The Cook County news-herald. [volume] (Grand Marais, Cook County, Minn.) 1909-current, 1922-09-07
PR0F|TEERINe
NOT POSSIBLE
SAYS tASKER
SHIPPING BOARD CHAIRMAN DE-
clAREs MERCHANT MARINE
AID MEASURE NOW BEFORE
CONGRESS ELIMINATES ANY
CHANCE OF EXCESSIVE PROF.
ITS; SAYS MUST ACCEPT PLAN
OR PROPOSE ALTERNATIVE.
Note: This is the last of a series
OF Articles on the American Merchant
Marine by Albert D. Lasker, Chairman
Of the Shipping Board.

OF Articles on the American Merchant
Marine by Albert D. Lasker, Chairman
Of the Shipping Board.
ARTICLE s.
One of the greatest problems the
present Administratio faced, at it's
inception, was the necessity, as GOV.
cred by previous articles. for iquidat-
ing the Governmentowned feet so
that it would pass into private hands,
end the loss Of Government operation,
cause the creation of privately
owned aeet that would be rightly bal
anced for war and peace-time needs,
and insure at the same time that the
art of shipbutfding in America be
kept alive in face of the ten-year naval
holiday.
The President has proposed to the
Congress the enactment OF a series of
aids that will put American shippers
on the same basis with Great Britain,
whose costs are next highest to ours;
feeling that If we put ourselves on a
parity with Britain, the ingenuity OF
America will conquer all other OBJ
tacles.
The bill proposes direct aids to
ships in the form OF cash subsidy,
which, it is estimated, If we should
ultimately develop the 100000 gross
tons needed to carry half Of the over
seas trade of America, will cost the
national Treasury approximately $780,
100000. Should we reach that point,
the losses Of $50,000,000 per annum
now incurred in the operation of the
Shipping Board would long before
have ended.
Could Sell Present Fleet.
In addition, the bill proposes certain
indirect aids, one of the chief being
deduction from income tax equal to
five per cent. of the moneys paid In
freights. The purpose of this provd'
sion is to insure fuller cargoes.
The bill proposes q loan fund of
$125, 100000 at two per cent. minimum
interest to aid those who would build
types OF ships we still need Without
the passage of the proposed bill and
this feature, the art Of shiDbu1ld1ng in
America will wither and die.
The desirable tonnage owned by the
Shipping Board under the proposed
bill will be disposed Of at world mar
ket prices to American buyers, thus
aiding the buyers to escape the hand1-
cap Of initial high COST
The Government believes that On
addition to the vast sums that Will
come to the Treasury through the
sale of the ships (Which it feels can
not be sold without this legislation),
the curtailment Of operating loss will
more than Offset the subsidy charge.
It is proposed that nifty per cent. of all
immigrant traffic come In American nag
ships. This provision alone will insure
volume of business in the North Atlantic
that should give Us large growth In our
third class passenger business.
Aid Based On Dinerential.
The bill proposes that when proper IA
cilities exist, the President may end the
Army and Navy transport, contracting for
our military transportation with privately
owned ships.
Looking forward to closer CO. ordination
between rail and water transportation-a
very basic essential toward the expansion
Of our trade-the bill proposes scheme
for bringing nearer together the Interstate
Commerce Commission and the Shipp1n 6
Board on subjects Of mutual interest.
The subsidy to be paid our ships is CON-
puted on a dtfferential based on a comb
nation Of speed, size and distance covered.
thereby encouraging the building Of feet
that shall be balanced for peace and war
time purposes alike. The basic subsidy
provides that every vessel of the United
states entitled to direct aid shall receive a
sum equal to one-haH cent per gross ton
for each hundred miles covered, and in
creases with each knot, until at twenty
three knots and over the ship shall receive
20 cents per gross ton. In the discretion
of the shipping Board, where essential
lines ars needed and the subsidy proposed
in the bill Is not sufficient, subsidy up
to double the amount provided for In the
law may be allowed.
No ships getting the subsidy arctic be
paid for carrying the mails: the compen-
sation they would customarily receive will
go to the subsidy fund.
The subsidy fund is to be derived by re-
serving ten per cent. Of the moneys col
lected in duties as 4 revolving fund.
No Proateerins Possible
A limitation Of profits is proposed by
the Government which while on the one
hand foFbidding prohteering, on the other
hand insures no diminution in the inspira-
ton Of initiative and the consequent attrac-
ton Of the necessary capital. This is &C
compltshed by 4 previso that after a ship
has earned ten per cent. on its capital, halt
of the earnings shall be returned to the
merchant marine fund until the full amount
Of the subsidy shan have been repaid.
In these articles I have briefly under.
taken to sketch the history Of Americas
rise and decline On the sea and the admin
istration's plan to restore our merchant
Another thing that makes blowing
so delightful for the farmer is the
reflection that about every other fur
row is for the burdens of government
and the ferocious appetltes Of the
tax-eaters. f.