Informal Empire in the Caribbean. PS 142A.4 and.5
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1 Informal Empire in the Caribbean PS 142A.4 and.5
2 Informal Empire and the LIO n Nothing inherently liberal about U.S. rule in the Caribbean basin. n Created an exclusive sphere of influence n Promoted reciprocity but not free trade n Supported some of the most ruthless dictators in history
3 Summary: Why Informal Empire? n First tentative steps to informal empire in 1880s; established in Spanish-American War in n Pervasive indirect rule in region. n Extensive use of force necessary. n Required by highly specific nature of assets acquired. n Illegitimate rule n Resistance to US domination n Anti-Americanism
4 Reconstruction and Expansion n Several Caribbean islands request annexation by the U.S. n Example: Dominican Republic in 1854 and 1870 n Rebuffed by the U.S. n U.S. opposed for reasons of race
5 On annexing Mexico n We have never dreamt of incorporating into our Union any but the Caucasion (sic) race the free white race. To incorporate Mexico, would be the very first instance of the kind, of incorporating an Indian race. I protest against such a union as that! Ours, sir, is the Government of a white race. n (On the treaty of Guadalupe Hidalgo), the Louisville Democrat: We have by this treaty, not the best boundary, but all of the territory we can get without taking the people. Senator John C. Calhoun champion of state s rights and slavery
6 On Annexing Cuba n With the negro problem in out Southern States pressing upon us for solution do we desire to aggrevate the situation by adding a million more of the despised race to our voting population? John W. Foster Sect. of State
7 On Annexing Cuba n The people of Cuba, by reason of race and characteristic, cannot be easily assimilated by us Senator Orville Platt, architect of U.S. Cuban Relations after 1898
8 If not annexation, then what? Informal Empire n Platt Amendment (to Cuban constitution) n The government of Cuba consents that the United States may exercise the right to intervene for the preservation of Cuban independence [and] the maintenance of a government adequate for the protection of life, property, and individual liberty. n to enable the United States to maintain the independence of Cuba, and to protect the people thereof, as well as for its own defense, the government of Cuba will sell or lease to the United States lands necessary for coaling or naval stations (including Guantanamo Bay).
9 Roosevelt Corollary Any country whose people conduct themselves well, can count upon our hearty friendship. If a nation shows that it knows how to act with reasonable efficiency and decency in social and political matters, if it keeps order and pays its obligations, it need fear no interference from the United States. Chronic wrong-doing, or an impotence which results in a general loosening of the ties of society, may in America, as elsewhere, ultimately require intervention by some civilized nation, and in the western hemisphere the adherence of the United States to the Monroe Doctrine may force the United States, however, reluctantly, in flagrant cases of such wrong-doing or impotence, to the exercise of an international police power. President Theodore Roosevelt (1904)
10 Informal Empire: The Rules n No territory in the region will be transferred to Europe powers. n No country may ally or establish political realtions with any power other than the U.S. n Territorial disputes in the region are to be settled peacefully under the supervision of the U.S. n Economic transactions are to be undertaken primarily with the U.S. n U.S. investments are not to be subject to expropriation, either outright or by creeping regulation.
11 Informal Empire: The Rules on Finance n U.S. would threaten or intervene directly n Underwrite new loans in New York to repay European creditors n Seize control over the customs houses n Privilege repayment of new loans from U.S. n Appoint a U.S. citizen as financial advisor, often with veto power over government expenditures n Restrict further borrowing without U.S. approval
12 Indirect Rule n Among the most unequal societies on earth n Traditional, landed elite of Spanish descent controlled most wealth n Feared revolution from peasant masses n Pact with the U.S. in which elites agreed to U.S. foreign policies in exchange for a guarantee of their social/economic position n Selected leaders known to be unpopular but who were dependent on U.S. support
13 Indirect Rule: Dominican Republic n Between 1844 and 1916, DR had 19 constitutions and 23 coups. Only 3 of 43 presidents completed a term in office. n Offered to annex itself to the United States in 1854 and again in n President Theodore Roosevelt assumed responsibility for finances in 1904 (Roosevelt Corollary) n Military interventions in 1903 and 1904 (and 1914, )
14 Indirect Rule: Dominican Republic n President assassinated in 1911, US forces appoint of Archbishop who resigns almost immediately. n Continuing instability. n Marines occupy island from 1916 to 1924 n US declares martial law n Revises financial agreement to make US control permanent n Places armed forces under US command n Under US rigged elections, handpicked candidate wins in 1924, but violence renewed.
15 Indirect Rule: Dominican Republic n General Rafael Leonidas Trujillo Molina seizes power in fraudulent elections in n US carefully calibrates support.
16 Indirect Rule: Dominican Republic n Imposes stability through one of the most repressive dictatorships in Latin American history. n Born poor, amassed greater wealth. n Assassinated in 1961 under directive signed by President Kennedy. n US invades again in 1965.
17 Our SOBs We do control the destinies of Central America and we do so for the reason that the national interest absolutely dictates such a course. There is no room for any outside influence other than ours in this region. We could not tolerate such a thing without incurring grave risks.central America has always understood that governments which we recognize and support stay in power while those we do not recognize and support fail. Undersecretary of State Robert Olds (1926)
18 U.S. Uses of Force in the Caribbean
19 U.S. Uses of Force in the Caribbean Country Interventions Costa Rica 1921 Cuba , , 1912, Dominican Republic 1903, 1904, 1914, Guatemala 1920 Haiti Honduras 1903, 1907, 1911, 1912, 1919, 1924, 1925 Mexico 1913, 1914, , Nicaragua 1898, 1899, , , Panama , 1921, 1925
20 Why was Informal Empire Necessary? n Benefits skewed towards the United States. n Caribbean countries traded colonial rule for indirect rule by Washington. n Interests highly dissimilar. n Public wants wealth and land redistribution n US wants open markets and security of investment n Highly specific assets at risk in region. n Panama Canal n Infrastructure n Plantation Agriculture
21 The Panama Canal n Clayton-Bulwer treaty (1850) pledged the US and Great Britain to construct jointly a Central American canal. n In the late 1870s, France began construction across Panama but effort failed in the 1880s.
22 The Panama Canal n Hay-Pauncefote Treaty (1900 and 1901) allowed the US alone to develop canal. n France demanded $100m for rights. US business subverted the French company. n US then negotiated with Colombia, which refused a $40m deal. Roosevelt then supported revolution in Panama, and bought rights to route for $10m and a promise of independence for Panama. n Effective US sovereignty over the canal zone until 1978.
23 The Panama Canal n You have shown that you were accused of seduction and you have conclusively proven that you were guilty of rape. Secretary of State Elihu Root n We should keep the Panama Canal. After all, we stole it fair and square. Senator S.I. Hayakawa (D-CA)(1977)
24 Foreign Direct Investment (percent of all investments) Minerals Infrastructure Planation Agriculture Total
25 Planation Agriculture: The Original Banana Republics n Sam the Banana Man Zemurray, founder of United Fruit Company n Sponsored revolutions in both Nicaragua and Guatemala n U.S. puts in power dictators dependent on U.S. forces
26 Resistance n Possible paths: n Continent wide federation (Bolivarian Dream) n Balance against U.S. with Europe n Balance against U.S. with regional powers (Argentina and Brazil) n International law to impose restraints n Calvo doctrine (1860) n Jurisdiction in investment disputes lies with host country n Drago doctrine (1902) n No foreign power can use force to collect debt
27 Resistance n Latin American countries consistently attempted to promote principle of non-intervention n Sixth International Conference of American States (1928), proposed clause that no state has a right to interfere in the internal affairs of another. n U.S. rejected (Charles Evans Hughes): What are we going to do when government breaks down and American citizens are in danger of their lives? Are we to stand by and see them killed because a government in circumstances which it cannot control and for which it may not be responsible can no longer afford reasonable protection?...now it is a principle of international law that in such a case a government is fully justified in taking action I would call it interposition of a temporary character for the purpose of protection the lives and property of its nationals. n US relents, adopts Good Neighbor Policy, and allows principle of non-intervention at Seventh Conference in 1933.
28 Anti-Americanism n Fallow after the Good Neighbor policy and during World War II n Arises again after U.S.-led coup in Guatemala in 1954 n Cuban Revolution ( ) n Nixon s visit to Latin America n time_continue=5&v=ehr1dbtjrra
29 Three Paths n Revolution and Ostracism: Cuba, Venezuela n Continuing instability: El Salvador, Nicaragua, Guatemala n Integration: Mexico, Dominican Republic
30 Transformation of the Dominican Republic Composition of Exports (in percent) and Regime Type, Dominican Republic, Agriculture and Raw Materials Sugar Manufactures Apparel Polity
31 Waning Anti-Americanism in the Dominican Republic n The influence that the United States has on our country is n Very positive or positive = 81% n In your opinion, is the United States n Very trustworthy or somewhat trustworthy = 80% n It took nearly a century, but U.S. rule in the DR has finally become (relatively/somewhat) legitimate.
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