was evolving into one of the most important countries in South America, really only second to Brazil. It was a neighbor to the United State's canal and it had power. The payment was to insure Americas investment. However this still angered former President Theodore Roosevelt. In a letter he wrote to Banau-Varilla, he said Is that they are eager to take advantage of the deeds of the man of action when action is necessary and then eager to discredit him when the action is once over.(McCullough 617)The Panama Canal had substantial effect on the Panamanian Economy. In addition to the $10 million payment to Panama, the U.S paid $250,000 after the canal had been in operation for nine years. That annuity has increased since, in 1999 it was well over $100 million. The canal also prompted many American Companies to invest in Panama. They bought land from the nations rich land owning families. This money seldom filtered down to the ordinary citizens. However, there were advantages for these citizens. (Dolan 98)The canal and the zone, until recently, were ran by two organization, the zone government (to supervise such bodies as the police, postal, and court systems) and the Panama Canal Company, which held responsibility for operating and maintaining the waterway. These two organizations were the major employer on the isthmus. Between 1914 and 1940 they consistently employed between 10,00 and 13,000 civilian workers. When the work force stood at 13,000 in 1977, 3,500 employees were Americans and 9,600 were non-U.S. citizens. The non U.S. citizens were mainly Panamanians. (Dolan 99)Many other Panamanians also profited from the waterway. Though not directly employed by the canal, they sold goods and services to the zone and its workers, the passing ships, and the 10,000 U.S. military troops (and their families) stationed in the zone to protect the canal. It has been estimated that the canal accounted for over 20 percent of Panamas empl...
