causes, such as El Niño Southern Oscillation, the effects of droughts and floods have been exacerbated by manmade interventions including soil erosion stemming from poor cropping and grazing practices, deforestation, and poor land use-practices. El Niño hits Peru approximately once every seven years and consists of heavy winds and rainfall associated with devastating floods and landslides. In 1997–1998 the costs of damages reached US$2 billion. Droughts severely affect the southern coast, producing agricultural losses as well as limitations on human water consumption. Preventive