What was the role of U.S. investment in Central America in the early 20th century?

The role of U.S. investment in Central America in the early 20th century was primarily to protect U.S. interests and promote stability in the region. During this time, the United States sought to expand its influence in Central America through economic means, often investing in infrastructure projects such as railroads, plantations, and mining operations. This investment was strategically aimed at ensuring that American businesses could operate profitably in these countries while also addressing concerns about political instability that could threaten these investments.

By fostering economic development, the U.S. aimed to create a stable environment that would be favorable for the continuation and expansion of American economic interests. This approach often manifested in the support of certain local regimes that were favorable to U.S. business interests, and, in some instances, it entailed military intervention to protect those investments or to stabilize regimes that were deemed necessary for U.S. objectives.

This context of U.S. involvement underscores the idea that while military action was sometimes a part of the U.S. strategy, the primary focus was indeed on ensuring economic and political stability in a way that safeguarded American investments.