New Britain herald., 1919-12-02

i agant expenditures and produce in ! duStrial siagnatlon, Wlth coliSeHue''. 1 uuemployment and other attendant , evils.
 ! The problem is not an easy one. A ] Fundamental change has taken place 1 with reference to the position of Am ; erica in the worlds affairs. The preju- 1 dice and passions engendered by de- cades of controversy between two schools of political and economic
 thought-the one believers in protec-
 ton of American industries, the other
 believers in tariff for revenue only
 must be subordinated to the single
 consideration of tho public interest in the light of utterly changed conditions.
 Before the war America was heavily
 the debtor of the rest of the world and the interest payments she had to
 make to foreign countries on Amerl- can securities held abroad, the eXpen-
 ditures of American travellers abroad
 and the ocean freight charges she
 had to pay to others about balanced
 the value of her pre-war balance ot
 trade. During the war Americas eN-
 ports have been greatly stimulated and
 increased prices have increased their value. On the other hand she has ppr- chased large proportion of tlre American securities previously held abroad, has loaned some $9,000,O ,O0O,-
 900 to foreign goVernm ents and has
 built her own ships Our favorable
 balance of trade has thus been greatly increased and Europe has been de-
 prived of the means of meeting, 1t
 heretofore existing. Europe can have only three ways of meeting the favor able balance of trade in peace times.
 Financial Situation.
 By imports into this country of gold
 or of goods, or by establishing new
 credits. Europe is in no position af the present time to ship gold to us, nor could we contemplate large further imports of gold into this country
 without concern. Tho time has nearly
 passed for international governmental loans and it will take tim to develop in this country a market tor foreign securities. Anything, there, which would tend to prevent foreign coun- tries from settling for our exports by shipments of goods into this country
 could only have the effect of prevent
 ing them for paying for our exports and therefore of preventing the ex- ports from being made. The produc-
 tivity of the country, greatly stimu-
 lated by the war must find an outlet
 by exports to foreign countries, and any measures taken to prevent imports will inevitably curtail exports, force curtallment of production, load the banking machinery of the country with credits to carry unsold products and
 produce industrial stagnation and un-
 employment If we want to sell, we must be prepared to buy. Whatever, therefore, may have been our views during tho period of growth of Amer icau business concerning tariff legls- lation we must now adjust our own economic life 10 a changed condition growing, out Of tue fact that American business is full grown and that Amer ica is the greatest capitalist in the world. ~ ..: u.
 No policy of isolation will satisfy the growing needs and opportunities
 of America. The provincial standards and policies of the past, which have held American business as if in strait jacket, must yield and give
 way to the needs and exgencies of the new day in which we live, a day full of hope and promise for American business if we will but take advan- tagc of the opportunities that are ours for the asking. The recent war has ended our isolation and thrown upon us a great duty and responsibility. The United States must share the expand ing world markets. The United States desires for itself only equal opportunity with the other nations of the world and that through the process of friendly cooperation and fair compe- tition the legitimate interests of the nations concerned may be successfully and equitably adjusted.
 There are other matters of import
 -I,; |, r otS I,c
 last session of congress which are
 still pressing for solution. I am sure it is not necessary for me again to re-
 mind you that there is one imm ediate and very practicable question result
 ing from the war which we should
 meet in the most liberal spirit. It is a
 matter of recognition and relief to our soldiers. I can no better than to quote from my last message urging this very action.
 Would Aid Soldiers.
 We must see to it that our return | ing soldiers are assisted in every prac- ticable way to find the places for which they are fitted in the daily work of the country. This can be done by developing and maintaining upon an adequate scale the admirable organi- zatiOn created by the department of labor for placing men seeking. work; 1 and it can also be done in at least one l great field, by creating new oppor- | tunities for individual enterprise. The l secretary of interior has pointed out ] the way by which returning soldiers { may be helped tC find and take up l land in the hitherto undeVelOped re- 1 sions of the country which the federal 1 government aas already prepared or l can readily prepare for cultivation 1 and also on many of the cut-ovcr or 1 neglected areas which lie within the 1 limits of the older states; and I once