Modern Latin America can be divided into three categories: 1. The first world includes Chile, which uses free trade to engage with global powers like the US. 2. The second world struggles with political and economic instability, like Argentina, Venezuela, and Columbia. Argentina has declined despite past prosperity, while Venezuela relies too heavily on oil. 3. The third world remains undeveloped, though some such as Columbia have potential to connect South America globally if they can address issues like poverty, drugs, and political divisions.