Negotiating under the Monroe Doctrine: Weetman Pearson and the Origins of U.S. Control of Colombian Oil
Description
Before World War I, most foreign investment in Latin Amer- ica came from Britain. By World War II, however, the United States had become the main and unchallenged foreign inves- tor in the region. This analysis of the negotiations that took place between the British firm (Pearson and Son) and the Co- lombian government over oil contracts reveals the reasons for the shift in influence. The company's lack of awareness that Britain had been overtaken by the United States as the hege- monic power in the hemisphere eventually caused the negoti- ations to collapse. While talks were proceeding, the company failed to consider how much influence the United States had on Colombian internal politics, and it overlooked the history of U.S.-Colombia relations. As a result, Pearson never received oil concessions in Colombia; instead, they were granted to American companies, consolidating U.S. power in the region.