Photos by Joseph H. Krause

The Panama Canal, with its unique location at the narrowest point between the Atlantic and Pacific oceans, has had a far-reaching effect on world economic and commercial developments throughout most of this century. By providing a short, relatively inexpensive passageway between these two great bodies of water, the Canal has influenced world trade patterns, spurred growth in developed countries, and has been a primary impetus for economic expansion in many remote areas of the world. For example, a vessel laden with coal sailing from the east coast of the United States to Japan via the Panama Canal saves about 3,000 miles versus the shortest alternative all-water route, and for a vessel laden with bananas sailing from Ecuador to Europe the distance saved is about 5,000 miles.
 

 
By far, most of the traffic through the Canal moves between the east coast of the United States and the Far East, while movements between Europe and the west coast of the United States and Canada comprise the second major trade route at the waterway. Other regions and countries, however, such as the neighboring countries of Central and South America, are proportionately more dependent on this vital artery to promote their economic development and expand trade.