Article: Dollar Diplomacy

Dollar Diplomacy

Eugene P. Trani

In his final message to Congress on 3 December 1912, President William Howard Taft looked back at the foreign policy followed by the United States during his administration and noted: "The diplomacy of the present administration has sought to respond to modern ideas of commercial intercourse. This policy has been characterized as substituting dollars for bullets. It is one that appeals alike to idealistic humanitarian sentiments, to the dictates of sound policy and strategy, and to legitimate commercial aims."

Taft's remarks gave formal definition to the term "dollar diplomacy," a phrase synonymous with the diplomacy his administration pursued ...

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