New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-09-18
EFFECT Of THE CANAL
FORETOLD BY EXPERT
EnuIiSh Professor Sees DeveI-
opment of Keen Trade Rivalry
for Eastern Markets.
PROSPERITY FOR w. INDIES
New York To Be Benefited by
the Fact That 1t Is Closer TO
Eastern Australia than
Is London.

/ birmingham. ENGLAND Sept r.-Great
/ interest was taken at the meeting OF the
/ British Association here TO-DAY In pa
| per read hy Adam W. Kirkaldy. profess
sor OF finance a, Birmingham University
and a recognized authority on economic
questions. on The Economic Effect OF the
Panama Canal" In .he course Of which he
treated the subject with Sreat thorough
ness
80 far as the outside world Is con-
I cerned." be said. the greatest effect OF
\ the opening Of the cana, will probably be
, 90 get commerce and irade out OF the
groove and cause an ali-round modern
lzatiou OF business methods The old will
. have 90 bc scrapped. friction among the
factors OF production will have e. be- elm
mated capital and labor IN competing
. countries Will have 20 learn 20 work har-
. moulously together Socially and eco
uomically this Will effect a very great re-
suit. D. IL what America dreamed OF
when she entered upon this stup.ndous
/ undertaking?
"The canal will add enormously T. the
commercial facilities between the various
/ regions OF the Am RIGA continent and the
4
' opment- may be expected. The West
= India Islands VIII enter upon new
/ period OF prosperity. especially when the
/ internal combustion engine takes the
place Of steam and OF. replaces coal
English business and fiscal methods VII.
have q great effect on making the West
Indies important 10 shipping, and thus
assist the development OF local industries
J especially the export OF raw material
/ The comparatively unprogressive states
Of Central and South America Will under
! go remarkable Developments owing 10 in
creased immigration Of Europeans and
Increased trade These local benefits will
be- the chief and ample justification for
thg construction Of the canal
To Displace British Coal
OF the effect on world trade. lie con-
trued
America realizes the importance Of the
coal trade TO the United Kingdom there
will be strenuous attempt 10 displace
British coal throughout the world IN order
to give American shipping the advantages
at present enjoyed 10y British. II sue
cessful this VIII deal mortal blow al our
mercantile marine. Thus the British coal
industry must realize the situation and
both the capital and labor interested re-
solve To hold the market at all costs I'M
IN the fuel questiOn-cOal or Oils finally
settled
As 10 the effect of distance. he thought
that on Australasian and Far Eastern
markets IL would be considerable. az the
mileage run by steamer was serious
factor in cost OF service. In this shipping
offered a contrast TO railways. for when
trucks were loaded length OF haul had
but little effect on cost Of service.
Taking London and New York as the
typical European and American ports,
ne said. the markets OF the world fall
into three classes-W Countries in close
proximity to the canal, here the effect
will be greatest and In many cases the
use of the canal a necessity. 90 Aus
traasia and the Far East At present
there is a choice OF routes To these mar
kets: Panama will offer another alterna-
tive. CD Ports not directly affected.
To Get Australian Trade.
GLASS is receiving most attention
from those estimating the effects on world
trade There Is a parallel equldstant
from London via Suez and from New
| York via Panama. on the south coast of
| Australia this is Port Lincoln. Adelaide
| being the nearest great port. All Asiauc
ports west of Japan will continue To be
| nearer to London. G. x, Manila will be
2Oo0 miles nearer But all japanese and
New Zealand ports and all Australian
ports east Of Adelaide will be nearer New
. York II il costs ~ To transport one
ION Of goods 1900 miles. distance saved
will give American manufacturers an ad-
vantage Of from % TO Is Cd ton on all
goods supplied 10 ports between Mel
bourne and Wellington. New Zealand.
ITO benefit American shipping freight
must be available both out and home. To
benefit American manufacturers freights
must be low. At present Europe supplies
Australasia with manufactured goods, ana
the shipping goes via Suez. This route
gives a maximum Of trading possiolIities
and great facilities for coaling. The cape
route. too. offers TO fully loaded steamers
the advantage of cheap bunker coal For
the homeward voyage from Australasia
partIv loaded steamer goes via the Horn
10 nick 10 cargo at ports Ike Monte
vidco. The canal would not attract these
ships"