Today, is thriving in latin america.

I think B is the best option.

A: the colonial economic system can be understood in many ways, but one of the ways was that the good were only allowed to be sold back to the home country (who owned to colony) - that's not the case.

Islam is not very present in Latin A., and definitely not militant Islam.

Theocracy is the ruling of the clergy, again not the case.

Democracy, although not perfect, is thriving in Latin America, especially if we compare it to other periods in the history of LAmerica.