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ned to vote, on the ground that the moral and material support thus furnished by the great nation to the northward rendered it futile for them to assume political responsibilities. Meanwhile negotiations began which were ultimately to make Nicaragua a fiscal protectorate of the United States. American officials were chosen to act as financial advisers and collectors of customs, and favorable arrangements were concluded with American bankers regarding the monetary situation; but it was not until 1916 that a treaty covering this situation was ratified. According to its provisions, in return for a stipulated sum to be expended under American direction, Nicaragua was to grant to the United States the exclusive privilege of constructing a canal through the territory of the republic and to lease to it the Corn Islands and a part of Fonseca Bay, on the Pacific coast, for use as naval stations. The prospect of American intervention alarmed the neighboring republics. Asserting that the treaty infringed upon their respective boundaries, Costa Rica, and Salvador brought suit against Nicaragua before the Central American Court. With the exception of the Nicaraguan representative, the judges upheld the contention of the plaintiffs that the defendant had no right to make any such concessions without previous consultation with Costa Rica, Salvador, and Honduras, since all three alike were affected by them. The Court observed, however, that it could not declare the treaty void because the United States, one of the parties concerned, was not subject to its jurisdiction. Nicaragua declined to accept the decision; and the United States, the country responsible for the existence of the Court and presumably interested in helping to enforce its judgment, allowed it to go out of existence in 1918 on the expiration of its ten-year term. The economic situation of Costa Rica brought about a state of affairs wholly unusual in Central American politics. The President, Alfredo Gonzalez, wished to reform the system of taxation so that a fairer share of the public burdens should fall on the great landholders who, like most of their brethren in the Hispanic countries, were practically exempt. This project, coupled with the fact that certain American citizens seeking an oil concession had undermined the power of the President by wholesale bribery, induced the Minister of War, in 1917, to start a revolt against him. Rather than shed the blood of his f
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