Daily capital journal. (Salem, Oregon) 1903-1919, 1919-04-03
THE TARIFF IN A NEW LIGHT


(Dally Oregonlan.)
Attention has been eentered on Other
features of reconstruction TO Jne ex
elusion of the tariff, though it affect:
domestic production and export trade
relations with other nations, employ
ment of ships and maintenaaec OF the
merchant marine. The subject has hard
y been mentioned for three years, bat
the tariff commission has been quietly
ct work and has Illuminated the sub.
ieet SO well that it las overcome the
distrust Of congress and is now regarded
as a valuable aid in tariff legislation
The war has caused the tariff to bt
regarded from an entirely differcD,
point Of view by both parties. Repuh
heans formerly stood for tariff fol
protection, democrats for tariff fcl
revenue, but now both parties think Of
Ia tariff to promote foreign trade
though neither has formally abandoned
its former position. Republicans are
coming to see thEt prosperity must dc.
pend to a yearly increasing degree on
export Of surplus products and that We
cannot induce other nations TO open
their markets by imposing low tariffs
unless we make like concessions. Demo.
erats begin to see that the tariff ha,
become almost negligible as a source Of
revenue, and that it must be used as a
means Of bargaining for foreign mar.
kets, which cannot be done if it be 70,
.dueed to rigid revenue basis. Both
parties thus approach the same view,
point, but neither is wiling to abandon
entirely its old policy.
The necessity of economic indcpend-
enee as regards certain essential com,
modities has been impressed on demo,
Gratis. The blockade of Germany cut
off our su0ply of dyes and chemicals
and forced us to establish those indus
tries at home. Seeing the necessity Of
maintaining them, the democrats I'M,
posed protective duties. War found us
deficient in such important materials as
nitrates, phosDhetes, magnetic iron and
ehromite and it was necessary TO stimu.
late domestic production. As a matter
OF national defense this policy may be
continued. The benefit of abundant sup
plies of certain raw materials and part.
ly finished manufactures which can best
be procured abroad has been realized.
Republicans may be expected to swerye
from their protective policy in order TO
grain these benefits Thus each party
is likely to attach several exceptions
to its general principle.
Desire for foreign trade should cause
congress to study the markets and tar.
ifs of other nations before fixing new
schedules, and to rely on the tariff
commission for information. The tariff
may develop from a scav OF duties
actually to be collected into a basis
upon which to arrange reciprocity
agreements. Former administrations
have been handicapped by the practice
of making the same duty for all nations,
which left the president nothing to bar
gain with. Though he was authorized
to make reciprocity treaties, they were
subject to ratification by the senate
and, with rare exceptions, were pigeon
holcd, while the executives Of other ma
tions had full power to act President
Trait tried to overcome this difficulty
by seeking authority to grant reduc-
tions Of duty in exchange for conces.
sidns, but congress reversed his propo
sition by authorizing an increase of %
per cent in duties against countries
which unduly discriminate against us.
The present situation demands that the
president have authority, within limits
fixed by congress, to make concessions
below the schedule rates and to put
them in effect without further refer
enee TO congress A bargain Of this
kind, like amy business bargain, loses
its value if it cannot take effect for a
year Or two after it is made.