7.7 Interwar Foreign Policy

From Neutrality to Isolationism

After WWI, the U.S. Senate rejected the Treaty of Versailles and refused to join the League of Nations, fearing entangling alliances. Through the 1920s-30s, the U.S. pursued isolationism, focusing on economic ties abroad while avoiding political/military commitments. Congress passed Neutrality Acts in the mid-1930s to prevent involvement in foreign conflicts, reflecting disillusionment with WWI.

Economic Diplomacy & Peace Efforts

The U.S. still engaged internationally through economic diplomacy: the Dawes Plan (1924) restructured German war reparations, and American banks invested heavily in Europe. The Kellogg-Briand Pact (1928) attempted to outlaw war but lacked enforcement. The Good Neighbor Policy under FDR reduced military intervention in Latin America, favoring economic influence instead.

Rising Threats & the Path to War

As Japan invaded Manchuria (1931) and fascist powers expanded in Europe, the U.S. balanced isolationist sentiment with growing concern. FDR's Lend-Lease Act (1941) allowed aid to Britain and the USSR without formal war entry, foreshadowing the tension between neutrality and eventual involvement in World War II after Pearl Harbor (1941).

Key terms

Treaty of Versailles

WWI peace treaty rejected by the U.S. Senate, partly due to League of Nations membership concerns.

Dawes Plan (1924)

U.S. loans to Germany to help restructure war reparations payments and stabilize Europe's economy.

Kellogg-Briand Pact (1928)

International agreement renouncing war as a tool of policy, but with no enforcement power.

Good Neighbor Policy

FDR's approach favoring economic influence and diplomacy over military intervention in Latin America.

Lend-Lease Act (1941)

Allowed the U.S. to supply Britain and the USSR with war materials without formally entering WWII.

Try an AP-style question

The Neutrality Acts of the 1930s were meant to…

1. annex new colonies
2. prepare the U.S. to invade Europe
3. keep the U.S. out of another war
4. form an alliance with Britain