New-York tribune., 1921-12-15
Senators Hear
Objections to
Flexible Tariff
Shoots Reply to Opposition
of Wool Manufacturers
Is Harding Plan Is Need
ed to Expedite Business
Clothing Maker Speaks
Says 10000 Tax Is
Put Upon People to Help
Output of sos, 900, 900

WASHINGTON, Dec. 14.--President
Harding's proposal to Congress that he
be given authority to adjust tariff
rates as changing conditions might
warran. Is "altogether impracticabIe
and undesirable" John P. Wood, presi-
Wool Manufacturers, declared to-day
before the Senate Finance Committee
at hearings On the wool schedule in
the permanent tariff bill.
Such a plan, MIR. Wood said, would
keep industries sin state Of unrest
at all times" and would result in con-
stant pressure for changes in rates
being brought to bear on the President
and the Tariff Commission, which,
under Mr.. Harding's proposal, would
recommend the changes in rates to the
President within the limitations Of
maximum and minimum figures to be
fixed by Congress-.
"Any plan that takes out OF the
hands of Congress the power to fix
rates for definite time would be un-
settling 60 business Mr. Wood con-
tinued. "There would be constant
hearings before the Tariff Commission
and we feel that che commission would
make no more rapid progress in reach
ing decisions than the Interstate Com
nerce Commission makes, and every
body knows how fast that is."
Smoot Disagrees
Senators Smoot, Of Utah, and Wat
son, of Indiana, Republican members
Of the committee, differed with Mr..
Wood, arguing that the plan proposed
would result in less uncertainty for
business in this country than would
otherwise. follow the liquidation in
Europe and the changing values Of
currencies abroad. Senator Smoot de-
ciared that under present conditions
Congress would have to delegate au-
thority as to tariff rates in some such
manner as suggested by the President.
While agreeing that business here
would have to suffer some measure OF
Decentralization because OF conditions
overseas, Mr.. Wood said he did not
believe present conditions would last
as long as some students thought they
would.
In q formal statement read to the
committee, Mr.. Wood suggested that
the entire wool schedule in the Ford
ney bill be rewritten on the old grease
basis instead Of on the basis Of clean
secured content and that higher COM
pensatory rates be granted on manu-
factures Of wool. He did not suggest
any specific basis rate on raw wool,
saying merely that his association ad-
vocated "wool duties adequate TO pro-
Sect the domestic industry OF sheep
husbandry" He approved Of the Anne eri-
can valuation plan as the "onty feasible
manner suggested to offset the de-
preciating foreign currency.
Protesting against the basic rate Of
twenty-five cents a pound on clean raw
VIII Wiiam pS0eoIddn Goldman, s"c clothing manu- "
facturer of New York, said that it
would "mean tax Of $250,000,0o0 on
the annual clothing bill of the Ameri-
can people in order to protect the wool
growing industry with an annual out
put valued at s65, ,0oo,0 ,0o0."
Senator Smoot took exception to Mr.
Goldman's figures and charged that
whatever profteering was done was not
done by the growers. He thought re-
tailers were responsible for much Of
it, but Mr.. Goldman denied that they
we're profteering.
Inc nnance coHlhllttee was asked oy
the Carded Woolen Manufacturers AS
socistion, through Samuel S. Dale, to
revise the wool schedule by having ad
valorem rates instead Of specific. rates.
Tariff duties sufficient to enable
American manufacturers to continue to
pay weavers Of Chenille, Administer
and Wilton rugs and carpets 5000 a
month, or double the pre-war wage.
were asked by Henry /. Magee, who
said he spoke for the American Carpet
Manufacturers committee.
Mr.. Magee testified that present
prices of these rugs and carpets were
double pre-war prices, but about 43 per
cent below the peak prices Of year
or SO ago. He said that wages now
were 20 per cent below the postwar
peak.