Costa Rica has a population of just over four million, more than half of whom live in the Central Valley and are considered as urban. Some 94% of the population is of Spanish or otherwise European descent, and it is not at all unusual to see fair-skinned and blond Costa Ricans. This is largely because the indigenous population in place when the first Spaniards arrived was small and thereafter was quickly reduced to even more of a minority by wars and disease. There are still some remnant indigenous populations, primarily on reservations around the country; the principal tribes include the Bribri, Cabécar, Boruca, and Guayamí. In addition, on the Caribbean coast and in the big cities, there is a substantial population of English-speaking black Creoles who came over from the Antilles to work on the railroad and on the banana plantations. Racial tension isn't palpable, but it exists, perhaps more out of standard ignorance and fear rather than an organized or articulated prejudice.
In general, Costa Ricans are a friendly and outgoing people. In conversation and interaction with visitors, Ticos are very open and helpful. Time has relative meaning to Ticos. Although most tour companies and other establishments operate efficiently, don't expect punctuality, in general.
In a region historically plagued by internal strife and civil wars, Costa Ricans are proud of their peaceful history, political stability, and relatively high level of development. However, this can also translate into arrogance and prejudice toward immigrants from neighboring countries, particularly Nicaraguans, who make up a large percentage of the workforce on the banana and coffee plantations.
Roman Catholicism is the official religion of Costa Rica, although freedom to practice any religion is guaranteed by the country's constitution. More than 75% of the population identifies itself as Roman Catholic, while another 14% are part of a number of evangelical Christian congregations. There is a small but visible Jewish community as well. By and large, a large section of Ticos are religiously fervent. Although many city-dwellers lead quite secular lives, those in small villages and towns attend Mass regularly.
Costa Rica is the most technologically advanced and politically stable nation in Central America, and it has the largest middle class. Even the smallest towns have electricity, the water is mostly safe to drink, and the phone system is relatively good. Still, the gap between rich and poor has been widening for years. Government, banking, and social institutions are regularly embroiled in scandal. The roads, hospitals, and school systems have been in a slow but steady state of decay for decades. And there are no immediate signs that these matters will improve. Several "Free Zones" and some high-tech investments and production facilities have dramatically changed the face of Costa Rica's economy. Intel, which opened two side-by-side assembly plants in Costa Rica, currently accounts for more than 20% of the country's exports, compared with traditional exports such as coffee (3%) and bananas (8%). Although Intel and other international companies are used to trumpet a growing gross domestic product, very little of the profits actually make their way into the Costa Rican economy.
In early 2004, Costa Rican and U.S. negotiators hammered out a Free Trade Agreement, although it has still not been fully implemented. In late 2007, the agreement was approved narrowly in a national referendum, but a series of legislative changes are still needed before it can go into effect.
Still, tourism is the nation's true principal source of income, surpassing cattle ranching, textiles and exports of coffee, pineapples, bananas, and Intel microchips. Almost two million tourists visit Costa Rica each year, and over half the working population is employed in the tourism and service industries. Increasingly, Ticos whose fathers and grandfathers were farmers and ranchers find themselves hotel owners, tour guides, and waiters. Although most have adapted gracefully and regard the industry as a source of new jobs and opportunities for economic advancement, restaurant and hotel staff can seem gruff and uninterested at times, especially in rural areas. And, unfortunately, an increase in the number of visitors has led to an increase in crime, prostitution, and drug trafficking. Common sense and street savvy are required in San José and in many of the more popular tourist destinations.
