Albuquerque morning journal., 1922-11-22

policy founded on theory We have
a problem which is one of grim
We are facing insistent
conditions, out Of which will come
either additional and staggering
losses and national im-
potence on the seas or else the un-
furling of the flag on a great
merchant marine COM
mensurate with our commercial
to service as carrier of
our cargoes in peace and meet the
of our defense in war.
There is no thought here and
now to magnify the relation Of a
merchant marine to cur national
defense. 1t is enough to recall that
we entered the world war almost
wholly dependent on our allies for
transportation by sea. We eXpend-
ed approximately three billion
feverishly eXtravagantly, wastefully
and impractically. out of our eager
ness to make up for the omissions
of peace an to meet the war emer-
gency We builded and otherwise ac-
quired the vast merchant fleet
which the government owns today
Our Present Problem
In the simplest way | can say il
our immediate problem is not to
build and support a merchant ship
ping, which / hold to he one OF the
highest and most worthy aspira-
tions Of any great people; our prob
lem is to deal with what we now
possess. Our lroblem is to relieve
the public treasury OF the drain it
Is already meeting. Let us omit
particulars about the frenzied war
time building. Possibly We did full
as well as could have been done in
the anxious circumstances. Let us
pass for the moment the vital re-
lationship between q merchant
marine and q commercially aspir-
ing nation. Aye. let us suppose for
a moment the absurdity that with
one $4,000. 900, 900 experience and
with the incalculable costs in lives
and treasure whicM may he Charge
able to our inability promptly to
Apply our potency-which God for
Did happening again-let us mo-
mentarily ignore all Of these and
turn to note the mere business
problem, the practical question Of
dollars and cents with which we
are confronted.
The war construction ana the
later completion of war contracts
where completion was believed TO
be the greater economy to the pub
lie treasury left US Approximately
l3,200,O00 gross tonnage in Ships.
The figures are nearer 12.509,JQ0
tons now. owing to the scraDping
OF the wooden fleet. More than
hat this tonnage Is government
owned and approximately 2,250,COO
tons are under government opera
ton in one form or another. The
net loss to the United States treas
ury-sums actually taken there
from in this government operation
averaged approximately 10000
600 per month during the year
prior to the assumption of respon-
sibillty by the present iministra-
ton. A constant warfare on this
loss of public funds, and the draft
to service of capable business man
agement and experienced operative
directors, have resulted in applied
and enforced economies.
1t is very gratifying to report the
of the losses to $4,000
600 per month, or a total of $50
100000 year; but 1t is intolerable
tha- the government should con-
tinue a policy from which so enor-
nous q treasury loss is the inCV-
liable outcome. This loss, more
over, attends operation of less than
o third of the government-owne
fleet.
Wants Burden Diminished
1t is not, therefore, a question OF
adding new treasury burdens TO
maintain our shipping; we are pay
ing these burdens now. 1t is not
a question of contracting an out
lay to support our merchant ship
ping, because we are paying al
ready. l am not asking your au-
thorization of new and added
draft on the public treasury; | am
for q program to dimin-
ish the burden we are already bear
ing
When your executive government
knows OF public expenditures ag-
fifty millions annually,
which it believes could be reduced
by half through change Of policy,
your government would be un-
worthy of public trust IL such q
change were not commended, nay,
If it were not insistently urged.
And the pity of 1t is that our
present expenditure In losses is
not constructive. 1t looked to no
future attainments. it is utterly
ineffective il the establishment Of
q dependable merchant marine,
whereas the encouragement OF pri-
vate ownership and the applica-
tion of individual initiative would
make for permanent creation,
ready and answerable at all times
to the needs of the nation.
But | have not properly por-
trayed all the current losses to the
public this year. We are wearing
out our ships without any provision
for replacement. We are having
these losses through deterioration
now and are charging nothing
against our capital account. But
the losses are there ana regretably
large under government operation
than under private control. Only
O few years of continued losses on
capital account will make these
losses through depreciation alone
to exceed the fifty millions a year
now drawn to cover losses in cp-
Grafton.
We BuiIdeG Poorly
The gloomy picture OF losses
does not end even there. Notwlth-
standing the known war cost in
three billions of dollars for the
present tonnage, l will not venture
to appraise its cash value today. II
may as we'll be confessed now as at
some later time that in the mad
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