The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-07-01
DANGER IN BRITISH
PREFERENCE TRADE
Manchester "Guardian" Issues
Warning Against Scheme for
Self-Sufficing Empire.

A valued correspondent of THE SUN
sends to the Canadian Section the fol-
lowing query pertaining to a matter OF
high importance-inter-em prefer
entail trade:
Does the following extract from the
Manchester Guardian voice the senti-
ment Of Great Britain on this important
subject?
1.-THE immediate effect Of the prefer
ence Is the loss of three millions to the
revenue in full year and the support OF
a noxious notion that 1t is desirable and
possible to work toward the realization
OF an isolated self-suficing British EN-
pire. Economically its mischief Is not
fully realized in the present measure.
But II. as Mr.. Chamberlain contends
this rs the beginning of a great scheme
Of imperial development. says the Man
chester Gudrdtdn, we can only insist
that II lie an endeavor to waste the re-
sources Of the empire by trying to force
them into certain special uses and to in
jure our subsistence and Industry by
restricting the variety of sources of sup
ply for foods and raw materials. But
there Is another incident in Mr.. Cham
berlain's plan which deserves comment.
He has used this preference to maintain
the war import duties put upon clocks.
Aims and certain other manufactured
articles nominally In order to discourage
unnecessary expenditure and to assist
foreign exchange. All empire prefer
ence amounting to one-third OF the duty
is given on these.
"'For the moment such a preference
is meaningless. for except for some quite
trivial manufacturers from Canada 1t Is
impossible that any Of these articles can
come from our possessions. But the
preference will have to maintain this
beginning of protective tariff on our
manufactures.
Political Effects of Preference.
More Immediately mischlevous will
be the political effects OF preference.
1t will suggest to suspicious world
that this country is moving toward a
general protectionist policy, which will
deprive foreign nations OF equal success
to the great supplies OF materials which
our empire contains, and the hitherto
open markets for their goods in this
country and our possessions. Even the
little preference In this budget will act
like pin pricks in the sensitive skin
of foreign nations who see Great Britain
issuing from this great struggle with
large, new rich Jumps OF the world In
her possession.
France and Spain and Italy will
not like to see their wines taxed more
heavily than the Australian and Afri.
can. Nor will the United States be
pleased with the discrimination in favor
of Egyptian and Indian tobacco. The
retention OF taxes upon certain manu-
featured luxuries will be taken hardly
by France and Italy. whose need for
profitable export trade will be very
urgent,
, but more Injurious by far Is the
general bearing of this discriminating
tariff upon the great issue OF peace and
the internationalism OF the League OF
Nations. Every student OF this scheme.
continues this paper land Of the idea
1t embodles knows that its success or
failure depends upon the effective real
ization throughout the world of equality
OF economic opportunity more than upon
any other factor.
1T is. therefore. nothing less thar
lamentable that within a few days OF
our setting our seal upon this great paci-
fc instrument we should violate It.
equalitarian spirit by this discrlminat.
ing tariff. For nobody can for one mo-
ment suppose that the nations allied with
us now or in the future in this great en-.
terprise OF the league can possibly &C.
quiesce In a project which developed
along the lines foreshadowed by Mr.
Chamberlain and his supporters. which
signify the monopoly for this country OF
all the best natural resources of a large
number OF the richest countries OF the
earth and closing of the free markets
of this country and the empire to their
exported manufactures.