• diplomacy used by a country to promote its

financial or commercial interests abroad

• diplomacy that seeks to strengthen the
power of a country or effect its purposes in
foreign relations by the use of its financial
resources
 DUAL CHARACTER

• it was the use of diplomacy to advance

and protect American business abroad
• it was the use of dollars abroad to
promote the needs of American
diplomacy
 History

• Pres. William Howard Taft Philander C. Knox

• (served 1909–13)
(secretary of state)
• Philander C. Knox (secretary of state)
• “the goal of diplomacy should be to
create stability abroad, and through
this stability promote American
commercial interests”
• to use private capital to further U.S.
interests overseas
• “policy aimed at furthering the
interests of the United States abroad by
encouraging the investment of U.S.
capital in foreign countries“
• to encourage and protect trade within
Latin America and Asia.
• Dollar diplomacy
• President Theodore Roosevelt
• was a form against American
foreign policy to further its aims in
Latin America and East Asia
through use of its economic power
by guaranteeing loans made to
foreign countries.
• used America’s growing economic
power as a diplomatic tool
• DOLLAR DIPLOMACY
• to protest American capitalism of American
businessmen, to help American business grow
• Latin Americans
• "dollar diplomacy"
• disparagingly to show their disapproval of the role that
the U.S. government and U.S. corporations have played
in using economic, diplomatic and military power to
open up foreign markets
• Dollar diplomacy
• to preempt foreign powers from
gaining or enlarging an
investment foothold in key
markets.
MONROE DOCTRINE
• 1823
• Big Stick Diplomacy
• “Speak Softly and Carry a
Big Stick, and you will go far.”
• Roosevelt Corollary
MONROE DOCTRINE
• United States intervention in
Latin American business.
• international police power
• By instituting dollar diplomacy, it
would be pernicious to the
financial gain of other countries
• " This policy has been
characterized as substituting
dollars for bullets.
• To protect the panama canal
• Latin American Countries
(Nicaragua, Honduras, Cuba, and
Dominican Republic)
• Manchurian region of China
Manchurian region of china
• 1909- Knox offered the Japanese and
Russians a deal
• American bankers and industrialists
would purchase the Manchurian
railroads from Japan and Russia and
return them to Chinese control
FUN FACTS