Evening journal., 1918-02-22
SHALL EUROPE nEcoup IN OUR MARKET

nlSCuSSlNG postwar export trade recently Geo. Ed.
OSmith president Of the American Manufacturers Ex-
port Association sad with the rest OF the world shar-
ing our domestic markets after the war we must ar
range TO share foreign markets with the rest Of the
world" He then goes to say these things which
should be Of interest to Delawareans
when peace comes II will bring its readiusment
which we must be prepared TO face with wisdom and
courage The domestic markets Of America will be
opened once more to foreign manufacturers the world
trade, which now invites us, will afford the warning
nations OF Europe the opportunity to rebuild their for
tunes. AT home and abroad the American business man
viii find himself engaged in a competition more ener-
setic than he has known before II therefore seems
to me to be inevitable that Of two things must
happen either the nation must resign Itself to poeketng
its war profits and permit its markets, domestic and
foreign to be divided by other nations or It must de-
ermne to create markets itself to take the place
Of those It is destined 30 lose The first contingency is
not pleasant to contemplate. The minute nation ceases
TO 80 forward it begins to 80 backward II the people
Of the United States approach the end Of the war without
definite plans 70 the acquisition Of new markets and
The business Of the country returns to the maximum
established before The war, present prosperity will
disappear quickly It came There is a way, clear
way, for the United States to avoid the economic dan
gers Of tomorrow. The loss OF markets which we can
foresee may be countebaanced by the creation Of
markets"
To Just what extent Mr. smith would have the rest Of
the world share domestic markets he does not make
known. Would he have It done under what Senator
Underwood called competitive tariff" en- expression
which nnds favor with the present tariff commssionY
It would seem that the ten months lesson we received
under the present tariff law inst before the Eurtpan
war broke out would incline him against such method
Of sharing our domestic trade The American business
man expects more energetic competition after the war
than he has known, but he cannot AFFORD to have
European nations rebuilding their fortunes in our home
market.
Nor it clear that Mr. Smith has discovered the con
trolling factor in assuring our postwar prosperty We
exported s4O5iOOOOOO worth OF goods to Europe last
year, compared with s5O0OOOOOO the year before the
war. Everyone knows the reason for that Comparing
1917 with 1918 exports to North America increased
from s6OiOOoOoO to si2s5OO0OOO; to South America.
47OO0OOO to s320ooOOo; to ASIA s2si 100000 to s4si
100000; to Oceana s35O00OO to siiIOOOOOO Every one
knows the for that on the other hand imports
from si793oO0OOO to S2952OOoOOO the two years
compared Now great deal Of The export trade must
Of necessity, be lost when Europe at peace and the
rest OF the world trade with Europe
TWO things are to be borne in mind; Europe must
recoup herself through the sale OF her manufactures
selling at the smallest possible margin OF profit In
order to keep her army Of aborers employed and
10 pay the interest her debts and except for
and structural materials Europe wiz be very good
customer for Second. II the bars down to Eu-
ropean competition in this country. Il VIII result such
Gripping OF mills greatly to increase the unit
cost OF production, which requires full time at maximum
production to reduce TO a minimum IT. added to our high
wage scale have production costs Increased by
tailed operation. how develop foreign markets
IN competition with Europe. The best assurance Of
postwar prosperity IS the simplest protective
tarin which viii preserve to US markets from
which we extend into other fields