After 1840, Britain established free trade with Latin America, importing goods and providing credit, transportation, and marketing support. This increased economic activity allowed Latin America to pay off debts from its independence era. However, strong centralized governments took longer to form than expected. Liberal policies like free markets and reduced Church power had mixed results, strengthening some nations while civil wars erupted in others. Financial ties to Europe enabled infrastructure development but living standards in rural areas declined as European immigrants dominated certain jobs.