Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1909-06-05
NEW SENATOR FROM INDIANA
STARTS NEW SPECIES OF
TROUBLE OVER QUESTION.
MAXIMUM AND MINIMUM
FEATURES MAY BE ILLEGAL
Representatives of Other Countries
Show Interest in This Feature of
Tariff Legislation and Confer With
Secretary Knox Regarding It = Re-
ciproeity Advocates Encouraged.
Especial . Correspondence.


Washington, June 4.-Senator Shive-
ly, of Indiana, started a new species OIL
tariff trouble with his maiden speech
in the upper chamber. He discussed
the maximum and minimum provA-
ions of the bill now pending, and
pointed out that there was a serious
constitutional question about how they
will work
Senator Shively pointed out that the
rates of duty which are being fixed in
the senate bill are made the minimum
duties only 1.-THE general tariff is to be
% per cent ad valorem above these
minima- The maximum or general
duties are to be charged against coun-
tries which discriminate in any way
against the products of the United
States. The president is empowered
by proclamation to put the minimum
rates into effect as to countries with
whose treatment of the United States
he is satisfied.
| Now, declared Senator Shively, there
| is uncertainty whether such grant of
legislative power can constitutonaly
be given to the president by congress-
If it can't then the maximum rates
would be fastened upon the country,
and would have to stay there until con-
gress could reduce them.
| Senator .Shively pointed out that if
this maximum and minimum provision
| shall pass. there will be legal test
| of it as soon as possible; and if it
should be held that the president may
not exercise this power of reducing
rates by proclamation, then the higher
rates would remain permanently in eff
feet. More than this, he discussed at
some length the language employed;
with the view to showing that it is very
liable to construction which will
make II very difficult, in many cases,
for the president to be assured that the
United States is getting the fair and
reasonable treatment reciprocal and
equivalent to concessions granted in
| the minimum tariff of the United
States" as the language of the provis-
ion reads. He opined strongly that
there was serious danger that in many
cases the necessary showing could not
be made to a legal certainty, and in
that case the authority of the president
to issue his proclamation would be
lacking. After March 10, 1910, as the
measure now reads, the maximum
rates shall become the general tariff
rates of the country. They shall ap-
ply to all countries except those as to
which it shall affirmativ be shown
that they are giving concessions to the
United States equivalent to the value
of the minimum tariff rates of this
country. A concession means a con-
cession by comparison with some stan
dard. 1t involves comparison of
commercial values, and whether a
given country could make show
ing that it was giving conces-
sion, say, from it's maximum rates-if
1t chances to have them-of such value
to the United States might easily be
found close question.
Whatever effect Senator Shively's re-
marks may have had on the minds of
senator's, they certainly aroused pro-
found interest among the diploma tic
representatives of other countries. now
in Washington. Ever since they read
the Indiana mans speech these dip
,lomats have been hurrying around to
the state department to inquire what
it's all about and whether any such
thing is likely to happen as Senator
Shiyely suggests. A general increase
of % per cent in the Aldrich bills rates
would bring the United States into
commercial warfare with every other
country on earth with which this ma
ton has any business 1t is pointed out
that England, Holland and Belgium
free trade countries already, could moi
make any Concessions of equal value
to the United States in their markets
, simply because they have no rates OF
, duty which could be pared down: ant
England, after all. is the best market
) the United States enjoys
A number of diplomats have ex-
pressed to Secretary Knox misgiyings
about the operation of this SECTION
They admit that their home govern.
ments are watching revision at Wash.
ington with deep concern, and that i
the Shively analysis should be sus.
? tanned by the courts most Difficult
problem would be presented
{ Secretary of State Knox has beer
' kept busy explaining these matters t.
] the diplomats and showing how i'm
e possible 1t is for him to do anythin.
until the new law is actually passed
After that there will be the better par
of year to figure out the next move
before the maximum rates would De
come effective.
These uncertainties about the consti
tutional and practical aspects hav
given encouragement to senators VIII,
believe that anyhow a reciprocal rattle
than retaliatory tariff is best policy
These are disposed to make an issue o,
this provision, and to attempt al
amendment to make the tariff bill
rates the maxima, with provision for
reduction of 20 per cent in favor o
countries which grant equivalent con
cessions to the United States.