The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1922-02-28

excepted.
out of this fund shall be paid
the direct aid In the development
and maintenance Of an American
merchant marine. The compensa-
ton shall be based on one-half of
l per cent for each gross ton OF
any vessel, regardless Of speed, for
each 100 miles travelled. When the
speed Is IS knots or over, but less
than IA, two-tenths Of cent on
each gross ton shall be added; for
IS knots, three-tenths of a cent;
for II knots, seven-tenths; for is
knots. nine-tenths; for 10 knots,
eleven.tenths: for 20 knots. thir.
teen-tenths shall be added to the
basic rate. For % knots the maxi
mum is reached at 90 cents for
each gross ton per 100 miles
travelled.
| will not attempt the details or
requirements, or limitations, save
to say that all vessels thus re-
munerated shall carry the United
States mails, except parcel post,
free OF cost, and that all such re-
Enumeration must end whenever
the owner OF any vessel or yes
sells shall have derived net op.
Grating income in excess Of 10 PEI
cent per annum upon his actual
investment. and thereafter tho
owner shall pay so per cent az
such excess earnings to the me-.
chant marine fund. until the full
amount OF subsidy previously re.
ceived is returned to its source.
In other words. II is proposed t.
encourage the shipping In foreign
trade until the enterprise NAV
earn 10 per cent on actual invest
ment. whereupon the direct aid
extended Is to cease and the
amount advanced is TO be re.
turned out of division with the
Government Of profits in excess Of
that 10 per cent. The provision
makes impossible the enrichment
Of any special interest at public
expense. puts an end 10 the Gov.
eminent assumption OF all Losses.
and leaves to private enterprise the
prospective profits OF successful
management.
The cost OF such program
probably will reach fifteen mil.
lions the first year estimated on
present fleet. With larger REIN.
bursement TO high-speed vessels
and the enlargement Of the mer-
chant marine 10 a capacity com
parable with our commerce the
total outlay may reach the limits
of thirty millions. but Il Is CON
fIdently believed that the scale may
in due time thereafter be Turned.
until the larger reimbursemcntS
are restored to the Treasury. Even
II we accept the extreme possibility
that we shall eXpend the maxi.
mum and no return will ever be
made. which Is to confess our In
ability to establish an American
merchant marine--the expenditure
would be vastly preferable 10 the
present unfortunate situation. with
our dependence on our competitors
for the delivery OF our products.
Moreover. the cost for the entire
year would be little more than the
deficit heretofore encountered in
two months during the experiment
of the Government sponsoring the
lines and guaranteeing the cost
OF their operation.
The proposed plan will supersede
all postal subventions, postal com.
pensations. and extra compensa-
tons, excepting parcel-post
freights, all of which combined
are fast growing to approximately
five millions annually. 1t will
ultimately take the Government
out OF a business which has been,
and is now. excessively costly and
wasteful and involving a loss in
excess OF the highest subsidy pro-
posed. 1t will bring TO shipping
again that individual initiative
which is the very soul Of sue
II n
able the Government to hquidate
it's vast feet to the highest possible
advantage.
The making OF successful
American merchant marine, which
must face the stiffest possible COM
petition by the fleets OF the mari
time nations, requires something
more than the direct aid to which /
have alluded. The direct aid pro-
posed, even though II ultimately
runs to $50 900 900 annually, is In
sufficient alone to offset the ad.
vantages Of. competing fleets
There are more than wage costs,
and working conditions and the
higher costs of rationing. which no
considerable American sentiment
will consent to have lowered TO
competing standards.
The men who sail the seas under
our flag must be permitted 10 stand
erect in the fullness of American
opportunity. There is the higher
cost of construction, tho larger in
vestment, the higher cost of insrr-
ance outlay, even though the rate
Is the same. There are higher in.
terest charges. Our problems in
shipping are very much the same
as are those OF our industries
ashore, and we should be as Jealous
in promoting the one as we are In
protecting the other. We may and
must aid indirectly as we'll as di.
rectly.
We need a favoring spirit, an
awakened American pride, and an
avowed American determination
that we shall become, In the main,
the carriers of our own commerce,
in spite of all competition and all
ANNOUNCEMENTS. With direct and
indirect aid, I bring to you a defi-
mite program. Those who oppose
II ought. in all fairness, to propose
an acceptable alternative. There
can be no dispute about the end at
which we are aiming.
OF the indirect aids there are
many. practically all without draft
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