People in the Spanish-speaking world refer to Chile's capital as "Santiago de Chile" primarily to distinguish it from other cities named Santiago, including the one in Spain. The name "Santiago" is derived from Saint James (Santiago in Spanish), a common name in Spanish-speaking countries and often associated with different places.
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Distinction: The full name "Santiago de Chile" helps clarify which Santiago is being referenced, especially since there are several cities with that name in Spanish-speaking countries.
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Heritage: The historical and cultural context also plays a role. Santiago, Chile, was founded in 1541 by Spanish conquistador Pedro de Valdivia and named after Saint James. The use of the full name is a reflection of its colonial past and the influence of Spain in Latin America.
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Geographical Reference: Though Santiago is located in the central part of Chile, the addition of "de Chile" emphasizes its identity as the capital of the country, especially in civic and international contexts.
In summary, the use of "Santiago de Chile" serves to identify and differentiate the capital city from others with the same name while reflecting its historical roots.