Capital journal. (Salem, Or.) 1919-1980, 1921-07-27
Sidetructing the Tariff

President Harding has nterfered again with the program
adopted by congress and sderacks the tariff bill IN
taxrevision legislation Similar action by his predecessor
would have been styled unwarranted dctaonthe differ
ence however being that President Wilson would have had
denate constructive program to offer and bills embodyng
his ideas drafted whereas President Harding has no defnte
program to offer but leaves congress to draft It's own
measures
However congress has been following previous suggestions
of President Harding in tackling the tariff first The
executive early in his term requested immediate consider
alton of tariff and desired that it be out of the way
before The change in plans is due to pressure OF
public opinion to which the president is most responsive
AS matter of fact, the Fordney tariff bill has aroused
enthusiasm among republicans, and there are lew
republican newspapers regular enough to swallow 1t without
protest Only its benefcaries pleased is an attempt
restore conditions of quarter of century ago wcn
have forever passed awaya to the days OF Mark
Hanna and large element of the party in silent revolt
over it.
When the tariff was an ISSUE conditions different
and the adoption of high protective duties will have very
different effect from what they had hen Prior 20 tne W
the United States debtor nation and its export trade
unnportant Today the situation is altered The United
States has become leading creditor nation OF the world
and tariff law will seriously interfere with export aoe
and demoralize commercial and industrial lie. ,
Before war; Americans owed for six billion OF borrowed
European capital necessitang hundreds OF millions
interest being sent abroad annually Now TINS
captal has returned and in addition over SlOOUooo
900 loaned the allies and interest or principal must oe a
in goods ALL Europe cannot buy our surplus unless
turn we buy products and decreased imports always
result in decreased exports Commerce is only the exchange
Of goods between countries and is always reciprocal
The business stangnation is not due to the flood OF foreign
goods competing with American products for IN large
part our imports noncompettive goods and 1t IS ndu
tries represented by some of these, sucn as ruDDe anu
coffee in which the depression is greatest While hgn
tariff may required articles, there notmng IN
the economic situation to justify the erection OF ngh tar
wall that will isolate commercially
Nor is there any justification of the scheme OF American
valuations which permits favored industries TO pro1teer anu
fix their own duties by the manipulation OF nef own pe''
n has been aptly described protection gone mad
There not and has not been popular demand lo
high protective tariff, but there is and has oeen an
demand for revision of taxation that will ease the ourue
which is sitting industry In reversing his position on ~
tariff as well as upon disarmament President Harong Is
to be commended for having his ear TO the grouhu r.,
Conditions have been growing worse ever since MI al
ngs election because the treaty OF Versailles was eJee
and the peace of world left unstablzed Nothing con-
and the nation is drifting without constructive