Robert Kennedy's United States History Class
Learning Objective I
Describe the “Open Door Policy” and its significance to understanding the development of the American Empire
Americans had always sought to expand the size of their nation, and throughout the 19th century they extended their control toward the Pacific Ocean. However, by the 1880s, many American leaders had become convinced that the United States should join the imperialist powers of Europe and establish colonies overseas. Imperialism—the policy in which stronger nations extend their economic, political, or military control over weaker territories—was already a trend around the world.
McKinley and Roosevelt China
When Theodore Roosevelt took over the presidency in September 1901, after the assassination of William McKinley, he inherited many of McKinley’s policies and programs. During McKinley’s second run for office, he promised to continue programs of prosperity intended to lift the U.S. out of the depression of 1893.
An important issue during McKinley’s presidency was U.S. involvement in China. In a war that started in 1894 and ended in 1895, Japan defeated China, and for the next several years China was in disarray. In the aftermath of the war, Japan and major European powers moved in to take control of China’s substantial resources. Many U.S. leaders feared that if America did not join in, we would miss out on a huge economic opportunity. McKinley’s Secretary of State, John Hay, sent a note to the countries with an economic stake in China requesting an “Open-Door Policy” that respected Chinese rights and promoted fair competition among those interested in Chinese resources. Britain, Germany, France, and Japan agreed to the policy, assuming that all of the other key countries would commit. Russia declined to commit to the plan, which caused dissension among the other countries and made the “Open-Door Policy” weak and relatively ineffective. Still, the “Open Door” continued to be the primary approach that the U.S. took toward China.
By 1900, a group of Chinese patriots known as Boxers, rebelled against what they viewed as European exploitation. They killed 200 foreigners with the battle cry “kill foreign devils.” A multinational task force of 18,000 troops, including American soldiers, was quickly assembled to quell the rebellion. The Boxer group was disorganized and easily suppressed by the superior allied forces. The leaders of this multinational force assessed cash-poor China an indemnity of $300 million payable immediately. America realized that this reparation was excessive and would only punish and further repress the Chinese. As an act of friendship, the U.S. remitted $18 million to the Chinese, who as a sign of appreciation, sent students to the U.S. to study. These students later returned to China and were key players in the move to “westernize” China and help improve
Learning Objective III:
Describe how the United States acquired Alaska and Hawaii:
The United States Acquires Alaska
An early supporter of American expansion was William Seward, Secretary of State under presidents Abraham Lincoln and Andrew Johnson. In 1867, Seward arranged for the U.S. to buy Alaska from the Russians for $7.2 million. Seward had some trouble persuading the House of Representatives to approve funding for the purchase. Some people thought it was silly to buy what they called “Seward’s Icebox” or “Seward’s folly.” Time showed how wrong they were. In 1959, Alaska became a state. For about two cents an acre, the United States had acquired a land rich in timber, minerals, and, as it turned out, oil.
The United States Takes Hawaii
In 1867, the same year in which Alaska was purchased, the United States took over the Midway Islands, which lie in the Pacific Ocean about 1300 miles north of Hawaii. No one lived on the islands, so the event did not attract much attention. Hawaii was another question. The Hawaiian Islands had been economically important to the United States for nearly a century. Since the 1790s, American merchants had stopped there on their way to China and East India. In the 1820s, Yankee missionaries founded Christian schools and churches on the islands. Their children and grandchildren became sugar planters who sold most of their crop to the United States.
THE CRY FOR ANNEXATION
In the mid-19th century, American-owned sugar plantations accounted for about three-quarters of the islands’ wealth. Plantation owners imported thousands of laborers from Japan, Portugal, and China. By 1900, foreigners and immigrant laborers outnumbered native Hawaiians about three to one. White planters profited from close ties with the United States. In 1875, the United States agreed to import Hawaiian sugar duty-free. Over the next 15 years, Hawaiian sugar production increased nine times. Then the McKinley Tariff of 1890 provoked a crisis by eliminating the duty-free status of Hawaiian sugar. As a result, Hawaiian sugar growers faced competition in the American market. American planters in Hawaii called for the United States to annex the islands so they wouldn’t have to pay the duty. U.S. military and economic leaders already understood the value of the islands. In 1887, they pressured Hawaii to allow the United States to build a naval base at Pearl Harbor, the kingdom’s best port. The base became a refueling station for American ships.
THE END OF A MONARCHY
Also in that year, Hawaii’s King Kalakaua had been strong-armed by white business leaders. They forced him to amend Hawaii’s constitution, effectively limiting voting rights to only wealthy landowners. But when Kalakaua died in 1891, his sister Queen Liliuokalani came to power with a “Hawaii for Hawaiians” agenda. She proposed removing the propertyowning qualifications for voting.
To prevent this from happening, business groups—encouraged by Ambassador John L. Stevens—organized a revolution. With the help of marines, they overthrew the queen and set up a government headed by Sanford B. Dole. President Cleveland directed that the queen be restored to her throne. When Dole refused to surrender power, Cleveland formally recognized the Republic of Hawaii. But he refused to consider annexation unless a majority of Hawaiians favored it. In 1897, William McKinley, who favored annexation, succeeded Cleveland as president. On August 12, 1898, Congress proclaimed Hawaii an American territory, although Hawaiians had never had the chance to vote. In 1959, Hawaii became the 50th state of the United States
Lili'uokalani -- Hawaii's Last Queen
Learning Objective IV
Discuss the development of international Social Darwinism and the background leading up to the Spanish American War AND Discuss the factors that influenced the US’ decision to enter the war.
American relations with foreign nations were few and far between in the generation after the Civil War. Americans during this period were busy with their internal affairs--repairing the devastations of the Civil War, settling the frontier, constructing their transportation and industrial systems and enjoying the game of politics.
The change in American attitude and the desire for a "LARGER FRONTIER" came in the l 890's with the passing of the continental frontier and the coming of age of the American industrial system.
In 1865 the foreign trade of the United States had been $404 million; by 1890 it had reached $1635 million or a 400 percent increase in 25 years. Consequently, the American people and businessmen looked for a new frontier with new markets and more resources. The emergence of the United States as a world power was not an unusual phenomenon. The closing years of the 19th century witnessed the development of "internal Social Darwinism" with an international struggle for new markets and for sources of raw materials.
Great Britain was once again fired up with enthusiasm for expansion. Germany, having proved herself the strongest continental power, demanded her share of the colonial pickings. (It is said that one of the causes of World War I was the attempt by the United States and European powers to stunt Germany's growth.) France found compensation for her defeat by Germany m consolidating her African empire. In the United States the question was how to channel the immense energy and the aggressive frontier values (the big six) that had built up after the Civil War? Would this aggressive competitive economic activity be turned inward to improve existing living conditions and the quality of life in this country, or would it be turned outward to compete in the NEW international FRONTIER for greater profit and economic satisfaction?
The rationalization for American expansion: In the l 890's the spirit of manifest destiny, long dormant in America, was once again activated. The phrase that had once served as a rationalization for the conquest of Texas and California was now to serve as a rationalization for a "larger policy" in the Caribbean , the Pacific, and the Far East. By the l 890's, advocates of such a policy asserted that now that the continent had been conquered, it was the destiny of the United States to become a world power.
While the United States was acquiring her new territories, Britain, France, and Germany were busy carving up Africa; and Russia and Japan joined them in scrambling for special concessions in China.
By snapping up most of Africa and systematically destroying the independence of the crumbling empire of China, the French, British, Germans, and the other colonizers inspired some patriots in the United States to advocate joining the feast before all the choice lands had been swallowed.
The Washington Post stated on the eve of the Spanish American War:
"A new consciousness seems to have come upon us... the consciousness of strength ... and with it a new appetite, the yearning to show our strength... ambition, interest, land hunger, pride, the mere joy of fighting, whatever it may be, we are animated by a new sensation. We are face to face with a strange destiny. The taste of Empire is in the mouth of the people even as the taste of blood in the jungle. It means an Imperial policy, the Republic taking her place with the armed nations ."
From the days of John Adams, Cuba had been an object of particular interest of the United States and regarded as properly within the American sphere of influence . As long as Spain owned the island, most Americans were inclined to let matters rest, but the possibility of ultimate acquisition was never out of the minds of American statesmen.
When the Cuban revolution against Spain broke out in 1895, the United States carefully avoided any commitment to the cause of the rebels, but finally in 1898 entered the war on their side. There were four basic factors which influenced the United State's decision to enter the war. Manifest destiny: Americans of the 1890's had come to share with the British, Germans, and French a special sense of manifest destiny and a willingness to take up "the white man's burden."
The "white man's burden" is the idea that the United States has the responsibility to lead inferior races, and it would be inhumane to turn its back on people who are less civilized . Although the idea of the "white man's burden" is racist, it also demonstrates a genuine humanitarian concern the American people had for the Cubans.
Newspaper editors found that circulation responded to stories of atrocity, and it became immensely profitable to exploit them . The New York World (Joseph Pulitzer) and the New York Journal (Randolph Hearst), then engaged in a struggle for circulation, were the worst offenders in the business, feeding the popular taste for sensation: but they were by no means alone. Hearst efforts paid off for him in newspaper sales from 77,000 copies a day to 1.5 million daily at the war's height.
For 3 years, from 1895 to 1898, this campaign of propaganda went on until at last the American people were brought to the point where they demanded intervention on behalf of humanity.
During his presidency Cleveland remained neutral as he preferred Spanish rule to the kind of turmoil that might invite foreign intervention. Opposed to the annexation of Cuba, he issued a proclamation of neutrality and tried to restrain public opinion. Taking office in March 1897, McKinley also urged neutrality but tilted more toward the insurgents. But the sinking of the battleship Maine and the de Lome letter helped move McKinley into the anti-Madrid camp and the United States finally declared war on Spain on April 25, 1898.
Cubans Rebel Against Spain
By the end of the 19th century, Spain—once the most powerful colonial nation on earth—had lost most of its colonies. It retained only the Philippines and the island of Guam in the Pacific, a few outposts in Africa, and the Caribbean islands of Cuba and Puerto Rico in the Americas.
AMERICAN INTEREST IN CUBA
The United States had long held an interest in Cuba, which lies only 90 miles south of Florida. In 1854, diplomats recommended to President Franklin Pierce that the United States buy Cuba from Spain. The Spanish responded by saying that they would rather see Cuba sunk in the ocean.
But American interest in Cuba continued. When the Cubans rebelled against Spain between 1868 and 1878, American sympathies went out to the Cuban people. The Cuban revolt against Spain was not successful, but in 1886 the Cuban people did force Spain to abolish slavery. After the emancipation of Cuba’s slaves, American capitalists began investing millions of dollars in large sugar cane plantations on the island.
THE SECOND WAR FOR INDEPENDENCE
Anti-Spanish sentiment in Cuba soon erupted into a second war for independence. José Martí, a Cuban poet and journalist in exile in New York, launched a revolution in 1895. Martí organized Cuban resistance against Spain, using an active guerrilla campaign and deliberately destroying property, especially American-owned sugar mills and plantations. Martí counted on provoking U.S. intervention to help the rebels achieve Cuba Libre!—a free Cuba. Public opinion in the United States was split. Many business people wanted the government to support Spain in order to protect their investments. Other Americans, however, were enthusiastic about the rebel cause. The cry “Cuba Libre!” was, after all, similar in sentiment to Patrick Henry’s “Give me liberty or give me death!”
The economic stake: The Spanish American War is going to lead to a "larger policy" in the world economic environment. The idea was first popularly put forth by Admiral Alfred T. Mahan in his book The Influence of Sea Power upon History in 1890.
Mahan proposed an export and investment empire based on naval power. His tactics centered upon building a Panama Canal, acquiring protective bases around it, and then colonial stepping stones across the Pacific to Asia. This would ensure American trade and influence in Latin America and the Orient.
Among American businessmen this imperialist attitude was slow at developing at first. This is because the economy was finally coming out of the depression of 1893 and they feared any disturbance such as the Spanish-erican War might destroy the recovery.
However, once the war started the opportunities that Admiral Mahan outlined gained a great deal of support as politicians, businessmen, and scholars echoed the ideas and the United States was quickly set on an imperial course.
The United States had developed a new set of world interests which made it seem necessary for Americans to control the entire Caribbean area.
American interests in the Pacific and the Far East enhanced the importance of an isthmi,an canal, and the prospect of having to defend such a canal made the islands that guarded the route strategically important.
The War built a. mood of national confidence, altered more insular patterns of thought, and reshaped the way Americans saw themselves and the world. By the time Spain sued for peace in August, 1898, the outlines of an American empire existed:
a protectorate over Cuba, with claims to Puerto Rico, Guam, and the Philippines . Hawaii and the port of Pearl Harbor now belonged to the United States. The question that remained was, Should the United States annex the Philippines?
To hold the Philippines meant fighting Filipino nationalists. Here was a problem that required re-thinking the whole history of American foreign relations. To take the islands meant embarking on colonialism. It meant holding and keeping whole territories and peoples in subordination to the United States.
McKinley weighed these factors carefully . He agreed that a naval station at Manila was highly desirable, but doubted it could be defended without holding all of the Philippines. If the United States moved out, on the other hand, European powers .such as Germany were ready to move in.
McKinley finally concluded to fulfill manifest destiny and take the Philippines. He decided it was America's duty to "Christianize" the islands. The president forwarded his demands to the peace conference in Paris and Spain ceded the islands to the United States for $20 million. Before peace negotiations began, four out of five American commissioners had already committed themselves to a "large policy" of imperialism and expansion.
To the American demand for the independence of Cuba and the cession of Puerto Rico and Guam the Spanish had no objections and even assumed the Cuban debt of $400 million.
The beginning of the twentieth century was a period of unprecedented American prosperity and power. The economic and social environment was perfect for the rise of the International Darwinism movement. Followers of this movement applied some of the fundamental views of Darwin’s Origin of Species (1859) to international politics. They believed that the earth belonged to the strong, and with America quickly growing in strength, there was a strong surge of support for increased U.S. imperialism.
The International Darwinism movement was enthusiastically promoted by Josiah Strong’s book, Our Country: It’s Possible Future and Its Present Crisis (1885). The book asserted that natural law dictates that strong countries will dominate weaker countries and that the Anglo-Saxon race is superior to other races. Inspired by Strong’s book, many American imperialists began calling for the spread of American religion, culture, and values to what they considered “backwards” third-world countries.
Another concern for many American business people, politicians, and religious leaders was that the U.S. would not be able to keep pace with European powers. During the 1880s and 1890s, many European nations had flexed their imperial muscles throughout much of Africa, the Pacific, and China. Imperialists feared that the U.S. would be frozen out of these regions and would not be able to spread its influence or reap the financial benefits. Many people began to strongly encourage the federal government to spread American influence, and the government was more than happy to comply.
In 1895, Cuban citizens revolted against their Spanish occupiers because of widespread poverty and oppression and what they perceived as Spanish tyranny. Some of the poverty was due to high U.S. duties that were placed on Cuban sugar. In a reactionary move to the revolt, Spanish General “Butcher” Weyler herded thousands of Cuban civilians into “reconcentration” camps. These camps were filthy and many of the residents died of diseases that flourished in these overcrowded and unsanitary camps. The sentiment of the American people was strongly against Spanish barbarism and there was a call of support for the Cuban people.
Newspaper tycoons William Randolph Hearst and Joseph Pulitzer played a major role in shaping the attitudes and opinions of Americans during this era. These two men owned many major newspapers across the country, and they were engaged in a fierce rivalry. In an attempt to outdo one another, they routinely created sensational headlines designed to “scoop” the competition. Unfortunately, these “yellow journalism” headlines were often enhanced or sometimes entirely made up in order to maximize their sensationalism. On February 9, 1898, Hearst greatly stoked the fire of anti-Spanish sentiment when he published a private letter written by Spanish diplomat Dupuy de Lome that was very critical of President McKinley. De Lome was forced to resign, but the public was angered and outraged by the sensational stories and began to call for armed intervention in Cuba.
President McKinley ordered the battleship USS Maine stationed in Havana Harbor ostensibly to monitor the situation and keep the peace. Then, on February 15, 1898, the Maine suddenly exploded in the harbor killing all 260 officers and crewmembers aboard. Immediately, both Spanish and American officials began investigating the cause of the explosion. The Spanish investigation concluded that the explosion was the result of an internal malfunction, and they ruled it an accident. However, after a hurried investigation, the American investigators reported that a Spanish mine caused the explosion. Spain attempted to pacify the U.S. and avoid armed confrontation with an offer of arbitration. However, fueled by the ever-present “yellow press,” the U.S. was enraged and ready to go to war, with the American public proclaiming, “Remember the Maine, to Hell with Spain.” Years later in 1976, a thorough investigation was conducted and it showed that the Spanish theory was correct and the explosion was accidental.
On April 11, 1898, Congress declared war on Spain. They also ratified the Teller Amendment, which pledged to give Cubans their freedom after the Spanish were defeated. Many Europeans and Americans were skeptical of this anti-imperialistic pledge. Assistant Secretary of the Navy Theodore Roosevelt, acting in the absence of the Secretary, ordered Commodore George Dewey to attack the Spanish-controlled Philippines at Manila Harbor. The U.S. also annexed Hawaii to use as a naval base in the Pacific on July 7, 1898. Although American confidence was very high, on paper the Spanish possessed a superior army and a navy of equal status. However, their navy was run-down and far from its home base.
The U.S. Navy easily destroyed the aging Spanish fleet in Manila. In the battle, over 400 Spanish sailors were killed or wounded, while the U.S. suffered no casualties. Having crushed the Spanish Navy, Dewey had no choice but to wait for ground support as his sailors were incapable of ground combat. Finally, soldiers arrived to lead the attack on the capital. The soldiers recruited rebel leader Emilio Aguinaldo, and on August 13, 1898, soldiers collaborating with Filipino rebels quickly captured Manila.
The U.S. Navy had similar success in Cuba. They engaged the Spanish Navy and easily defeated it. The U.S. suffered only one casualty compared to over 500 Spanish casualties. Meanwhile, the U.S. Army, including Roosevelt’s famed “Rough Riders”, routed the Spanish but suffered significant fatalities. There were many other battles and skirmishes, but the U.S. Army’s most significant enemy was their lack of logistical preparedness, not the Spanish. For example, they were wearing wool uniforms in the intense heat, and were very susceptible to tropical illnesses. In addition, the lack of medical knowledge concerning the causes and treatments of tropical diseases such as malaria cost many American lives. During the course of the war, 400 U.S. soldiers were killed by Spanish hostilities, while over 5,000 were killed by disease. Despite these American shortcomings, the Spanish military was greatly overmatched, and they surrendered on August 12, 1898.
Later in 1898, the Pact of Paris was signed, which freed Cuba from Spanish rule and gave the U.S. control over Guam and Puerto Rico. Cuban freedom was conditional, as they were pressured to sign the Platt Amendment, which prohibited Cuba from contracting debts and allowed the U.S. to intervene militarily at its discretion. The U.S. agreed to pay $20 million for the Philippines, since it was captured the day after the armistice was signed and therefore was not considered a spoil of war. The U.S. acquisition of the Philippines, the first American venture into true imperialism, sparked a great deal of domestic debate.
In America, the Spanish-American War prompted a fast growing anti-imperialist movement, with members such as prominent authors, philosophers, and academics, including Mark Twain, Jane Addams, and Andrew Carnegie. The Filipino people longed for freedom after years of Spanish rule. In the Downes v. Bidwell case of 1901, the U.S. Supreme Court ruled that products imported from U.S. territories are subject to duties and the “Constitution does not follow the flag.” These and other rulings were referred to as “insular cases” and denied re
Learning Objective III
Discuss the contradictory feeling and actions in the United States in regards to the acquisitions of the Philippians and the main results of the Spanish American War
Read Arguments for US IMPERIALISM AND AGAINST (Use this here to offer examples of the "contradictory feeling and actions...")
Although the war was imperialistic in result, it was not so in motive for many of its supporters. Yellow journalism had created a sense of awareness and humanitarian concern for the Cuban people.
This was apparent in the Joint Resolution of April 19, 1898, authorizing the use of American armed forces to liberate Cuba.
At this time the famous self-denying Teller Amendment by Senator·Henry M Teller declared:
"The United States hereby disclaims any disposition.or intention to exercise sovereignty, jurisdiction or control over the said island... and will leave the government and control of the Island to its people." The final component for war. a just and idealistic cause. is now firmly in place.
In The Conflict With Spain. published in 1898 the quick change in attitude by American politicians and businessmen becomes apparent.
"Indeed, the war had not been a week old, when the official expression was common, that the end of the war must see Puerto Rico part of the territory of the Union! Yet in the declaration of war, uttered by Congress, it was expressly stipulated, that unlike greedy and egotistic European powers, we were embarking on war, for the high motive of human rescue; that no ulterior craving for gain incited us to that last barbarous resource, the killing of our fellow man."
Learning Objective IV
What was the Panama Canal and the Roosevelt Corollary and its significance to the American Empire
An important discovery that resulted from the Spanish-American War was America’s need to connect the Atlantic and Pacific Oceans. During the war, ships in the Pacific had to travel around South America in order to join the fleet in Cuba. The U.S. now had to protect and supply its far ranging territories in Guam, Puerto Rico, Hawaii, and the Philippines. The U.S. was also beginning to emerge as a world economic power and needed quicker shipping routes to meet its international business needs. Another significant reason for a quick route between the Atlantic and the Pacific was that the U.S. Navy was fast becoming an important, global military player. President Roosevelt began to swing his “big stick” in order to achieve his dream of building a canal in Central America.
Initially, proponents of the canal considered two sites: Nicaragua and Panama. However, experts quickly concluded that Panama would be a more advantageous and realistic site. Despite Roosevelt’s intentions, there were still several legal challenges to overcome before he could build the canal. The Clayton-Bulwer Treaty of 1850 between the U.S and Britain asserted that the U.S. could not have sole control over an isthmian canal in the Americas. However, the British were engaged in the South African Boer War and were feeling increasingly threatened by their European neighbors, so they were willing to repeal the treaty. In 1901, the British and the Americans signed the Hay-Pauncefote Treaty that allowed the U.S. to build and fortify a canal. England had little to lose by signing the treaty, and in exchange hoped to secure the U.S. as an ally in a conflict with Germany that was beginning to look inevitable.
In addition to legal challenges, there were other significant obstacles to building a canal. Panama was eager to secure the canal project in the hope that it would revive their lagging economy. However, Panama was controlled by Colombia, and the Colombian Senate rejected a treaty that would have allowed the U.S. to lease a six-mile zone in Panama. The offer called for an initial payment of $10 million and an annual disbursement of $250,000, which the Colombians viewed as inadequate. Roosevelt was enraged by Colombia’s refusal to cooperate and he was determined to secure the canal area one way or another. A Panamanian uprising against Colombian rule began on November 3, 1903. This coup was backed by Panamanians who sought the prosperity the canal offered as well as representatives of the company that hoped to sell the land to the U.S. for $40 million. The U.S. did not actively encourage this rebellion, although they viewed it as a fortunate development.
Colombian soldiers were poised to crush the rebellion, but U.S. naval vessels would not allow them to cross the isthmus and engage the revolutionaries. Using questionable legal precedent, President Roosevelt quickly recognized Panama’s independence three days later. This was a bitter victory for the U.S., as it secured the necessary land for the canal, but hurt foreign perception of America as well as American relations in Latin America. Latin Americans were already concerned about American control in Puerto Rico and Cuba, and now they began to fear their neighbor to the north.
After years of dubious politics and relationships, construction began on the Panama Canal in 1904. Many obstacles were encountered, including landslides, pestilence, and labor problems. However, a team of engineers persisted, and finally in 1914 the Panama Canal was opened and heralded as the greatest technological achievement of its time. The total costs to complete the job were staggering. In addition to $400 million in financial costs, the loss of good will toward America was incalculable. The English author James Bryce referred to the project as “the greatest liberty Man has ever taken with Nature.”
Around the turn of the twentieth century, Latin American nations began defaulting on massive loans from European powers such as Germany and England. Many of these “Banana Republics,” including Venezuela and the Dominican Republic, had borrowed heavily and had no way or intention of repaying their debts. This issue came to the forefront in 1903, when German warships sank two Venezuelan vessels and bombarded a Venezuelan town. Their intention was to intimidate Venezuela into paying its debts, but they inadvertently threatened Roosevelt and America’s sense of security as well.
Roosevelt was intent on keeping European nations out of the Americas. He feared that if he allowed Germany and England into the Hemisphere to collect debts, they might decide to set up permanent bases, which would have been a violation of the Monroe Doctrine of 1823. Also, the U.S. did not want the European powers to “extort” Latin American countries, thereby bankrupting them. In order to prevent their presence, Roosevelt devised the Roosevelt Corollary to the Monroe Doctrine, which instituted a policy of “preventive intervention.”
In this clever maneuver, Roosevelt stated that the U.S. would now function as “the policeman of the Caribbean.” Under this arrangement, the U.S. took over the management of tariff collections in 1905. This meant that whenever a Latin American nation was overdue on a debt to a European power, the U.S. would intervene. America would pay off the foreign debt, and then take responsibility for collection, thereby guaranteeing the European loan. The Europeans quickly agreed to this arrangement, as it ensured the prompt payment of the debt, but they were skeptical of America’s motivation. Many people in America, Europe, and Latin America viewed this as yet another imperial move by the United States. Anti-imperialists believed that America was removing the traditional imperialists who were taking advantage of the Banana Republics, for no other reason than to take their place.
The U.S. experienced a number of advantages by assuming control of these customshouses. Corruption and embezzlement were rampant in many of these Latin American countries. The U.S. ran the customshouses fairly and equitably and helped ensure that corruption was minimized. In the short run, several of these Latin American countries began managing their money more efficiently and achieving financial security for the first time. Countries such as the Dominican Republic and Venezuela were able to manage their resources more effectively and were beginning to emerge as viable trading partners. However, over time as the U.S. began to return control to local governments, many returned to their corrupt and inefficient ways, which ended this short era of relative prosperity.
Despite the success of the Roosevelt Corollary, there were also several drawbacks. Essentially this was a perversion of the Monroe Doctrine, which was considered a sacred document in American politics. It also set another negative precedent for U.S. involvement in Latin America. This new policy was used for years as justification for military and political intervention throughout the region. For many decades, the U.S. performed military landings in Central America and stationed Marines in Nicaragua and other countries in semi-permanent bases. Also, Roosevelt’s “cowboy diplomacy” strained relations not only with Latin American nations, but with the rest of the world as well. The Roosevelt Corollary helped give notice that the U.S. was emerging as a significant world power that could not be ignored.