The evening herald. (Klamath Falls, Or.) 1906-1942, 1916-08-07
THE PARIS PACT

IL lens which will grow out Of the
European war, in its importance to
the people of the United States. is the
problem to'be found in the Paris Econ
omic Pact entered into by the allied
powers in June last This pact pro
poses ~ to devise joint means to Sc.
cure 10 countries suffering from acts
Of destruction and spoliation Of their
raw materials. plants. etc. the restora.
ton of the same, or to assist them to
re-eQuip themselves in these respects /:
(2) conservation for. and interchange
between, the allied countries OF their
natural resources: (3). denial to the
central powers for a period to be fixed
of most favored nation" treatment: !:
(D. protection against dumping" by
the central powers. The foregoing are
contained in the plans adopted for
what Is known as the reconstructive
period. Under the heading of per.
mament measures Of mutual Assist.
ance" the allies will take steps: ~. to
render themselves self sufficient in re-
gard to raw materials and manufac.
tured articles essential to the normal
development Of their economic activ.
tiles, which may include subsidies. or
government direction and control. Gus
toms duties or prohibitions, or to com.
binations Of these methods; (2), to ia
cilitate and improve the interchange
Of their products; (3), to assimilate
laws governing patents. trademarks.
ETC., and for the adoption of an iden.
tical procedure in regard to same.
Measures quite similar have been
agreed upon by the central powers.
While it is an economic fallacy to
suppose that any measures taken to
enforce absolute non-intercourse be-
tween nations formerly at war can be
enduring in their character. certain 1t
is that for some years following the
present struggle, which had its incep-
tion in trade jealousies. commercial
intercourse between the allies and the
central powers will be fearfully cur.
tailed. What, then, must be the effect
OF these pacts on the industries of the
United States? With the two groups
Of nations now at war adopting a post
bellum policy of commercial non-inter.
course, there can be but one result, un-
der a democratic near-free.tariff law.
They will consider the United States
their best customer, and will proceed
to unload on our market In their ef-
forts to drive each other out OF this
market the two groups will start to
each other under the very
noses Of American manufacturers. This
may continue until our industries are
our laborers are subjects of
charity. and the poverty of the coun.
try has reduced us to point where
we are no longer good customers of
The competing groups. and probably |
about that time these pacts will be.
come utilities.
In recent address. Frank A. Van
1erlip declared: I'VE must buy
abroad an increasing volume of things
hat we can never economically pro.
luce. We must pay for them in goods,
md 1t should be our ambition to pay
or them in finished goods which rep.
the higher achievements Of
abor. rather than In raw materials"
Mr.. Vanderlip sees the evolution of
he United States from an agricul.
ural to manufacturing nation. The
greatest need Of Europe will be raw
materials. The countries most needing
hese raw materials are our keenest
ompetitors-Germany and Austria. II
'ermany buys our coal. iron. copper,
otton. ETC.. and. under q democratic
arih law. is permitted to run our man.
facturers out Of business. the dream ,
Mr. vanderlip will never be realized. ,
We will become hewers Of wood and /
rawers OF water, The re-eQuipment I
countries which have suffered from :
poilatioD. means that Belgium, our ,
reat competitor in the glass industry, !
to be made industrially whole, and .
ne Of Our greatest enterprises will :
rect competition which will make the :
'mpetition Of past years like mere :
oild's play. =
The democrats enacted a tariff law c
hich opened this market wide to the v
atoms Of the world. The democrats n
It the seal Of approval on that law n
their st. Louis platform. In face of II
% fact that commercial conditions n
o world over are undergoing Q revo- D
ton, the democratic party refuses to fc
'dge from its policy Of q tariff for Fl,
venue only. II we are to be com. F
srcially prepared. after the European to
y. ws must have republican admin. +
ration. Il