This thesis examines the association between ethnic relations, ethnic cohesion and economic activities in Punta Arenas, Chile, a city inhabited by immigrants from Europe, Central Chile and Chiloe and their descendants over the last century. Through the historical study of changing ethnic interaction in economic activities, marriage and social institutions in the city, of the organization of each of twelve ethnic collectivities, and the analysis of occupational and marital data on nearly seven thousand individuals we demonstrate that the concept of ethnicity (a) can be used to promote inter-class solidarity within the ethnic collectivity, leading to ethnic cohesion; (b) can be used to demarcate class differences between collectivities, rationalizing privilege and exploitation; and (c) can be consciously rejected in favor of claims to national hegemony and/or class mobilization, for example. The significance of ethnic origin in organizing social interaction coincides with its utilization in pursuit of class interests.

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