Maximilian of Hapsburg (1832-1867) was an Austrian archduke and emperor of Mexico. His short rule was characterized by financial disaster, political weakness, and betrayal. His final defeat and execution clearly showed that Mexico would not accept a foreign prince.

In 1860 the Mexican Liberal party emerged victorious over the Conservative party after a bloody 3-year war. Benito Juárez, the Liberal leader whose aim was the end of chaos and the beginning of constructive reforms, faced an empty treasury and a stagnant economy. He placed a 2-year moratorium on the national external debt, which his government could not hope to pay.

Simultaneously, the remnants of the defeated forces of the large landowners and great merchants, as well as clerical and professional military interests toured Europe trying to gain converts and support for a restoration of the old order. They claimed that Mexico, a potentially wealthy nation, was being...