The paper studies the economic policies of the United States towards Latin America shifting from the Dollar Diplomacy to the Good Neighbor Policy in the 1930's. The paper discusses Dollar Diplomacy, tracing its origins to an earlier period than conventionally accepted. It was concluded that the policy, in South America, was unable to create a reliable and long-lasting security and economic zone: it was threatened by difficulties originating in the Great Depression, the German thrust and Latin American nationalism in the 1930's. Afterwards, the paper approaches the Good Neighbor Policy, arguing that the idea that it focused on military issues instead of economic ones should be rejected. Although national security gained importance before World War II, economic objectives remained essential, acquiring an even more strategic role due to the necessity of export markets, imports of minerals and other goods, and the political pressure of nationalistic movements against foreign affiliates.
Dollar Diplomacy; Good Neighbor Policy; dependent development; international alliances
