Panama Canal Economy

The United States took the effective action of taking control of the development and building of the Panama Canal. The construction of the Panama Canal changed the economy of America by trade and transportation, advancements in technology, and America’s foreign policies. Once the French failed to build the Panama Canal when they had control, the United States decided to step in and take control themselves. People of the United States government agreed that this new project was an intelligent way to enhance trade and transportation. During the Presidency of Theodore Roosevelt, he made it a priority to start the construction of the Panama Canal, (Longley). Once Roosevelt realized how this would positively impact the United States.The Canal,
Multiple of U.S imports, exports, and goods are transported through the Canal daily. This provides jobs for Americans, and the U.S consumers have their products from transportation. This is keeps things running smoothly, economically. If the Panama Canal was not there, prices for imported and exported goods would drastically increase while being shipped from place to place. Lower prices on goods keeps the economy balanced, and decreases the amount of problems. With the amount of goods shipped daily, thousands of ships importing and exporting goods travel through the canal. There would be a huge impact on the economy if the Canal were to close. (Central America Panama Canal). Not only is the canal a large economic source to the United States, but also to many other countries all over the world, since the U.S is trade partners with many other countries. The Canal saves time and money from being considered a “short-cut”, which economically is great since it saves money and time by transporting cargo quickly. More is being done, in a less amount of time, economically time is money, and this is very significant towards the Panama Canal. During the time of the 1930s, waterway traffic was increasing; with the depression still occuring trade was increasing from the canal (Major). In the result of the increase of waterway traffic, it brought up the transits 18 percent since the previous decade. Especially
Years after Roosevelt's presidency, when Jimmy Carter was President, he agreed to sign a treaty that gave Panama control over the Canal after 1999. The treaty that Carter signed in 1977, ended the previous treaty from 1903 with Roosevelt taking control over the Panama Canal. This treated impacted the United States foreign affairs, because it was another development on how the United States government deals with other countries. The reason behind the signing of the Panama Canal Treaty, also known as The Torrijos-Carter Treaties, by Jimmy Carter was to boost relations with Latin America. In the long run, this was a positive impact on the foreign affairs, and good for possible needs in the future. The Treaty of 1977 also only lasts for 22 years, and it actually is more favorable towards Panama over the United States (Gayner). The Treaty brought better terms between Panama and the United States. It changed the foreign policy by “updating” the previous treaty by Roosevelt, to another treaty that gives the Canal back to Panama. The Treaty was a form of strategy by the U.S government for dealing with