New-York tribune., 1921-10-24
Retailers Vote
Disapproval of
Valuation Plan
Directors of National Dry
Goods Association Say
This Part Of Fordnev
Bill Would Hurt Trade
Foresee a Rise I'm Prices
Clause Would Delay Return
of Prosperity and Ham
per Farmers, Is Charge

The American valuation" clause of
the Fordney tariff bill has received the
unqualified disapprova of the directors
OF the National Retail Dry Goods As
scciation, "as menace to the future
prosperity of the country" and a
recommendation for vigorous and i'm
mediate oppos ition" has been made by
that body, according to a statement is
sVed yesterday from the headquarters
o. the association.
The National Retail Dry Goods AS
soclation, which represents more than
2,20O of the leading retail stores of
the United States, employing approx
mately 100000 people and distributing
in the aggregate nearly $2,O00,O00 900
worth of commodities yearly, declares
in its statement:
I'VE fully recognize the wisdom of a
careful revision of the existing tariff
law in order to insure an ample pro-
tective tariff fo- American industries
on a basis which will foster domestic
manufacture, SO as 90 insure oppor-
tunity and prosperity for the American
factory and mill operative but we be-
not necessary to such protection"
Able to See Both Sides
The directors of the association call
attention to the fact that the retailer,
by reason of his position as a dis
trbuter, rather than a producer of
commodities, is in position to speak
on this matter with less self-interest
than other factors in the business
,1,o III I,o4 hr r. ou
him, too, to see both sides.
The following eight points are set
forth III opposition to American valua-
ton:
/. That the plan will increase prices
at time when the whole country
seems agreed that further price reduc-
tions are indispensable to the restora-
tion of American prosperity. Domestic
manufacturers would automatically
regulate the duty upon imported goods.
Competition which keeps prices down
would be eliminated, and articles i'm
ported from abroad which are not man
ufactured in America would be in
creased IN price.
.. The plan raises tariff duties ex-
cessively on many commodities while
apparently seeming to lower them.
The American public holds the retailer
responsible for prices. and would pre-
fer a tarie. law which shows plainly
what the duties are.
3. The plan would tend further to
depreciate foreign exchange, contrary
to statements of its supporters that it
would provide remedy. Attention is
called to "the provable fact that the
depreciation of foreign currencies has
been accomplished by an equivalent
rise in the price of foreign goods sold
for American importation"
4. Foreign buying would be reduced
to guesswork, inasmuch as goods usu-
ally are not shipped from the country
of origin until from three to twelve
months after they have been ordered.
Delay to Prosperity
s. 1t would delay the return of pros
perity as fluctuations must be min
imized, prices reduced and foreign
trade and commerce revived if our
workers are to be fully employed and
if our farmers are to obtain a fair
price for their products.
6. 1t will prevent international ex-
change of raw materials, as Europe,
lacking gold, can buy from the United
willing to accept payment in goods.
Z. 1t will discriminate against the
American farmer and against labor
In the month of August, 1921. the
United States exported 58,5OO,0O0 bush
els of wheat. Europe would be forced
to buy its foodstuffs from South Amer
lea, Canada and Australia
s. The American valuation plan has
been widely condemned by leading
economists, bankers and business men.
The American Bankers Association in
session in Los Angeles on October Z,
passed strong resolutions against its
adoption.
As eyom,,lao of 4ha ;coroo,o, ;r..