Question

How did Guatemalan policy most affect U.S. interests?

Guatemala had a large American expatriate community.
U.S. companies owned a large proportion of Guatemala’s land.
Guatemala had vast oil reserves desired by U.S. companies.
The United States feared Guatemalan influence in El Salvador.

Answer 1

The most significant way that Guatemalan policy affected U.S. interests was that **U.S. companies owned a large proportion of Guatemala’s land**. During the mid-20th century, particularly under the regime of President Jacobo Árbenz in the early 1950s, policies aimed at land reform and nationalization threatened the holdings of American companies, notably the United Fruit Company. This led to U.S. concerns about the potential spread of communism in the region and prompted U.S. intervention in Guatemala, including a coup in 1954 that aimed to protect American investments and restore a government more favorable to U.S. corporate interests.