The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1922-11-01
THE BRITISH VIEW.

4
Nothing sheen left undone by the
| advocates of the ship subsidy bill in
their efforts to jam the measure thru
! congress. In addition to carrying OIL
campaign thru the mails and such
part of the press as is friendly to the
| scheme, they have procured the pas
sage of tariff bill designed to curtail
our foTeign trade. Also they have
obtained an order prohibiting liquor
on american ships, while foreign YES
sells are permitted to remain wet.
They expect by placing all these han
dicaps on American shipping to con-
vince the country that a subsidy is an
absolute necessity.
As part of the subsidy propaganda
| it is charged that England is making
every effort to prevent the passage of
the subsidy bill. 1t may be interest
ing. therefore, to get the viewpoint
on American. policies from a high
British financial authority. A bull
letin issued by Barclays. one of the
biggest banks in the United Kingdom,
says:
Bankers all the world over usually
support the theory of free trade. 1t
may be that in certain instances they
have an insufficient appreciation of
the peculiar needs of individual
countries, but it would certainly seem
that the mutual antagonism of a high
protective tariff and the desire for an
active foreign trade is sufficiently
clear. Yet the adoption OF the new
Fordney tariff IN America comedies
with the apparently incompatible de-
sire to build up a big export and
carrying trade and to receive payment
of an immense foreign debt.
Since 1914. the United States mer-
camille marine has expanded to many
times its pre-war capacity, and every
effort has been made to establish it
upon a profit earning basis. In some
quarters it is suggested that the Ford
ney tariff is designed to benefit
to avoid the conclusion that if the
tariff is effective, the volume of i'm
ports into America. must be reduced,
and that even If cargoes from the
ingly difficult to obtain return
freights. Such conditions would
obviously make unsubsidised competi-
ton with foreign lines impossible.
Again, the direct effect upon the ex-
port trade of America of a drastic
curtailment of imports may well be
disastrous to her carrying trade.
There are certain products which, to
the extent that they cannot at the
moment be obtained elsewhere will
these the demand must be restricted
by the increasing cost and the diff
tculty which a prohibitive tariff op-
poses to all forms of final payment.
1t is equally true that, indirectly,
the internal trade even of self sup
porting America is TO some degree
threatened by the new tariff. An
ever diminishing demand for Ameri-
can grain and American cotton must
be reflected in reduced consumption
by the producers of grain and cotton
and this in turn will react upon the
prosperity and the consequent pur-
chasing power of all sections of the
community.
1t has been suggested that, so far as
this country is concerned, the new
Fordney tariff, instead of being n
menace, may prove advantageous. We
are indebted to America, and we pro-
pose to commence the payment of in
terest and sinking fund. Each year
we purchase raw cotton in the south
ern states and wheat in the west. To
repay our Indebtedness and to make
payment for our purchases, goods
must enter American ports, for it is
clearly impossible that any country
can at once insist upon receiving pay
ment and decline to receive it in the
only form it can possibly be made. If
our manufactures are excluded, then
payment must be made in raw ma
terlals obtained from other countries.
in exchange for British instead of
American manufactures
1t Is, therefore, possible that from
the restricted point of view of our
own position vis-a-vis america, the
adoption of yet more prohibitiye
duties in that country may benefit our
exports and carrying trade at the ex-
pense of those of America.