In 1581, Philip II told the audiencia (An audiencia was a judicial district as well as a judicial, administrative, and advisory body. In Mexico, it was the supreme court of administration and judgment.) of Guadalajara that a third of Latin America's Indians had already been wiped out, and that those who survived were compelled to pay the tributes for the dead. The monarch added that Indians were bought and sold; that they slept in the open air; and that mothers killed their children to save them from the torture of the mines. Yet the Crown's hypocrisy had smaller limits than the empire: it received a fifth of the value of the metals extracted by its subjects in all of the Spanish New World, as well as other taxes, and the Portuguese Crown was to have the same arrangement in eighteenth- century Brazil. Latin American silver and gold—as Engels put it—penetrated like a corrosive acid through all the pores of Europe's moribund feudal society, and, for the benefit of nascent mercantilist capitalism, the mining entrepreneurs turned Indians and black slaves into a teeming "external proletariat" of the European economy. Greco-Roman slavery was revived in a different world; to the plight of the Indians of the exterminated Latin American civilizations was added the ghastly fate of the blacks seized from African villages to toil in Brazil and the Antilles. The colonial Latin American economy enjoyed the most highly concentrated labor fore known until that time, making possible the greatest concentration of wealth ever enjoyed by any civilization in world history.The price of the tide of avarice, terror, and ferocity bearing down on these regions was Indian genocide: the best recent investigations credit pre- Columbian Mexico with a population between 30 and 37.5 million, and the Andean region is estimated to have possessed a similar number; Central America had between 10 and 13 million. The Indians of the Americas totaled no less than 70 million when the foreign conquerors appeared on the horizon; a century and a half later they had been reduced to 3.5 million. In 1685 only 4,000 Indian families remained of the more than 2 million that had once lived between Lima and Paita, according to the Marquis of Barinas. Archbishop Liñan y Cisneros denied that the Indians had been annihilated: "The truth is that they are hiding out," he said, "to avoid paying tribute, abusing the liberty which they enjoy and which they never had under the Incas."
Pictured, Philip II