The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-11-27


at lower price, it becomes with us a
simple question of holding our custom
ers. If we do not buy the American
goods, our competitors will, and, being
thus enabled to undersell us, will soon
place us where we cannot buy any
goods from anybody"
These facts are all before the men,
bers Of congress in black and white, be-
ing of record in the department of
commerce, and it is small wonder that
they are put to it for an answer which
will harmonize with the subsidy idea.
S: Might Ruin Competition
It would seem from these circum-
has been and is enjoying low rates be-
cause all the ships Of the world come to
our shores and bid against each other
for the carrying business Of this coun-
try, and that thus the heavier subsidy
foreign ship is drawing from its gov
eminent the lower it can afford to go
in it's competition with the ships Of 9th
er substituting nations. There is moth
ing in any subsidy grant so far made
by any country to compel the recipient
of the subsidy to confne his carrying
to the goods of the country whose boun-
ty he enjoys and whose flag he flies.
Neither does any subsidy stipulate that
lower freight rates must not be granted
In fact subsidy grants, are regularly
silent on the subject of freight rates.
And the result appears to have been
that the exporters Of the, United States
for years past had the benefit of sit
uation similar to that which has built
up the Standard Oil company-a trans
portation rate below that of all com
petitors-out Of which has naturally
come the phenomenal growth Of the
American trade abroad, growth which
has become a world wonder, a growth
which has fattened and thrived in spite
of the lack Of subsidized American
ships or of American branch banks
abroad or of any Of the other agencies
encouraged by other governments.
Danger in Situation. .sr.-, ~..
With this condition before them,
the politicians, who have to take the
risk of wrecking themselves and their
party, If they go ahead with the sub
sidy and upset things, are indeed in a
quandary. They know there are no
great American exporters in favor of
the subsidy bill, but on the contrary,
that if the bill goes thru and does harm
to the export trade, the great exporters
will be the very ones to rise up and
smite them. And with the situation
thus fraught with the gravest danger
the bill is being studied at this t ime as
no subsidy, bill ever before was in this
country. Nobody wants to 90 against
the president, and yet none Of them
wants to cut off his own head to please
the president. The present bill which
passed the senate last winter is notSso
bad. It does not carry money enough
to ruin the country, or to give it a
culver, for that matter, but they all
know, as Uncle Joe pointed out to the
president, that If this bill ever becomes
a law it will be but the beginning. Hav-
ing once inserted the Joint Of the
wedge the ship owners will in time
drive it home, as the history Of any
number Of other legislative enterprises
demonstrates. .,a*>..,...~,.:>: ..
May Be sidetracked.
In view of all of which it is just
possible that, in spite. of pressure from
all that the ship builders and ship
ship subsidy may once more fall by the
wayside. It may not, especially If the
speaker is won over to its support, but
even if it passes there will be many a
vote cast for it in the thin, quavering
voice of abject fear. Secretary. Root IS
wonderful speech will undoubtedly
make some public sentiment for it in
the interior of the country, where oppo-
sition to subsidies has been greatest,
but there are many members of con-
gress who are still painfully aware Of
the absence of any great prosubsidy
feeling in their own districts. Wheth-
er the Root address and the president s
Forthcoming message, and the agitation
siderable change in middle west senti-
ment, remains to be seen. It is this
section of the country, remote from
both seaboards, which has been respon-
sible for the defeat of subsidy legisla-
ton thus far. ., -" - -sl4s. u Z
Much will depend on the way in
which the president addresses himself
to; the subject in his message, and to
the efforts he will put forth later on to
secure the enactment Of Legislation.
Should his usual luck stay with him,
he will be able toa~convince the in.
terror Of the, country that the subsidy
idea is sound, and then the pending
bill, perhaps with amendments, will
become law. .,at. IN
Is Freed from faint. ~
It is very apparent that the admin
istration is greatly in earnest. In this
subsidy matter, and believes. that with,
out subsidy legislation twill not be
possible for: the, United States to dc
the various things which it eventually
must do with reference to the republics
to the south, Obviously, If these things
must in the end be done, why the soon
| er the BETTER ,.-' .;5 * [
! The president and Secretary Root
have dignifed and strengthened the
subsidy proposition by making it 9
part Of their broad, comprehensive anG
far-sighted pan-American policy. o.
such a high plane as this, subsidy vii
be reasonably. free from the taint
which it has borne in this country FOL
many years, faint growing out Of thu
support Of subsidy bills by selfish ani
frequently dishonest elements Of th'
population. Indeed, the missionary
work in behalf of this legislation il
the past has been done almost exclu
sively by These ( elements, and ever,
l i }. - 4. I, Z L