Due to the mountainous nature of the country, rivers are short and are not navigable. Thus, natural locations for cities are difficult to find. The rivers offer the possibility for increased hydro-electric power, but the current economy has not supported much industrial growth. The mountains do however offer potential, as large supplies of copper ore can be found. Extremadura s capital, Cortez City, has a population of three million and is located in a large valley surrounded by mountains.
Agriculture is the dominant activity in the country along with forestry.
Historically, the area has been affected by volcanic activity and earthquakes, which is a common problem to most Central American countries. In most cases a European governor ruled the nation, loyal to the monarch and administering by royal decree. Government ministers were either appointed Europeans, or Creoles, who were of European ancestry but born in Extremadura. For three centuries the tradition of colonial governing in the hands of Europeans was the rule until the revolution of 1820. The revolution of 1820 resulted in the severing of ties with Europe, and a series of revolutionary governments espousing democracy were attempted.