New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-08-26
FOR GOVERNMENT SHIPS
A Reader Sees in 1t the Only Solution
of Our Merchant Marine Problem.

To the Editor of The Tribune.
Sir. objection TO the admir-tto-
tons efforts 20 establish AN American
merchant marine comes from only two
sources. so far as / can see. r. was
10 be expected that there would be OBJ
lection by foreign shipping interests
who have been reaping the benefit OF
American inactivity in the steamship
business. 1t was also 60 be expected
that Wall Street interests who are .r-
terested i'm foreign steamship compa-
nies would also object 90 the admins
tratiou's plans.
The new registration act will not in
nv opinion. solve the question OF an
American merchant marine. During
the continuance of the war some snp'
now under foreign registry viii change
20 American registry 20 get the pro-
lection of the American flag and the
benefit of lower war insurance, but
after the war most OF these vessels
will undoubtedly resume their former
registry.
I DONE think thu. private capital
will do much. if anything toward puf-
chasing ships. Capitalists with whom
have discussed this matter pointed 20
the quotations for the stocks and bonds
of the lnternatioua. Mercantile Marine
as q "horrblc example of what woQi
happen 20 their investments Of they
went into the steamship busi3c 8.
They might with equal prourety cite
the present price ior New Haven kall-
road stock as am argument against rail-
road investments.
There are good reasons why lnterna-
tional Mercantile Marine securities sell
so low but they have nothing TO DO
with the merits of the steamship busl-
ness. As "a matter OF fact. the stsam
shin business is one of the most profit
able iu the world. The Holland Amer
lea Line last year earned almost ID
per cent net on it's capital investment.
The Hamburg-Americau Line earned
nearly 80 per cent net on It's large M
vcstmeut Neither of these lines re-
ceives government assistance.
] believe that il will be necessary Tor
the government 20 Inaugurate the
American merchant marine. Al. the
talk about the government not being
able 20 operate the business except 40
loss is buncombe. Under proper
management the business viii be
profitable from the start. and it need
not conflict with any present American
steamship interests. Care will nave
TO be taken in the purchase Of steam
ers so that the government Will not be
imposed upon. Efforts have already
been made % sell ships 90 the govern
meut for much above their value.
Steamers that were offered three years
ago for little over 100000 are be-
ing quoted az 100000. 4 ship that
was sold few months ago for SILL
coo is being urged on the government
for S550.OOO.
Iu normal times hundreds of good.
scryiceabIc. second hand steamers are
offered for sale At this time. with
the large German merchant marine en-
tircly ont Of business and other ship
ping greatly curtaiied because of the
disturbance iu commerce on account of
the war. second hand steamers shoul j
be bought even cheaper than iu nor
NAL times.
The government should be able 20
buy q fleet of cargo steamers for about
az average price of 100000 each. This
should get vessels averaging about i've
years old and about 1000 tons gross reg
ister, which would give about 1000 tons
lightweight capacity. Vessels of tins
size would be handiest, especially Tor