New-York tribune., 1922-03-01
for each gross ton per TOO miles
travelled.
Shall Carry Mails FREQ

TNhil NAiIN NiHiiS tttc
II will not attempt the details Of
requirements or limitations save to
say that all vessels thus remunorated
shall carry the United States mails. cX-
copt parcel post, free of cost. and that
an such remuneration must end Whcn-
ever the owner of any vessel OF yes
sells shall have derived net operating
income in excess Of 10 per cent per Sn-
mum upon his actual investment. and
thereafter the owner shall pay 30 per
cent OF such excess earnings to the
merchant marine fund, until the full
amount OF subsidy previously received
lis returned to it's source In other
words, it is proposed to encourage the
shipping in foreign trade until tho en-
tcrprisc may earn TO per cent on
actual investment, wheroupon the di-
rect aid extended ia to cease and tho
amount advanced is to he returned
out of division with the government
of profits in excess of that 10 per cent.
The provision makes impossible the
enrichment Of amy special interest at
public expense puts an end to tho GOV
crnment assumption Of all losscs and
leaves to private enterprise the pros
pectlve profits OF successful manage
mcnt.
The cost of such program prob
ably will reach $t5,OQ00G0 the FIRST
year, estimated on tho largest possible
ties Of the present fleet With larger
reimbursement to high speed vessels
and the enlargement of the merchant
marinc TO q capacity comparable with
our commerce, the total outlay may
reach the limits Of $3Q.000,OO0, but il
is confidently believed that the scale
may IN due time thereafter be turned
- i,-
stored to the Treasury Even if We
accept the extreme posi- bilty that We
shall eNpcnd the maximum and no re
turn will ever ne made, which is to
confess our inability to establish an
american merchant marine the on
penditurc would he vastly preferable
TO the present unfortunate situation,
with our opendencc on oEr compot-
tors for the delivery of our products
Moreover. tho cost for the entire year
would be little more than the deficit
heretofore encountered in two mouths
during the experiment of The govern
meut-spors soring the lines and gusran-
teeing the cost Of their operation.
THE proposed plan viii superscdo ali
postal subycntions. postal componsa-
tions and extra comDensationa except
ing parcel post freights. all Of which
combined are fast growing TO approx
matcly $1,000 .ooe annually. II VIII ultj-
matoly take the government out OF s.
business which has been and is now,
excessively costly and wastofui- and in
yolving loss IN excess of the highest
Subsidy proposed. 1t viii bring to ship
ping again that individual initiative
which is tho very soul OF successful
enterprise. It should enable tho gov
cwmeut to NOuidatc its vast feet TO
The highest possible advantage.
Ofher Aid Is Needed
"The making Of "a successful Amcri-
can merchant marine, which must face
the stiffoet possible competition by the
fleets OF LAC maritime nations, requires
something more than the direct aid to
which ! have alluded. The direct aid
proposed, even though IL ultimately
runs to $50 600 .000 annually, is insult
clent alone to Offset the advantages Of
connecting fleets There are more than
wage costs and working conditions and
the higher costs Of raNoning which no
considerable American sentiment VIII
consent 10 have lowered 10 competing
standards.
"Vhe men VINO sal the seas under
our flag must be permitted TO stand
erect ia the fullness of American op-
uortunity. There is the higher cost Of
Construction. the large investment the
higher cost Of insurance outlay, even
hOugh the rate is the same. There
arc higher interest charges. Our prob
lens in shipping are very much the same
as arc those Of our industries ashore,
and we should he as Jealous in promot-
ing the one as we are IN protecting the
other. We may and must AID Indirect
lV as well as cilTcCtlv
"We need q favoring spirit, nn awak-
ened American pride. and an avowed
American determination TINT we shall
become, in the main, the carriers of
cur own commerce, in spite Of all com
petition and all discouragCments With
direct and indirect aid, bring to you
81 definite program. Those who opposc
IL ought IN all fairness to propose an
acceptable alternative. There can be
no dis pute about the END st which we
are aiming.
"Of the Indirect aids there arc many,
prNcticallv all without draft upon the
rublc treasury, and yet ali highly
helpful in promoting American ship
ping.
at is a simple seemingly Il
ought not require the action Of Con
gress but American officials travelling
on government missions, at government
~ iJti.Nt. ONDHN " tIrNtl On american
ships, assuming that they afford suit
able accommodations ii they do NOS
afford the requisite accommodation on
the main routes Of world travel, the
argument that VIC should upbuild is
strongly emphasized.
81 think we should discontinue, so
FAR as practicable, the transport serv-
ices in the army and navy, and nuke
cur merchant and passenger ships the
agents Of service IN peace as we'll as
War.
We should make insurance available
at 40 greater cost than is afforded
the ships undel competing flags, and
We can and VIII make effective the
spirit Of Section 2S OF the Jones act
Of 1920 providing Tor preferential rail
and steamship rates on through shin
ments on American vessels. American
railways mast be brought INTO cooper
alton with American steamship lines
1t IS not IN accord with either security
or sound business practice to have Our
rslIwaYs iulthering the interests Of
iorelgn shipping lines. when the con
cord oI American activities makes Tor
common American good fortune.
'C~N, 1emplating the competition 10 be
met, tnere ought to be an amendment.
10 the interstate commerce act which
VIII permit RAJ way systems TO own
and operate steamship lines engaged in
other than coastwise trade. There is
moasureless advantage in the LONGER