History of South America

What statement is true about the U.S Dollar Diplomacy?

Statement: U.S. Dollar Diplomacy was a foreign policy strategy employed by the United States in the early 20th century.

Explanation: Dollar Diplomacy refers to the use of economic power, particularly financial incentives and investments, as a primary means of achieving foreign policy objectives. The United States utilized Dollar Diplomacy to expand its economic and political influence in Latin America, Asia, and Europe during the late 19th and early 20th centuries. Key figures associated with Dollar Diplomacy include U.S. Presidents William Howard Taft and Woodrow Wilson, as well as Secretary of State Philander C. Knox. Dollar Diplomacy aimed to foster stable and cooperative relations with other nations through economic engagement, trade agreements, and financial support.