New-York tribune., 1922-05-29
Lodge Defends
Tariff as First
Need of Nation
Democrats Merely Postpone
Arrival of a Period of
Business Stability by De.
laying Action, He Says
Denies Menace to Trade
Doubt and Uncertainty De-
clared More Damaging
Than Even a Bad Law


From The Tribune's Washington Bureau
WASHINGTON, May Ex-senator
Henry Cabot Lodge, Of Massachusetts,
majority leader in the Senate, in q
statement to-day answering criticisms
! OF the pending tariff bill, declared tire
tine wasting in which the Democrats
are engaged is simply postponing the
arrival Of period of business
liability" He predicts Congress will
pass tariff bill before it adjourns
and that the country will approve of
1t j, the coming election.
The Massachusetts Senator, who re-
calls that he has been through eight
ta,ifr debates, especially replies to the
criticism that the bill, If enacted, will
cut off imports and destroy the
nations foreign commerce. In answer
to sucn attacks, he calls attention to
the recent report by Secretary Hoover
showing that the foreign trade of the
United States is growing moro rapidly
than that of any other country.
Our foreign trade to-day is not suf-
are living now under the emergency
tariff act, which has higher rates, in
many cases, than those proposed in
the Finance Committee bill" said
Senator Lodge. "The Democrats seek
to give the impression that the in
crease in our foreign trade and in
trade conditions throughout the coun-
try are due to the Underwood tariff
act, whereas the figures quoted by
Secretary Hoover show increases in
foreign trade which have developed
since the emergency tariff bill be-
came law
Wool Held for New Rate
During the last four months-since
January. to be eXact-we imported in
Boston G0,000,000 pounds Of wool, one
seventh of the total consumption Of
the United States. This wool the i'm
porters are holding in bond, awaiting
the passage of the tariff. when they
can get it in under lower rates This
Importation of wool Aoes not indicate
that the tariff is going to destroy our
business with other countries. But it
does indicate that the importers are
the very men WHO expect, under the
new tariff, a boom in business, and
they arc preparing to take immediate
advantage of the passage of this bill.
Under the emergency tariff" Sem
ator Lodge added, 'our trade is be-
coming more nearly normal than that
of any other nation. After the present
tariff bill becomes law there will be
an even greater advance in our trade,
both foreign and domestic.
Building up the business of this
country is not going to depress the
have high duties now, as the figures
presented by Senator Gooding show.
think ! am right in saying that in
many cases their duties are higher
than ours, and yet those who oppose
this bill seem to think that these
duties will stop the trade Of other
countries with Us.
Ii"lt is upon the protective principle
that the great prosperity of this coun-
try has been built. We are obliged to-
day TO meet an economic situation such
az sz.the world has never seen, owing to
the utterly distorted and dislccated
conditions Of exchange. In the midst
of these fluctuations we must deter
mine what duties are sufficient to pro-
tect American industries and agricul-
ture. Under normal conditions when
values and costs Of production were
practically fixed or easily determined
the rates we're not as high as those
necessary to-day. But now with the
shifting Of values and costs abroad,
which are admittedly abnormally low,
duties nust be higher than has been
customary in the past. The funda-
mental conditions of all tariff legls-
lat1on to-day are entirely different
from what they were prior to the war.
Stability Primary Essential
"Nevertheless, this is not an argu-
ment for delay in tariff revision. The
first essential of business is TO have
stability of conditions so far as they
depend upon the tarifs legislation OF
the country. Business can adjust it
self to discouraging tariff, or even
to one badly constructed, better than it
can to condition Of suspense and
doubt. They are The greatest hin
drance to prosperous business OF
farm.
"The Republican majority in che
Senate believes the policy Of protec-
tion Is the surest road to the building
up and restoration of our economic in
terests. This is the purpose Of the
pending bill and when the smoke screen
OF the opposition is cleared away the
country will see that the tariff bill
as whole, when it comes from con-
terence, will represent the protective
principle and be harmonious and sys-
tematic
Business is already beginning to
Improve. That is manifested by the
advance in the market price of United
States bonds, which began to increase
in value almost Immediately after the
November election, This movement has
extended very rapidly from United
States bonds to bonds Of railroads and
industries and new bond issues have
been taken in way which would have
been impossible one year ago.
Our duty, so far as legislation can
do so, is to pass the tariff and other
economic measures to stimulate and
encourage the improvement in busi-
ness which is now visible"