The citizen. [volume] (Berea, Ky.) 1899-1958, 1907-04-04

Approvingly the Washington Post
quotes the Omaha Bee as warning. the
interests that are clamorous for ship
subsidy that big foreign trade end
highly protected domestic trade are
inconsistent and cannot long exist to
gether." The Post adds
Foreign trade means exchange Of
products. and il means nothing else.
Before II can prosper. the duties on
such products in che tariff schedules
must be enormously decreased.
so It is reduced to this: We must
let the foreign trade slide OF abardon
tariff for protection only. with Incl
dental revenue"
Neither the Bee nor the Post seems
10 have kept in mind the fact that a
rather big foreign trade and a very
big protected domestic trade are go
ing so well together that in a little
less than ten years of unbroken pro
lection our foreign trade has prac-
ticaliy doubled. Under a protective
tariff we buy of foreign countries
goods OF the value of 1880 100000 a
year. and of these imports more than
$700, 100000 worth are competitive
Under a protective tarin We sell 10
the outside world OF our products
more than $500. 600 900 worth a year.
This makes our total exchange OF
products amount to considerably more.
than $4,000. 600 600 II We should enor-
mously decrease our duties on com
petitiye products and abandon our tar
in for protection with incidental rev
enue for a tarin for revenue With
practically no protection. we should
be paying a heavy price FOR such in
crease-if any--of foreign trade as
might result from such a lapse back
ward To free trade Could We AFFORD
20 pay the price? Could We maintain
our present purchasing power alike
for foreign and domestic products
after we had reduced the American
standard of wage earning through the
necessity OF competing with the prod
ucts of foreign payrolls averaging one
half the American payrone Most GER
talnly not. In such a condition We
should doubtless by heavy wage re-
auctions continue to supply our own
necessities OF the cheaper grades, but
our purchases OF foreign Injuries
would fall on enormously as a eonse-
quence Of vastly diminished volume
Of wage payments.
We are inclined 20 agree with the
Omaha Bee that "big" foreign trade.
a trade swelled to twice or thrice the
current 5000 600 600 dimensions by
means OF heavy increases In our ex-
ports OF manufactures, will never
come while protection remains 10
guard a domestic market worth $50,
600 .OOO. 600 To put II another way.
our country will never be able 20 mo-
nopolize the manufacturing Of the
world while our wage rate Is kept at
a figure more than double the wage
rate Of the rest OF the world. II this
Is what the Bee means by a big"
foreign trade we are OF tho same
opinion
In order 10 quickly or greatly In
crease our exports OF manufactures
we should be compelled TO lower our
production cost; that is. our labor
cost. Even then the desired result
might hnot be realized. A general
reduction OF labor cost in the United
States would inevitably be followed
by a corresponding reduction Of labor
cos, in every competing country. In
consequence we should have uni
yersal reduction OF wages and stand
ards Of living. a universal decrease OF
purchasing and consuming power,
while the fight for both domestic and
foreign markets would continue un
abated The only difference would be
that the contest would be conducted
on a lower basis Of labor cost BY so
much the whole world would be the
poorer. Nothing gained; much lost.
We do not think the American PEG
pie win soon decide TO purchase a
big" foreign trade at such a frightful
cost II is far more likely that we
shall--with occasional lapses into
tariff reform" folly. such as the lapse
Of 1892, and the threatened lapse OF
1 19OS-continue TO keep our wage
standard and our standard of buying
and consuming up to the protection
level. while at the same time steadily
i Increasing the bulk OF our dealings
with other nations because OF great
or ability to crafty our tastes and de-
sires for articles Of foreign produc-
ton. Is not that more desirable re-
suit than to struggle for a big for
eign trade that we cannot and ought
not TO get-for foreign labor as well
as our own labor has a right to be
employed--a trade that would cost
far more than It was worth? There Is
not much doubt as TO the reply of the
voters to such a question.