This is the national flag of Chile, in South America. Many people confuse with with the flag of Texas, and the two are definitely similar. However, the Chile flag is completely red along its bottom half. The Texas flag, on the other hand, has the blue section extend all the way to the bottom.
Texas adopted its flag in 1845, whereas the predecessor to the current Chilean flag was first developed in 1818, and can be seen below. Before that date, Chile used a red, white and blue striped flag, which everyone confused with the Dutch flag instead.
In 1540 a permanent Spanish presence was established in Chile, and it remained a Spanish colony until the 1810s, when it gained independence. Chile has a very stable political history.
The bulk of Chile's economy is export driven, and copper makes up 40% of its exports by value, and it was a whopping 70% some 30 years ago. Chile also exports wine, salmon, and wood pulp.
Chile has a growing tourist industry, and a modern telecommunications infrastructure. Chileans have a high level of education, and the majority of the population are Roman Catholic (70%) and Protestant (15%).
Two Chilean poets (Gabriela Mistral and Pablo Neruda) have claimed Nobel prizes in literature, and some Chileans refer to their country as the Pais de Poetas (land of poets).
You can read more about Chile on Wikipedia.
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