Pueblo chieftain., 1921-05-27
CBY MARK sULLIvAN

'o L -, AM
Washington, d. c.. May 2s.-Evcry-
thing comes back to international rcla-
uons. When Herbert Hoover WAS made
secretary of commerce. hc instantly
put his mind upon the obvious job of
that department, which is to facilitate
foreign trade. The results OF his first
survey were reflected in a speech
which he made during tho first week
he was in office. In that speech he said
that the great underlying difficulty is
The paralysis of international trade"
This is the factor which is causing
economic distress IN nearly every in
dustry in the United States. and
especially in the farming industry.
Whom Secretary Hoover considered the
means OF curing this trouble and re-
vtyinS our export trade. he oncount-
cred "A situation which he has alluded
to during tho past few DAYS. He dis
covered that several Important foreign
governments have entered upon n
practice of cSclusivencss In favor of
their industries. which renders thb cf-
forts OF American Industries in for
cign countries difficult II not futile.
This cNclusivcncss goes to length
OF cooperation between government
and industry and of government sanc-
ton for tho consolidation OF biz busi-
ness such as We in America have al
ways opposed. AS Hoover expressed IT,
We now face new Phenomenon ~
the worlds trade in tho possibility of
combinations of buyers Of our COM
modi;ics. such combinations are en-
uhlcd by tho large volume purchased.
to greatly influence Xhe level of prices.
Il do not think that any student of
the movements OF wheat prices in the
last twelve months can ignore tho ma
tcrial influence of various European
government purchases In the dsprcs-
sion Of our wheat prices. Such import
combinations not only exist for food.
but also include in certain countries
coal. phosphatcs. hides and leather
and some other commodities in which
We irc Interested
What has really happened is that for
the purpose of the purchase of Amer
lean goods several foreign govern
msntE. either officially or by tacit
encoura cement. have consolidated all
their Imports to tho point where our
American products are bought in effect
by single purchasing agent The dis
advantages to tho American exporter.
who must soil in n market where all
tho buying is done by one agency arc
obvious. Ultimately. the national
remedy for such condition would be
to permit our exporters to unite in a
common selling agency.
What Secretary Hoover has dis
tpFfrSt ana - conc crrs1 about goes
oven further than this. Jia found THAT
many nations arc restricting develop
mont of natural resources within their
boundaries to their own citizens. They
do not allow citizens of foreign coun-
tries an equality OF opportunity with
their own " still further than this
Hoover discovered that Various gov
errmcnts are directly or indirectly
lending influence and support 10 secure
for their citizens in countries foreign
to them exclusive concessions over raw
material and the implements or com
rrercc."
Tho example Of this sort Of thing
which is no, familiar TO our public is
tho British and French action with
regard to oil i'm Mesopotsmia and e,re
whero But the Ncsopo,amian caso
mcreiy happens 70 be 'he ons ,hs, has
become public. The same kind Of thing
Va practiscd in other lineH. and in other
territories. In our own dependence
the Philippines. for example. we face
y situation in which the British gran,
an exemption from income taxes To
British corpora tions doing business
there. while America exac'a an in
come tax from tho american corpora
,ions in the Philippines doing y com
petitivr husincss. With tho British.
"This sort OF thing" Mr.. Hoover