Which policy aimed to ensure U.S. financial interests overseas and was known as Dollar Diplomacy?

Dollar Diplomacy was a foreign policy primarily associated with President William Howard Taft in the early 20th century, focusing on the idea of using financial investments and economic influence to achieve U.S. foreign policy goals rather than military intervention. By encouraging private investment in foreign markets, the U.S. aimed to promote stability and economic growth in regions like Latin America and East Asia, which in turn would benefit American businesses and help to secure U.S. interests abroad.

This approach sought to create alliances through economic means, fostering a dependency on American financial support, and thereby reducing the likelihood of conflict while expanding U.S. influence globally. The emphasis on economic engagement rather than military force distinguishes Dollar Diplomacy and underscores its primary objective of enhancing U.S. financial involvement in other countries.