[2] Before becoming President in 1982, Monge served as Costa Rica's first ambassador to Israel from 1963 to 1966 and was one of the founding members of the National Liberation Party (PLN) in 1951.

In dealing with the country's economic situation, he began austere programs on public spending, eliminated many government subsidies to various activities and promoted exports and receptive tourism.

During Monge's term, Costa Rica declared an alignment with all "western democracies" and began to work closely with the governments of Honduras, El Salvador and Guatemala, while its relationship with Nicaragua continued to deteriorate.

By then, the United States was involved in suppressing further socialist revolts in the region and saw Costa Rica as a stable ally in which to base their operations against Nicaragua's Sandinista government.

The U.S. imposed a commercial embargo against Nicaragua, facilitating the deepening of the rift between Costa Rica and its northern neighbor.

With Costa Rica still in the midst of a terrible economic recession, Monge opted to exchange sovereignty for economic stability: he gave in to pressure from the United States and accepted American financial assistance in exchange for allowing the CIA to set up small "unofficial" strategic outposts along the northern border.