The Hawaiian gazette., 1916-08-08
ECONOMISTS Plan
WAR AFTER WAR
Schemes Discussed For Group.
ing Nations Into Permanent,
Hostile Alliances
Complications Are Many How
ever, and Dream of Trade Feud
Suffers Brief Career

!
ly proposed by extremists in both
camps that the two groups Of warning
powers be consolidated into permanent
and hostile commercial alliances. The
realization of such, visions must vitality
affect the interests of all neutral trad.
ing nations, and of none more than the
United States.
So many complications in the path
way of this "war after the war; are
discovered by business men and ecOno-
mic writer's that the dream Of a last
ing blood fPud of trade may suffer a
brief and unmOurned career. But states
men in both European groups are dis
cussing how each may nse treaties and
tariffs, after the yet distant peace con.
! ference, to get the upper hand in com,
| merce, when the soldiers have beaten
their swords into plowshares and yard.
sticks.
Export duties, import duties, prefer
! ential tariffs, and "most favored ma
ton" clauses, are being woven into
new combinations, on paper, and these
torn to pieces and arranged in newer
patterns as the probable defects of each
scheme become exposed. Incidentally
the British system of free trade, be-
cause of which, or in spite of which,
as the case may be-Great Britain has
become the richest of European nations.
and able to finance much more than her
share of the great war, is being handled
irreverently even in the house of its
strongest friends. That agitation, also,
contains possibilities which must be in:
teresting to neutral states.
Permanent Trade Scheme
Great enthusiasm is displayed by
British protectionists over the results of
the economic conference of the Entente
Powers-held in Paris. The conference
was projected first, according to general
understanding for the purpose of devils
ing plans to strengthen the blockade
against the Central Powers. After
ward its programme was expanded to
include a practical reply to the Ger
man movement for a Zollverein of Mid,
die Europe The platform issued to the
pubic laid down the principles OF a
| programme for a commercial alliance of
the allies, for the period of recOnstruc
Cion following the war, and also for q
permanent preferential trade scheme.
This campaign for what the West
minister Gazette terms az mutual boy
colt" by the two families of European
nations first came before the public
when the German minister of finance
with certain colleagues, visited the
austrian capital, according to reports
t. breach the subject of commercial
union. The conception of the " Nit
tel Europa' bund was launched in a
look of that title by Professor Nau
| 90; u IL
wide circulation throughout Germany
md also Austria. 1t proposes Zoll
! verrin of all the. states of the centra
group, gathered into a, self-sustai nj nl
commercial empire, stretching from
he North Sea to the Persian Gulf
The professor demonstrates that sucl
combination might be nearly self
supporting in the matter Of the sup
ply Of foodstufTs and raw materials TO
manufacturing, and be enriched by thu
trade among its own members in thes
,cmhnntions as we'll as in manufac
lures.
Diplomatic Complications
The Importance of these combine
lions to distant neutral nations. hk
the United States is topic of argu
ment. Their erection would depen
upon free trade or preferential tariff
between their members. That nece'
Sarily would abolish the most favOre
nation clause in existing treaties. Fo
he small neutral nations of EuTOp
he difficulty Of remaining outside on
. " the other Of the great groups wOul
" created. The Scandinavian cOuI
( tries, Holland, Spain and Switzerland
b NOMd he under the pressure of varyin
T geographical forces, and perhaps q
7 such trading regulations as are bein
'X"rcised by the belligcren; powers
prevent the smaller nations from hell
ny enemies.
, Craftsmanship and diplomacy cOul
hardly be confronted with more con
olications than these proposed trad
unions present From the standpoiI
& If geography the Middle Europe con
} Dination appears more logical an
4 workable than one consisting of Bri
{ ain, France, Italy, Russia, Japan an
) the great British colonies and the d
y p"ndenci"s Of Australia, Canada an
India. Beside the geographical hand
t APPS, which for the Entente natiOI
would mean diverting much Of the
commerce from the natural channel
there il the problem of reconcile
, their divergent GscUl system. Grei
} Britain is II free trade country; mo
# her allies are strongly projections
Will" the British self governing d
H. miniOns of Canada and Australia exc
Il ~" the right Of maintaining protc
J tive tariffs against the mother countr