Eagle River review. [volume] (Eagle River, Wis.) 1890-1927, 1921-06-10
WHAT Ais OUR
FOREIGN TRADE
EUGENE MEYER, JR, DISCUSSES
CONDITIONS THAT AFFECT
BUSINESS ADVERSELY.
OUR OWN MARKET TOO SMALL
Exports of Manufactured Goods Will
More and More Become Dominant
Factor in Americas international
Trade, Says This Expert.
BY EDWARD B. CLARK.


BY EDWARD B. CLARK.
Westinghouse to Eugene
Meyer, Jr., managing director of the
war finance corporation, American
manufacturers are adversely affected
by foreign trade conditions at this time
chiefly in two ways. The first concerns
the goods which should find their
way to foreign consumers, and the
other concerns the goods which would
find very much improved domestic
market if the buying power of our own
people were increased by an improved
foreign market for the great mass of
our agricultural and mineral products.
A large part of our territory has
endured a prolonged financial strain,
Mr.. Meyer says, owing to the inability
to move goods and to liquidate loans,
and the commercial congestion neces-
sarily has been paralleled by finan-
ciaI congestion.
The markets for our manufacturers
are radically and unfavorably affected
by the failure of our own market to
take, in usual volume, the goods which
we normally import. This is particu-
larly true of imports from South Amer
lea and Asia. A better buying power
on the part of our own markets in GER
tain commodities would, Mr.. Meyer be-
lieves, improve the market for our
manufactured goods in the lands that
produce those commodities. 1T is
clear that the whole structure of our
domestic business is intimately affect
ed, directly and indirectly, by our for
eign trade" said he. sour imports of
food products and raw materials in
fluence our export markets, and our
exports of other food products and raw
materials make, to great degree, our
domestic markets for manufactured
goods. Any sound constructive step
which would tend to overcome, in
whole or in part, the present difficult
ties would be of tremendous help to
manufacturing interests as one great
department of our economic activi-
ties.
Trend of Our Foreign Trade.
whether we look at the problem Of
our international trade from the point
of view of the immediate situation, or
from the point Of view of develop
ments in the future, it seems clear that
the exports of American manufactured
goods, under more normal conditions,
will more and more. become the dOmi-
nant factor in the position of our coun-
try in International trade. Our ex-
ports of fOodstuffS have been large in
recent years, and are large now, but
prior to 1914 they showed tendency
toward steady decline. Our trade
with foreign lands is tending, in the
long run, to develop more rapidly in
the direction Of the expectation of
manufactured goods. And in proper
ton to the growth of our exports Of
manufactured products the question
of our international finances will be-
come an increasingly important part
of our international economic relations
and policies.
"Europe's financial organizations
for international trade were developed
for the purpose of financing manu-
featured exports. The marketing Of
raw materials and agricultural prod
ucts is a much simpler business than
the marketing of manufactured goods.
In short, foreign trade is peculiarly a
problem for the future that calls for
the best thought of manufacturers and
bankers"
Mr.. Meyer believes that the devel-
opment of personnel and organization
for future foreign trade and finance
will be a gradual growth.
Pressure for Disarmament.
The administration is feeling
an increasing pressure in favor of
the United States taking the lead in
a movement among the major
nations for a reduction in ornaments.
1t was this pressure that influenced
the President to withdraw his opposi-
ton to the Borah amendment to the
navy appropriation bill, an amend
ment which suggests that the Presi-
dent invite Great Britain and Japan
to join this government in a confer
ence looking to a greater reduction in
ornaments.
In withdrawing It's opposition to
the Borah plan the administration was
careful to let it be known that it was
not obliging itself to carry out the
suggestion of the Borah amendment
in case the house should accept it and
it should become a part of the navy
appropriation bill as finally passed.
Congress understands that the Presi-
dent reserves the right to take up the
question of disarmament in his own
time and in his own way. 1t is very
well understood that the administra-
ton has placed disarmament on its
program of things which it hopes even
tually to accomplish, but it is not the
understanding that the number is to-
ward the top of the program.
Secretary of State Hughes has in
Dictated from time to time that before
such questions as disarmament, assO-
citation of nations, and other matters
of supreme world Importance can be
given thoughtful consideration, many
smaller matters of international
import must be disposed Of A ia