The Idaho Republican. [volume] (Blackfoot, Idaho) 1904-1932, 1921-01-10
THE TROJAN HORSE
OF AMERICAN TRADE

! WASHINGTON, Jan. 7.-"When-
ever tariff legislation is under con-
sideration in congress the adequate
protection of American industry is
made more difficult by the fact that
large financial interests in America
are directly allied with the foreign
interests which desire free entry into
American markets. declares the Re-
publican publicity association thru
its president, Hon. Jonathan Bourne
Jr. These interests antagOnistic to
American industry are of two diff
ferent kinds: First we have the
American importers of foreign goods
who desire to secure their commod-
tiles at the lowest possible price, and
reap the largest possible profit by
the sale of those goods to the Ameri-
can consumer. Second we have
American financiers who have made
large investments abroad and who
desire to make collection of their
credits more easy by the shifting of
the balance of trade more favorable
to foreign countries.
I During the European war Ameri-
can manufacturers, particularly OF
war materials, made extensive sales
to the allies these sales were made
at war time prices and largely on
credit. The credits were carried
largely by the bankers-bankers On
the class usually designated as in
ternational bankers. These interna-
tional bankers are finding difficulty
in collecting money due them be-
cause the balance of trade has been
running so heavily against European
countries. The debtor wishes to de-
fer payment until the rate of ex-
change can be brought to a more
normal ration, and this can be &C.
complished only by an adjustment of
foreign trade more favorable to
European countries. Larger ex-
ports to America and smaller imports
from America are desired by Eu-
ropean countries in order that they
may pay their debts with goods
rather than with money.
ut will readily be observed that
the interest of the International
banker is practically identical with
that of the European producer But
it will also be readily apparent that
the interests of the American pro-
Queer are adverse to those of the Eu-
ropean producer. Every yard of
cloth manufactured in American
mills is by the government of Ameri-
can labor and the use of American
capital. Every foreign commodity
of any character sold in America
means the displacement in our mar
kets of similar quantity of the
same commodity produced in the
United States
"Manifestly the United States can
not go on indefinitely selling to other
countries more than it buys from
them in goods or in services. There
must sometimes be a balancing of
accounts. Recognizing this, no one
asks that there shall be a bar raised
against the sale of foreign COM
modities in the United States. The
most ardent protectionist does not
demand the enactment of prohibitive
tariff law, but there has always been
demand among Republicans and in
recent months among Democrats as
we'll for the enactment of tariff
whose schedules shall be based upon
the principle of the imposition of an
import duty which shall equal the
difference in cost of production here
and in foreign countries. We are
willing that European and Asiatic
Countries sinai snip US some goods.
We are not willing that they shall
send them at prices with which the
American producer can not compete.
American protectionists have no
war to make upon the International
banker who has financed sales to
European countries. 1t is desired
hat he shall collect every dollar that
s. due him But, on the other hand,
he American people will strenuously
oppose the continuance of an eco
ionic situation which permits
'oreigner to market his products in
he United States at prices which are
'uinous to the American competing
producer. While the international
banker is solicitous for the welfare
# the foreign producer, the Ameri-
IAN banker, who has financed
American industries, is also anxious
hat nothing shall be done that will
ring ruin to American factories and
unemployment to Ameri-
an labor -