In the end, though, the war proved beneficial for the island’s residents, most of whom are of English or Scottish descent and are sometimes known as “kelpers,” after a type of seaweed found here. “The Conflict,” as it is known here, forced Britain to re-examine its relationship with the Falklands and led, for example, to full British citizenship for islanders.

But the biggest changes have been economic, the result of Britain’s decision to allow the Falklands government to declare a 200-mile economic zone that gives islanders jurisdiction over the icy but fish-rich waters around them. Islanders had pushed for such a measure long before the war, but Britain had always refused for fear of provoking Argentina.

Image Expanding work requires hiring outsiders. A Chilean, Jaime Camblor, rounds up sheep in Goose Green. Credit... Scott Dalton for The New York Times

“The war was a catalyst for change, but it was the fishing zone that really kick-started everything,” said Andrea Clausen, a legislative council member who oversees fishing matters. “On the backs of sacrifice and suffering, we’ve been able to build our economy and society and catch up with the rest of the world.”

Today, fishing activities bring in about $88 million a year overall, with fishing licenses and taxes providing more than two-thirds of the government’s $66 million in annual revenues. As a result, the Falklands have some of the highest per capita incomes in the world, about $50,000 a year, as well as bank reserves of $360 million.

Argentina, however, has never relinquished its claim to the Falklands — which it calls the Malvinas — and the surrounding waters, and relations have recently worsened as a result of the fisheries boom. Even before the government here decided in 2005 to grant 25-year fishing contracts as a way to encourage foreign companies to invest, Argentina had withdrawn permission for flights over its territory, with the exception of one weekly flight from Chile.

With Argentina facing an election in October and British forces stretched thin in Iraq and Afghanistan, President Néstor Kirchner has recently ratcheted up the nationalist talk over the islands. The Argentine government has promised to use only diplomacy in its effort to regain control of them, but that pledge offers islanders little solace.