ed, enjoyed a period of popularity. He was, however, "a consummate dissembler", who put the nation deep into debt while using much of the proceeds for his personal use and to maintain his police state. Heureaux became rampantly despotic and unpopular. In 1899 he was assassinated. However, the relative calm over which he presided allowed improvement in the Dominican economy. The sugar industry was modernized, and the country attracted foreign workers and immigrants, both from the Old World and the New.
From 1902 on, short-lived governments were again the norm, with their power usurped by caudillos in parts of the country. Furthermore, the national government was bankrupt and, unable to pay Heureaux's debts, faced the threat of military intervention by France and other European creditor powers.
U.S. interventions and occupation
U.S. President Theodore Roosevelt sought to prevent European intervention, largely to protect the routes to the future Panama Canal, as the canal was already under construction. He made a small military intervention to ward off the European powers, proclaimed his famous Roosevelt Corollary to the Monroe Doctrine, and in 1905 obtained Dominican agreement for U.S. administration of Dominican customs, then the chief source of income for the Dominican government. A 1906 agreement provided for the arrangement to last 50 years. The United States agreed to use part of the customs proceeds to reduce the immense foreign debt of the Dominican Republic, and assumed responsibility for said debt.
After six years in power, President Ramón Cáceres (who had himself assassinated Heureaux) was assassinated in 1911. The result was several years of great political instability and civil war. U.S. mediation by the William Howard Taft and Woodrow Wilson administrations achieved only a short respite each time. A political deadlock in 1914 was broken after an ultimatum by Wilson telling Dominicans to choose a president or see the U
