rn
country and its southern fellows, suggestions of the sort could be made
practicable only by letting the United States do whatever it might
think needful to accomplish the objects which it sought. Obviously the
Hispanic nations, singly or collectively, would hardly venture to take
any such action within the borders of the United States itself, if, for
example, it failed to maintain what, in their opinion, was "a republican
form of government." A full acceptance of the plan accordingly would
have amounted to a recognition of American overlordship, and this they
were naturally not disposed to admit.

The common perils and duties confronting the Americas as a result of
the Great War, however, made close cooperation between the Hispanic
republics and the United States up to a certain point indispensable.
Toward that transatlantic struggle the attitude of all the nations of
the New World at the outset was substantially the same. Though strongly
sympathetic on the whole with the "Allies" and notably with France, the
southern countries nevertheless declared their neutrality. More than
that, they tried to convert neutrality into a Pan-American policy,
instead of regarding it as an official attitude to be adopted by the
republics separately. Thus when the conflict overseas began to injure
the rights of neutrals, Argentina and other nations urged that the
countries of the New World jointly agree to declare that direct maritime
commerce between American lands should be considered as "inter-American
coastwise trade," and that the merchant ships engaged in it, whatever
the flag under which they sailed, should be looked upon as neutral.
Though the South American countries failed to enlist the support of
their northern neighbor in this bold departure from international
precedent, they found some compensation for their disappointment in the
closer commercial and financial relations which they established with
the United States.

Because of the dependence of the Hispanic nations, and especially those
of the southern group, on the intimacy of their economic ties with the
belligerents overseas, they suffered from the ravages of the struggle
more perhaps than other lands outside of Europe. Negotiations for
prospective loans were dropped. Industries were suspended, work on
public improvements was checked, and commerce brought almost to a
standstill. As the revenues fell off and ready money became scarce,
drastic measures had to be devis