Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1915-08-23
NEW ECONOMIC POLICY
ANNOUNCED BY M'ADOO
1t Looks to Greatest Possible Reel
procity With Central and South
American Republics.
WILSON is FOSTERING PLAN
Machinery Will BE Set in Motion at
Once That President May Have
Facts Of Trade Relationship to
Lay Before Congress.

w S H NC n. August 22.-The
largest possible measure of reciprocity
between the United States and Central
and South American republics. is the
new economic policy OF the administra-
ton officially announced to-day.
statement issued by Secretary Nc
Adoo says that tho machinery intended
to bring about this important reciprocal
relation between this country and the
republics named will be set in motion
at once at the request OF the President
a complete report will be submitted
to him as carly rs possible. The Presi-
dent will transmit this report to Con-
Eress with his recommendations. and
thus open the fight i'm Congress for a
larger and frecr trade relationship be-
tween all the American republics.
WILL GREATLY ENHANCE
TRADE AND COMMERCE.
| The President believes that by this
reciprocal arrangement the trade and
commerce OF all the interested nations
can be greatly enhanced. the prosperity
| of each country increased and closer
commercial and political rotations cs-
! tabl!shed This policy, coupled with Il
renewal Of his efforts TO enact ship
purchase bill. promise to be the two
great administration measures in the
next Congress. of highest domestic i'm
| portance.
AT the request of the President, the
Federal Trade Commission, as a neces-
| sary preliminary to legislation. will
make n thorough investigation Of the
| tariff laws and customs regulations Of
Central and South American republics.
and this inquiry is expected to lay the
| foundation for the development to their
| natural fruition Of the reciprocal agree
mcnts mentioned
| The commission will make a search
ing study OF all the artificial barriers
raised by adverse laws and regulations,
both in this country and abroad. that
hinder the expansion of American COM
merce with the republics Of the West
ern Hemisphere. Such recommends
tons AS the commission believes will
successfully remove these obstacles and
| establish reciprocal trade relations, will
| be submitted TO the President
In addition 10 the cooperation Of the
Treasury Department and the Inter-
national High Commission, provided for
! by the recent American financial
mission will have the assistance OF the
departments OF State and of Commerce.
through the commercial attaches and
IN. diplomatic and consular officers of
the United States in America
AUTHORITY IS GIVEN IN
MoNS-UNDERwooD LAW
Authority for this inquiry is given
in the Simmons Underwood tariff law
/ OF 1918. which provides that for the
purpose OF readiUstinS duties on i'm
. ports and AT the same time TO encour-
age the cxpor; trade Of this country,
f. the President is authorized and en-
powered 10 negotiate trade negotia-
lions with foreign nations wherein
mutual concessions are made locking
toward froer trade relations and fur
/ ther reciprocal expansion OF trade and
commerce" Whatever agreements are
made. however. must be ratified by
Congress before they become operative.
: 1t is not improbable that when Con-
Ercss comes 10 the consideration Of
! these reciprocity agreements to which
| The administration in this announce
mcnt OF Secretary A1cAdoo has COM
mittcd itself. il also Will give serious
consideration TO q number OF the rates
in the existing tariff law. which many
observing party leaders believe. in view
of the present unusual conditions in
| Europe, should be revised. Among
other things. 1t is understood n de-
termined effort Will be made to repeal
| the section OF the Democratic tariff
| placing sugar on the free list. Advo-
Gates of this plan urge that sugar
| should continue TO paw the reduced
rates carried by the Democratic law
during the period between the passage
| of that act and the date upon which
sugar automatically will go on the
| free list.
| The inquiry by the Trade Commits
sion now proposed was suggested to