New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-07-18
THE STUPID SUBSIDY CRY.

THE STUPID SUBSIDY CRY
The Senate debate on the Post Office APP
preparation bill last week was very Sig
nificant one. The Committee on Conference
reported that all differences between the
houses in this matter had been settled with
one exception. The lower House had thrown
out the seventh amendment, providing
$500 600 for a more efficient mail service
under the American flag between the United
States and South America the West Indies
and Central America The Postmaster-Gen-
eral was armed with full discretionary powers
by the amendment, the amount named being
maximum expenditure which he was at liberty
to make, if he could improve the foreign mail
service, quicken communication with those
countries and promote thereby the interests OF
American commerce. The Democratic i.ouse
rejected the proposition on the ground that l.
was a subsidy, pure and simple, that was not
required by the Post Office Department. Inc
same view was presented in the Upper House
by Senators Beck and Reagan, who argued III
substance that Postma ster-Genera Dickinson
was right in assuming that foreign trade couid
not be built up by subsidies to steamship COM
panes In the judgment Of these worthless Tree
trade is the Only thing that is needed IN order
to restore the American commercial marine ana
to open markets abroad for American products
and manufactures. Meanwhile they favor the
closest and most niggardly methods oil dealing
with American steamship lines in reference TO
mail transportation. The United States GOV
ernment makes money out OF the foreign mall
service at present-between 100000 and
100000 a year. The free-trade economists
under the lead of Mr.. Villas and Mr.. Dickinson
desire to persevere in this policy, which is
Nidely at variance with that adopted by every
other maritime country.
The Republican Senators with the aid Of Sen
ator Mcpherson and two other Democratic col
leagues not Only persisted in retaining the So
called subsidy causen but also demonstrated
the unreasOnableness as well as meanness OF the
free-trade economists. They proved that while
the United States paid in 1887 for this foreign
mail service $50, 375 81, and the Department
was willing to raise the amount 20 81 ,OOO
France expended SOL 50, 3S8 50; Great Brit
ain. S3.2O6,766 81; Brazil 81 ,223, 958 10,
and Japan, S241,25O for the same service
That certainly was an effective comparative
exhibit While every rival country adopts
liberal policy in dealing with its steamship
companies and considers this legitimate
method Of developing commerce and opening
foreign markets for domestic products, the
United States alone antagonizes steamship in
terests and insists upon having its mails car
ried as freight. In the face Of these arguments
the House again rejected the clause, and the
Republican Senators yesterday retired from the
field finding 1t hopeless undertaking to Sc
cure Just treatment for the American lines.
The Republican Senators might have en-
phasized their argument by referring to the
Japan trade The United States pays the
| steamers plying between San Francisco and
! China and Japan S14 ,821 The rival steamers
which are running between British Columbia
and the same countries have Government
subsidy of $500, 900. Those British steamers
| supported in this way will succeed in
capturing the tea trade. Those subsidies and
| subventons are offered for the direct purpose
of raiding American commerce and compelling
this country to import its tea from Winnipeg,
as Mr.. Nimmo has conclusivey shown. Yet
| Democratic economists rail at decent re-
Enumeration for mail service as steamship
| subsidy" and affirm that under free trade for
eign markets can be opened without these
" vicious bounties' to " grasping corporations"
England certainly Is 1fee-lraue country, YET
has never ceased to have recourse to mail SUBJ
sides on large scale.
Senator Beck and Mr.. Dickinson boldly fly
the free trade flag when they oppose the legiti-
mate demands Of American steamship lines
"You cannot get foreign market for your
own products" they say in substance unless
you are willing to buy in return for what you
SELL There must be free exchange Of COM
modities between countries in order to have a
commercial marine and foreign commerce."
They take this view in the face of the fact
clearly pointed out by Senator Chace that the
United States is already buying S52, 100000
from Brazil and selling only 100000;
81, 900, 900 from Central America and selling
only $4,000, 900; and $4,000, 600 from Vene-
zuea and selling only 100000. Steam
ship subsidies will not help COMMERCE. they
excam. "You must be willing to buy as well
as sell abroad-you must have free trade"
This they say when the United States is al
ready buying from those countries twice or
four times as much as it sells to them, and when
every maritime country subsidies its steam
ship lines for the direct purpose of opening
foreign markets for its own products.
------
A FAILURE Any WAY.
And now highway robbery has been COM