The gazette-times. [volume] (Heppner, Or.) 1912-1925, 1922-01-05
Francis Sisson, the Famous Banker,
Holds Our Economic Basis
Rests NTH World.
Claims High Tariff Destined TO
Cause Serious Injury to Com
mercial Life.
By FRANCIS H. SIsSoN.

EDIToR's NoTE.-Frdncis H. SiSson
is pice-president of the Guarant,
Trust Company of New York City
one of the largest and most important
banking concerns in the world. He
is a student of International econom-
les as weH as being thoroughly famH-
lar with internal economics and the
financial and industrial situation in
the United States. What he has to
say of tariffs and similar questions
comes from his piewpoint as an econ.
omist and banker and not from the
pieWpoint of politician.
While economic depression pre-
walls throughout the world, as the in.
evitable aftermath Of the most de.
structive of all wars, America can nc
more hope to solve its domestic econ.
omic problems alone than the world
can reasonably expect to cure its
'multifarious economic ills by some
magic panacea. In the final analysis
we were drawn into the European
struggle because of the economic in,
Independence of all civilized nations
and the only possible way we car
fully recover from the effects of wal
is by international economic cooper.
alton. Our complete realization OF
that dominant fact is the paramount
need Of the hour in this country.
But we cannot effectively cooper.
ate abroad until there is more eff.
cacious cooperation at home. 1t is q
case of better teamwork within ant
without. II is futile, for instance, for
one branch of the Government to en-.
deavor to facilitate the granting Of
credits to prospective foreign buyers
OF our raw materials when another
branch Of the Government insists on
making it impossible for those buyers
to pay us their debts and liquidate the
credits they obtain here. While the
extent to which the War Finance Cor.
poration can aid American and for.
eign interests in its commendable ef
forts to supplement private sources
of credit in promoting our foreign
trade may be questionable-in view
of the abnormal world situation anc
its colossal demands, its services
must unavoidably be negatived to 6
considerable degree by the enactment
of permanently high tariff act.
CONSIDER TARIFF.
Consideration should be given tc
the effect Of high tariff not only
upon particular industries, but upor
the welfare of the country as a whole
We should not lose sight Of the dit
ference between conditions when the
Payne-Aldrich law was enacted. The
effect of the adoption of high, pro.
tective tariff today may be quite un
like the effect of the adoption of the
Payne-Aldrich law and similar meas
ures passed before the war.
Prior to the war, the United States
was a debtor nation and compare.
lively little thought was given to the
effect of protective tariff on our ex-
port trade, Today an altogether diff
ferent situation obtains and the adop.
ton Of tariff law, with rates high
enough to interfere seriously with oul
export trade, is destined to cause Sc.
rious injury to our commercial anc
industrial life.
II is estimated that prior to the
war, European capital was invested
in American securities to the approx.
innate amount of $4,000, 100000. The
net payments of interest and divi
dends on this capital, after deductine
the amount owed to citizens Of the
United States on account of their for.
eign investments, required the an
nual remittance abroad of between
100000 and $225, 100000. 9th.
er payments, such as expenditures Of
American tourists, remittances BY
immigrants, freight, insurance, etc.
brought the total up to about $780,
100000. In order that these pay