As a result of the Dominican-American fiscal arrangement the old debt
was practically all canceled, burdensome concessions were redeemed,
and a large portion of the surplus from the new bond issue was set
aside for public works, of which several were undertaken. A few
uprisings by dissatisfied chiefs remained local and unsuccessful. A
border clash with Haiti, which in January, 1911, caused the dispatch
of troops to the frontier, was settled by diplomacy. The hope of
continued peaceful conditions gave a new impulse to agriculture,
industry and commerce, and the exports and imports increased year
by year.
At a time when the future seemed brightest, the Republic was suddenly
startled by the news of the assassination of President Caceres on
Sunday afternoon, November 19, 1911. The president, with a single
companion, was returning from a drive along the new road to San
Geronimo. At Guibia, a suburb of the capital, a number of conspirators
rushed for the carriage, seized the reins of the horse and began to
shoot. The president's companion fled, but Caceres, a fearless man and
an excellent shot, returned the fire.
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