The Washington herald., 1921-03-02
IL KNOWLEDGE
TRADE POSITION
pST GUIDE TARIFF
erwise u. s. Will Not
ene6t, Declares New
York Bank.
BE MOVES. URGED
ign Trade Too Heavy to
fisk by ILL., Considered
Laws, Says Firm.
BE MOVES. URGED

.
iomplete understanding Of to-
world trade situation, unin-
ed by any provincial or politi-
ews. must guide the course Of
srif legislation now pending
Bngress II the United States
benefit In full measure from
osition as creditor nation Of
Forid. according to the cur
ssue Of american Goods and
IN Markets. the international
survey Of the Guaranty Trust
iny Of New York. The bank
lsizes the dangers of plans
imply commercial isolation.
Z temporizing devices which
be to hamper the free world
movement Of the great staple
laterials and food products. 1t
IN part:
emergency tariff act that has
/ both the House and Senate
\ present session. but seems
Ply to become q law, cannot
D to reflect any clear appre-
Of the present world situa-
Ind the new relations which
htted States now hold in in
NAL trade and finance.
eaynents Out of Question
time when vast debts are
lby foreign countries to the
States-debts that are so
that the possibility of pay
IN gold Is out of the question
q matter of concern that 1t
be seriously proposed to erect
lnal heavy barriers to such
ut as might be made through
lportation of foreign raw ma
food products and manu-
ID commodities.
e the unfortunate position OF
OF agricultural products, in
behalf this legislation is
urged, may be fully recog-
!, II Is still difficult to see in
respect the imposition of
can help them materially;
IL Is certain that the effect
he welfare of the nation as a
cannot fail to be seriously
!. There is no certainty what
bat domestic markets can be
lted by tariff exclusion of for
pods. nor that domestic prices
hereby be appreciably en-
II Canadian and Argentine
II for example, are excluded
he United States. it is clear
lfs surplus will then compete
Hgn markets with our own
Exports. with a resulting dis
kge to that trade which would
Isl effect any supposed advan-
tained in the domestic mar
he chilling effect of the loss
1gn markets upon our do
n |Fndustries will certainly be
|k h a lessened demand for
n materials here, and this In
GhA tend further to depress
ees received for such mate
Dur farmers and cotton grow
ipecially, should remember
ply as Europe's purchasing
Is restored will she be able
.he surplus products of our
Ind that there is more to be
retarding the restoration Of
5 purchasing power than is
hine6 by tariff differentials.
Stakes I'm Foreign Trade.
United States. with exports
lo,o0o.000 in 1920. and with
fegate favorable trade bal
kceeding $4,000. 900, 900 for
seven years. now has a very
btake in foreign trade, too
b ignore or to risk by uneco-
: pr ill-considered legislation.
fas never a greater need for
bpread recognition by the
. bf the United States of the
: asic principles of trade. 1t
, hatic that. in the long view,
; must prosper commercially
her nations. and not at their
buying in international
be must approximately bal
bling, either through ex-
of goods or services, or
BON lags and finally ceases.
bted trade relations cannot
Indefinitely.
/ ppited States has a wealth
y bducing capacity so much
than any rival that the dis
4 that is being made in some
Of a timorous attitude to-
reign competition is to be |
regretted. The ADJUST
hat must be borne in the
, tates due to falling prices
|. hewed foreign competition
painful for . time, but they
r lly inevitable. They may
, be postponed a little, but
d End IL is certain that they
endured. Any attempt to
!. ich readjustments by poIiti-
J runs must finally fail of its