America and Latin America Panama Decision was made to build canal in Panama, which was part of Colombia. Colombia refused to allow the U.S. to build there; Panamanians rebelled against Colombia and declared their independence. A dozen U.S. warships were present as Panama declared their independence. U.S. negotiated a treaty to control a 10 mile wide canal zone. Hay-Pauncefote Treaty 1901 Britain gave the U.S. exclusive rights to build and control a canal through Central America Panama Canal 1904 workers began clearing the brush and draining the swamps 1913 the height of construction: 43,000 workers were employed (3/4 were blacks from the British West indies) 5,600 died from accidents or disease August 15, 1914 the canal opened Over 1,000 merchants ships passed by during the first year 1921 Congress paid Colombia $25 million for compensation for losing Panama Roosevelt Corollary Cause: Many Latin American countries had to borrow money from European banks to build railroads and develop their industries. TR feared if these countries defaulted on their loans, European nations may intervene. Effect: Roosevelt Corollary to the Monroe Doctrine European powers must not intervene in Latin America U.S. will exercise an international police power if necessary in the Western Hemisphere Speak softly and carry a big stick; you will go far. T. Roosevelt Dollar Diplomacy Under Taft, American investments in the Caribbean increased dramatically and the State Department helped arrange for American bankers to establish financial control over Haiti and Honduras. This increased American power and influence in the Caribbean and tied underdeveloped countries to the U.S. economically. invasion and occupation of Haiti, /1920: violent but little known in US : extensive press coverage in the US : relatively quiet again (except The Nation and African-American press) 1930: decision to withdraw --> "Haitianization" 1934: Marines leave Missionary Diplomacy The U.S. had a moral responsibility to deny recognition to any Latin American government it viewed as oppressive, undemocratic, or hostile to U.S. interests Foreign Policy Goals Achieved 1.Expanded access to foreign markets to ensure the growth of the domestic economy 2.U.S. built a modern Navy to protect interests abroad 3.U.S. exercised international police power to ensure American dominance in Latin America Mexican Revolution 1910 Mexican peasants and workers revolted against President Diaz Francisco Madero became President, but couldnt solve demands made by landowners, peasants, factory workers, and urban middle class New President, General Huerta took over and executed Madero Wilson refused to recognize the new government Huertas regime soon collapsed 1915 Venustiano Carranza became President, Wilson formally recognized the new government Francisco Pancho Villa Anti Carranza revolutionary who was angered when Wilson recognized the new Mexican government. Villa captured American miners and shot them and then went into Columbus New Mexico and killed 17 Americans. Carranza reluctantly agreed to let Wilson send in American troops to Mexico to capture Villa. In 1916 U.S. and Mexican troops clashed and fought, Carranza ordered the troops to leave Mexico, Wilson refused; but did remove them in 1917.