"Latin America today is the crucible in which our theories and principles are being tested," Sol Linowitz, U.S. Ambassador to the Organization of American States, told an audience of 200 in Burr Hall last night.

The basic American policy toward the underdeveloped world, according to the ambassador, is "peaceful revolution through the existing legal structure."

Many students in the audience disagreed with Linowitz about the possibility or desireability of such a policy. He was picketed by members of the newlyformed Committee on Latin American Solidarity before the meeting began, but refused to be drawn into polemical debates with questioners who challenged him about the Dominican Republic crisis of 1965 and pofit remittances from American firms south of the border.

The O.A.S. ambassador feels that "U.S. business is learning that if it wants to survive, it had better put the needs of the Latin American people first," and believes U.S. investment has a great role to play in the development of South American economies.

The ambassador said that the younger generation of South Americans is searching for a evolution, and "the Alliance (for Pogress) can become that revolution."

But when he said, "There's no question that we (the U.S.) are dedicated to the progess of democracy in Latin America," hisses and calls of "What about the Dominican Republic? What about Argentina?" were heard from the top of the auditorium.