Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1901-12-31
A SUBSIDY ARGUMENT.
kansas city Journal.l

kansas City Journai.l
Interest has conferred again In the
Frye shipping bill, otherwise known as
the shipping subsidy BILL and it will be
prominent subject of discussion in the
present congress. The opponents of this
bill have not gone very deep into It's
merits. Most Of them content them
selves with crying out against the wick
edness Of policy Of subsidy, declaring
that it is fundamentally wrong to tax
the many in order to benefit few. Yet
rational aid to private enterprises which
involve the material interests of the
general public has been part OF our pol
Icy from the beginning. The protective
tariff is in one sense a subsidy. The
great Pacific railroads were made posi-
BILE by grants of lands and money. At
the close of the last session of congress
senator talked to death O. subsidy bill
which has been adopted by congress al
most without question in nearly every
biennial session for thirty years. This
was the river and harbor bill, carrying
something like 100000 900, and it has al
ways been as much OF private" sub
sidy as the Frye bill now pending. The
river and harbor bill Is designed to up
DulIQ anu lSiClIldlC WiSSL SOAAsAAtSAAS -
mostly of an internal character. The
Frye bill is designed to upbuild and IA
c,litate ocean commerce and an Ameri-
can navy. Some Of the loudest OF the
opponents OF the Frye bill are congress-
men who never fail to support the river
and harbor BILL and who are always
ready with a demand for more SUBSIDY
for their own regions and constituents.
The average river and harbor bill wouio
pay the limit proposed for snip supsi-
dies, 81, 000, 900 per annum, for hve years l,
and it is believed that in these ftve years
more could be accomplished by the SNIP
subsidy bill for the general prosperity
Of the country than has been accom-
plished by the river and harbor Dali IN
twenty-five years.
Recently a New York democratic pa
per demanded to know what had pc
come OF our ''boasted power OF compeu-
ton. when American sailors confessed
their inability to compete with foreign
sailors without help from the pubic
purse, And here our contemporary mas
unwittingly sounded the keynote OF the
whole situation. We might be able TO
compete with foreign sailors II competi-
ton solely on merit were the only ele-1
mert In the case. But 1t Is not simply
question Of the Yankee sailors taxing
their ships into competition with foreign
sailors for the carrying trade. IN the
first place we have no ships with Wnlch
to enter upon such q competition. In the
SECOND place we are not likely to have q
commercial navy until 1t can be built
with the assurance Of at least fair
field and no favor. At present the most
powerful OF our rivals subsidixe their
ships Just as it is proposed to subsidize
ours The American who built a ship
and entered the carrying trade. say to
China. would find himself competing
with subsidized chips from both Eng
land and Germany, and 1t Is because Of
this circumstance that American ships
are not built.
It is the main idea OF the Frye bill to
build up an American commercial navy.
At present 81 per cent OF our foreign
commerce Is carried in foreign bottoms.
We pay out each year about III. .0O0
Tor freight carriage to foreign owners.
The supporters OF the Frye bill are con-
fident that the payment Of $9,000.0oO 9
year In subsidies will result in putting
large portion of this $3.50. 0G0, 600 directly
into American pockets. The bill grants
graded subsidies, not to special lines or
q few favored corporations, but to AL
Americans who own ships in the foreign
trade. It is granted to sailing ships, to
slow steamships and to fast steamship.
Every American vessel OF suitable size
is eligible to II, as also is every foreign
built ship which shall pass to the own
ership Of Americans. But the American
owners must acquire a full title before
they can hoist our flag and they must
give bond to build within ten years an
equivalent tonnage In this country.
American owners OF home-built ships
must build here new vessels equal to %
per cent Of their present holdings. SO
the terms OF the subsidy bill compel all
ship owners who receive q subsidy TO
create new American tonnage, and in
this way the building Of commercial
navy will be greatly stimulated.
Furthermore, every ship which draws
q subsidy must carry crew made up
largely Of Americans and must be held
subject to purchase or charter in time
of war by the American government at
q price fixed by impartial appraisers.
And every subsidized ship must also, II
required, carry the United States mail
without further compensation.
It Is impossible within the limits OF q
newspaper article to give this bill In
detail It Is intended to give American
ships Just enough subsidy to Offset the
subsidy which Is paid by foreign. COM
petitors. This is arranged by establish
ing the ships In classes with respect to
distance, tonnage and speed, but no ship
Is barred which flies the American flag.
Remains Of Kansas Pops.