Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1922-05-09
FLEXIBLE PLAN
IN TARIFF BILL
IS ATTACKED BY
FOES IN SENATE
Some of the Objections viii
Be Considered By the l.
nance Committee, Chair
man M'CuTnber States,
WALSH OF MONTANA
OPENS DISCUSSION
Cites Many Authorities and
Court Decisions to Prove
the Provisions Are Not.
Constitutional,

tby Inp ARhbtlutpU ETtNN.t
Washington, May S.-An attack
on the flexible tariff plan pro-
posed by the senate finance COM
mittee on the recommendation OF
President Harding, was launched
today in the senate and in the
course of the four hours debate
Chairman McCumber, in charge
of the tariff bill. announced that
some of the objections raised to
the plan would be considered by
the committee before final senate
action on it.
Senator Walsh, democrat, Mon
tana. opened the discussion with
the delivery OF prepared address.
in which he cited many author
tiles and court decisions to sup
port his argument that the pro-
visions were unconstitutional.
Senators Underwood of Ala
bama, and Simmons OF North
Carolina, the democratic leaders,
joined him, arguing that for the
first time in the history of the
country it was proposed to protect
the profits of American manufac-
turers.
Plan Is Defended.
Chairman McCumber and Sem
ator Smoot of Utah, ranking re-
publicans on the finance commit
tee, defended the plan, the form
er insisting that If the American
producer raised his price to an
exorbitant figure it was not con-
ha tarnci10nt would
increase tariff duties to protect
him. Senator Smoot expressed
doubt that the president would
have to act in more than one case
out of thousand and added
that the rule laid down under
which he could act was so plain
that there was no doubt about its
constitutionality
Senator Walsh told the senate
that the constitution specifically
reserved to congress the power
10 lay and coJecs taxes and i'm
port duties, and that, congress
could not delegate this authority.
he also attacked the flexible plan
an the ground that no provision
was made for judicial review OF
the presidents acton in changing
rates or classification and con"
tended that the yule laid down
under which the president was
TO act ''to equalize conditions of
competition in trade" was SO in
definite that the president could
take into consideration many e)e-
ments aside from production
costs.
In this connection the speaker
said debate on the bill had dis
closed that the committee made
no investigation yielding any
fruit into the relative cost OF
production in this country and
abroad, but had been guided
largely, If not wholly. by the
prices of the domestic and fo.-
eign articles in the American
market.
McCumber Replies.
Replying to Senator Walsh. Sen
ator McCumber said the presi-
dent would be authorized to take
into consideration every factor
bearing upon the question of COM
petition in trade, and that these
factors might include the matter
of exchange, labor costs, freight
rates, export duties and laws and
regulations in the country of
origin and any other matters at
fecting equality in the market of
the United States.
american manufacturers" he
declared, ''are not much inter-
ested in what an article costs
abroad, but in what it is beirS
laid down for in the American
market"
Senator McCumber went on to
say that the only rule to guide
the president was to impose du-
ties which would bring about
equality in conditions of competi-
tion in trade. Turning to the ques-
tion of the constitutionality of the
proposed provisions. he declared
the plan outlined did not ap,
proach in broadness the law un-
der which the interstate COM
merce commission operated.
Wrong i'm Principle.
Senator Underwood told the
senate that not only was he con-
vinced the flexible tariff plan
was unconstitutional, but that it
was wrong in principle and would
lead to the Oppression of the
American people" and in the
end to the ruin OF the business and
prosperity Of the country.
Declaring he knew of no way
to equalize conditions of compe-
tition in trade, except through
equalizing prices, Senator Under
wood declared the result of such
a plan would be to make the
consumers of the country "pay
the price OF Industrial monopoly"