USA HISTORY

Detailed explanation-1: -In 1912, President William Howard Taft claimed that his administration ‘sought to respond to modern ideas of commercial intercourse’ and that such ‘policy has been characterized as substituting dollars for bullets’.

Detailed explanation-2: -In his message to Congress on December 3, 1912, in the course of a review of his foreign policy actions of the preceding year, Taft characterized his program as “substituting dollars for bullets.”

Detailed explanation-3: -From 1909 to 1913, President William Howard Taft and Secretary of State Philander C. Knox followed a foreign policy characterized as “dollar diplomacy.”

Detailed explanation-4: -The effect of President Taft’s use of the dollar diplomacy in Nicaragua was the following; It angered the people in Latin America. The Dollar Diplomacy was the foreign policy by President Tuft which had the aim to involve in Latin America and East Asia. Though this policy they gave loans and gained an upper hand.

Detailed explanation-5: -From 1909 to 1913, President William Howard Taft and Secretary of State Philander C. Knox followed a foreign policy characterized as “dollar diplomacy". It was a policy whereby American influence would be exerted primarily by American banks and financial interests, supported in part by diplomats.