Final answer:
The latifundia system is an obstacle to development in Latin America due to its concentration of wealth and power and its focus on export-oriented plantation agriculture.
Step-by-step explanation:
The statement is true. The latifundia system is considered an obstacle to development in Latin America.
The latifundia system refers to large landed estates owned by a small elite class in Latin America. This system emerged during the colonial period when colonial powers like England and Spain forcibly took land from indigenous people and established plantations. The latifundia system led to the concentration of wealth and power in the hands of a few, while the majority of the population remained impoverished.
Under the latifundia system, the land was mainly used for cash crop production, such as sugar, coffee, and tobacco, which were exported to other countries. This export-oriented approach hindered the development of diverse and sustainable economies in Latin America. The focus on plantation agriculture also resulted in inequality, as agricultural laborers were denied access to the benefits of industrialization and modernization.