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 * History of Santiago**



 When Europeans arrived in what is now the Santiago area, the Mapuche Indians, or the Araucanians lived there after it was founded by Pedro de Valdivia on February 12, 1541 and was the fir st permanent Spanish settlement (WorldBook). In the Chilean region and parts of Argentina, Santiago became the seat of Spanish rule in the late 1500's (WorldBook) Santiago became the nation's capital after Chile gained its independence. The economy of Santiago expanded during World War I (1914-1918) mainly because of the demand for nitrates, which were used in making explosives (WorldBook) After World War II (1939-1945), the city's industrial expansion continued. Valdivia chose the location of Santiago because of its climate, abundant vegatation, and the Mapocho River; which splits into two branches and rejoins further downstream, forming an island. The native Picunche helped with the first buildings of Santiago. The city was built following the traditional Hispanic grid pattern used in American colonies.



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