Willmar tribune. [volume] (Willmar, Minn.) 1895-1931, 1910-03-23
NO FLAG ON THE SEA
High Protection Cause of Decline
of Shipping.
SHIP SUBSIDY FALLACY.

Whore British Builders Have tho Ad-
vantage Of Uncle Sam-No Money In
American Observation-Disclosures Throt-
tied by Tariffs.
1t is not easy to have patience with
some OF the reasons that are given for
subsidizing American ships. We are
told that lit Is national disgrace
that an American admiral should sail
around the world. as Sperry said he
did. without once seeing the Ameri.
can Dag on merchant ship"
1t may be so. but who are RESPONSE
BILE for the disgrace? Those who have
built up the high tariff system of the
country-these and nobody else. The
high tariff has so increased the price
of the things that enter into the con-
struction and supply of ships that it
is impossible for Americans to build
them at profit; hence they are com
PEELED to use foreign ships to carry
their imports and exports. The chair
man Of the shipping and harbor CON-
mittee Of the New York chamber of
commerce put the latter fact very
clearly in a recent utterance. He said:
Il know that no money is to be
made in building ships and running
them under the present conditions of
the commerce of the United States and
Of labor and of material and of the
mode Of constructing ships"
Mr.. Welding Ring. another member
Of the chamber. was equally emphatic
on that occasion. He said: IL have
been shipping forty years. and know
something about it. and know what
the conditions are l don't believe
the government subsidy is ever going
to build up our mercantile marine"
Clearly. then. the shipping business
does not pay in America. And be-
cause it does not pay the proposition
is that the taxpayers of the country
shall put their hands in their pockets
and make it pay. In other words. be-
cause protection has ruined the indus
try there should be more protection.
Let nobody think it an exaggeration
to say that protection has ruined
American shipbuilding. for just look
back half century or so. Shipbuild-
ing has flourished with us most when
our tariff was lowest. and it has dWin-
died most when our tariff is highest.
In 1853 the New York Herald could
boast that lit must be a matter of
sincere satisfaction to know that in
both sailing and steam vessels we
have surpassed the whole world
All this was substantially true then
But those were the days of low tariffs.
How is it that England is still mis-
tress of the seas. while this country
has no shipping to speak of? Be-
cause England has continued the poll
cy Of commercial freedom, whereas
we have gone further and further on
the dreary path of protection.
The great development Of British
shipping dates from the middle of last
century. when England repealed her
navigation acts and threw open her
ports to all nations. We have our
barbarous navigation laws still in
force. which deny us free ships. and
we have the high tariff, which denies
us free purchase Of the materials with
which to build ships. Can we wonder
that American labor and capital have
forsaken this industry and gone into
more profitable occupations? Indeed,
enlightened protectionist writer's are
candid enough to admit that their
policy has ruined American shipping.
Thus Professor Robert Ellis Thomp-
son apologizingly says:
If there were no other reasons for
the policy that seeks to reduce for
eign commerce to minimum a suffi-
cient one would be found in it's effect
upon the human material it employs
Bentham thought the worst possible
use that could be made of man was
to hang him; worse still is to make
common sailor Of him.
And now, since the artificial expan-
protection has been at the expense
of the great shipping industry. what
would be the effect upon this export
trade of an artificial revival of Ameri-
can shipping supposing it were posi-
BILE to effect it by subsidies and boun-
ties? The effect would be to diminish
our export trade and Indirectly our
import trade and consequently to d.
minish the necessity for shipping.
Take our trade with England as an
illustration We trade largely with
England. She is by far our best GUS
toner We export to her shores as
much merchandise as we can. and we
take from her as little as possible
Thus in 1908 we sent her goods tc
the value of $5SO.663.522. but we took
from her only $19O.355.475 worth
How do we get paid for the balance?
Largely by the shipping service that
England performs for us in carrying
goods to and from foreign shores.
And supposing that by heavy sub
sides we did this carrying for our
selves. what would be the result:
That England would take less of our
exports because she would not be able
to pay for them in shipping services
There is only one way to revive
American shipping. and that is free
trade in ships and in the materials Of
which ships are made. English ship
owners know that very WELL They
know that they can get their materials
wherever they can buy them cheapest