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according to http://www.answers.com/dago, it is an alteration of Spanish name Diego. As a slur, it was originally directed at those of Spanish descent. When and why it was redirected to Italians is anyone's guess.

According to a 2 hour documentary on the Italians in America, many of the 1st immigrants could barely speak the English language. Therefore, many became cheap laborers. Day-Laborers they were refered to. Then, those Day-o's became Dagos! I struggled for years to find that out! I just found out TODAY how they got to be called "guineas"!

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โˆ™ 2011-10-20 18:07:22
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Q: What is the origin of the ethnic slur dago?
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