The Hawaiian gazette., 1916-08-08

that of London. One of the direct con-
sequences of this inequality between
Russia 3 commercial custom will be ir.
resistibly drawn to Germany and Aus
tria, and away from Great Britain.
For Russia 3 industrial and commercial
requirements could then be much more
ing power of the Russian rouble will
named countries, because the purehas-
cheaply supplied by the two first
be greater in the Central Empires than
in Britain and France. Machinery, for
instance, which would cost 10000
pounds) in Manchester, would be OBJ
tainable in Stuttgart or Chemnitz for
about $500 pounds) worth of rou-
| bles.'
American merchants having ambi-
tions for Russian business after the
war may find DR.. Dillon 3 prophecy use
full.
The chief point of contention which
has arisen in the discussion of the Mid
lie Europe bund has been the sensit,
iveness of Austria Hungary, and par,
ticularly the Hungarian faction, regard
| NJ possible domination by Germany
| over the economic life of her sister EN-;
| Dire. The Vice President of the Aus
trian Reiehsrath, Herr Sylvester, has
presented the other side of the picture
He said:
Body Blow To Free Trade
"Experience has brought home to US
the fact that military and economic
problems are 80 intimately related t.
'ach other that they can be solved only
together. And az on the military front
there can be but one guiding idea fol-
defense and attack, if success is to bC
achieved, and as tactics, organization
and munitions for the campaign have
to be prepared in peace time, it be
hOOves the two empires to be similarly
organizing in the economic domain dur
ing the progress Of the war. 1t is alb
solutely' necessary, therefore, that thu
service of communications, the fnan
.ial affairs, social legislation, and on
Citations with foreign countries SHOULD
be settled betimes in like fashion"
Free trade allegiance in Britain i
by no means dead, although the wa
! has dealt a body blow. The Man
hester Guardian, the Westminster Ga
L"ttc, and the Economist, all Influential
r journals, remain loyal. The Spectator
. once the citadel of extreme free trade
, has undergone some revision of detail
of its creed. The editor, Mr.. ct. LO
Strachey, now cOncedes-with mos
, free traders Of this transition periO
. that nation must preserve thos
f industries necessary to its existence i
, fetal respiration are necessary to SUI
0 tain their breath during the norma
r time of war, even if measures of art
times. There is much disc ussiOn Q
/ "key" industries, term which ha
a nronrmic dnhatn
Z Advantage To Neutrals
The Economist discussing the agiti
A ion for transferring the hostilities c
the battlefield 10 the factories, presen,
4 figures to prove that Germany has bee
Britain s best customer in Europe fC
A some years past The Westminist6
Gazette follows the same line, saying
ave do not realize that the two pre-
= cesses are identical; we think of &c
: many trying in vain to send her g0oC
,, here and being refused, and of Gret
: Britain proudly refusing to send he
! goods to Germany, though begged to d
u 80. We cannot prevent German good
T. from coming to this country withor
, also preventing British goods from G.
ing to Germany, and we cannot infi'
j. Il blow on the German trader VIII
T. trades with us, without also inhictin
$ u blow "n the English trader VIII
J. trades with Germany"
+ And the Westminster indicates omeI
" of good cheer for Americans in Il pro-
r port which might at first glance seer
= a dark one. "In the meantime a fc'
g ncutralS such as the United States,
it says, (which were powerful cnung
to remuin Independent. would have tn
= advantage of trading with both camp
G and might easily run ahead of the n;
tions in either camp"
= Altogether the construction Of
: Europenn commercial bund appears I
e give is engineers difficulties besid
n which the application Of the old Anne
e irnn reciprocity policy Of james {
o Blaine was mere child 8 play