Europeans arrived in what is now Argentina in 1502. Spain established a permanent colony on the site of Buenos Aires in 1580, and the Spanish further integrated Argentina into their empire following the establishment in 1776 of the Vice-Royalty of Rio de la Plata. Buenos Aires formally declared independence from Spain on July 9, 1816. Much of Argentina’s history up until about the mid-20th century was dominated by periods of internal political conflict between civilian and military factions. After World War II, an era of Peronist populism and direct and indirect military interference in subsequent governments was followed by a military junta that took power in 1976. Serious economic problems and defeat by the United Kingdom in 1982 after an unsuccessful Argentine attempt to forcibly take control of the Falklands/Malvinas Islands combined to discredit and discourage the military regime, leading the country toward democratic rule. With a population of about 40 million, Argentina is one of South America’s largest economies. A severe economic crisis in 2001-2002 left more than half the population living in poverty and triggered unrest, and the country struggled with record debt defaults and currency devaluation. The crisis was over by 2005 but the country still faces many challenges.