The correct answer is C) he pursued a policy of rehabilitation and reconciliation.
President Wilson’s approach towards the defeated Central Powers after World War I was "he pursued a policy of rehabilitation and reconciliation."
Indeed, US President Woodrow Wilson wanted a long-lasting peace in Europe after Worl War II, because it served the interests of the United States.
He addressed the US Congress on January 8, 1918, and shared 14 Points to establish peace in the old continent. The speech was known as the "14 Points speech," and included the free navigation of the oceans, promoted trade between the countries and suggested the reduction of weapons.
The other options of the question were A) he punished them so they would not start another war. B) he called for Germany to keep its foreign colonies. D) he called for allied troops to occupy Germany permanently.