The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1912-05-18
FLAG MUST FLY
OVER OUR GOODS
American Merchants Need Amer
can Ships TO Garry Products
to Market.
MONTAGUE TO CREDIT MEN
Discusses Monetary and Other
Questions Before Local
Association.

| All that has been said and written
ABOUT the Intimate relationship OF
monetary reform and trade possibil!-
/ Ties through the opening of the Pann-
ma Canal was summed UP In bril-
liant manner by former Governor
Andrew Jackson Montague in an ad-
dress at the dinner of the Richmond
Credit Mems Association last night in
the business Mems Club.
| Trade expansion is absolutely
necessary to the continued prosperity
OF the American manufacturer." said
Governor Montague. The question
is. how and where Is this expansion
to be accomplished? The greatest
economic and trade possibility in the
history of the United States is offered
through the opening Of the Panama
canal. and the consequent shortening
OF distance between Southern ports
and the Laun-Amarica markets
:nst Not Permanent Market.
me opportunity for lasting trade
expansion s. not In the East. but in
south America. for the reason that
Eastern trade is not permanent. while
trade with the LatU-American coun-
tries Will be lasting.
The reason for this lies in the fact
That Eastern people. after first buying
American goods can by virtue OF iml-
tation and lower cost of wages and
scale of living. eventually undcrscll
me American merchant and manu-
facturcr and finally drive him from
the market. On the other hand labor
| in South America is high and the
scale of living is high. consequently
| the LatIn-American manufacturer will
never be able TO undersell the Ameri
| can merchant"
While 49,
report of the Aldrich Monetary Com
mission, and the intrinsic value OF it's
findings Governor Montague did take
up the question of elasticity of cur
rency and credit and strongly en-
dorsed the recommendations OF the
commission along this line
| ITO fight on equal footing with the
European manufacturer for South
American trade" he said elasticity
OF currency and elasticity OF credit
are absolutely necessary. The recon-
mcndatiou of the Monetary Commits
SION to the effect that national banks
! in this country he allowed to establish
| affiliated banks in foreign cities for
the handling of American bills of ex-
chance. and American credit viii OK
actly supply this essential.
Under present conditions. American
manufacturers and merchants cannot
light on equal terms with the German
and English progressive traders be-
cause of the splendid system OF az
| hliatcd banks IN rore'gn countries
which these two European nations
maintain. Ihc recommendation OF the
Monetary Commission viii give
American merchants American banks
I'm foreign countries and put us on
fair basis of competition with the
German and the English. Reform OF
this feature OF our banking system is
essential"
The problem of ship subsidy ana
tolls on the Panama Canal both re-
| ccived attention from tho speaker.
Question Canal Tolls.
while affiliated banks in foreign
countries would give the American
merchant a fairer footing In the IN
tcrnational competition for trade TO
be on par with the German ana Eng
iish manufacturers the American
| merchant must have American shins
to carry his goods TO the foreign
market. / do not say that trade fol-
lows the flag, but the flag must nv
over the ship that bears American
goods IL the American merchant is
To profit thereby
IF. too, we are to win and hold
! the permanent trade OF our Latin
| American cousins we must not put a
| ~ '''"''iNc to!i on Ships that pass
through the Panama Canal The hest
results TO national trade will be OBJ
! tanned by reasonable tax. Again. 70
Fam me confidence OF the people TO
thc south OF us. we must change the
basis of our present relations We
or the United States must abandon
| our attitude Of brothcrly tolerance
! ana do business with the Lntin-Amcri-
! Their confidence and trade Ia to he
| won only by the same means which
; would win the confidence and trade
| OF European nations"
! vrndr War.
| According to Mr.. Montagues views
! American supremacy In Latin Amcri-
can trade Is more than an economic
| necessity, for the success Of the Ger
! man or English trader would only
result in the long threatened attack on
| the Monroe Doctrine and in war
Germany and England are already
! STUDYING some further outlet for their
pI,o1nuiation,' he said. 1T is natural
| south. where the opportunities are so
| magnificent Who're their citizens go
| where their people settle. trade and
live there must these countries have
possessions. Trade supremacy for
! either OF these nations would demand
territorial concessions. The greatest
! surety of peace is the dominance OF
! Latin American trade by the mcr-
chants of the United states"
J In the absence OF Colonel John s.
| HARDWOOD. president of the association
! Herbert w. Jackson. president OF the
| Virginia Trust Company. presided at
| the meeting. Mr.. jackson introduced
! the speaker OF the evening and ruled
over the technical debate which pre-
| coded the address.
| Under the head of business, the fol-
| lowing delegates were elected to at
| tend the annual convention of the Ma
| tional Credit Mems Association. to he
held in Roston June 1921: l.. C.
; Chelf c. X. Burnett. Leon Wallerstcin,
! ~ NJ. Smith. J. y. Gawthrop, !. c.
! Freeman. : s. Roscndorf. j. IL. Wood
| fin, Rives Fleming. 10 Lane Stern and
! w. ID. Broaddus. The National Credit
i Mems Association comprises about
| $1,000 credit men all over America.
IMIIIREn HORSE cunr