Evening star., 1924-04-06
By GOULD LINCOLN.


A S Congress is again about to
~ appropriate for the upkeep
n and operation of the govern
ment-owned American mer-
chant fleet, the cry goes up in British.
and in some American quarters. that
1t is Unreasonable to expect that
Britain will be able to purchase our
goods or to pay tho debt to the United
States incurred during the world war
unless the British ships may have the
carrying trade between the United
States, British and many other for
eign ports.
Is the payment of the British debt
to the United States more to be de-
sired than the maintenance of
American overseas merchant marine? :?
The proponents of the merchant
marine say no.
But, they point out also. that the
payment of the British is by no means
foreclosed by the continued mainte-'
nance of an American merchant ma
rine. In fact, as a matter of prin-
ciple, there is really no connection be-
tween the payment of the British
debt and the desires of the United
States to have an adequate merchant
marine. The United States has per-
feet right to merchant marine, and
At the same time, to expect payment
OF the British debt
Whether the British will be able to
pay the war debt to this country as
readily while the United States con-
tinues to operate an overseas mer-
chant fleet as it would if the Ameri-
can fleet were taken off the seas and
the British allowed to carry all the
commerce, or a great share of it,
which is now carried in American
bottoms, is another question. .f-
Amounts Carried by Ships.
1t appears that of a total water
borne trade amounting to s6.5s4,000.-
600. the American ships are carrying
$2,S18,000,000; British ships are carry
ing S2,4l1 100000, and ships of other
nations, 1,s56,000,oOo. Freight rates,
1t is estimated average about 71a per
cent of the goods transported. There
fore. should the entire water borne
trade now carried in American ships
be suddenly transferred to ships of
the British flag, the gross revenue
from freight rates to the British
shipping would be an additional
$173,S50,00O. ~,-a
The British debt has been funded
on a basis which provides for the
payment of approximately. sls0,000,-
900 year to this, country to cover IN
terest and amordzat16n. How much
of the money which the British ship
ping interests would receive through
an access Of their carrying trade
should American vessels suddenly be
wiped off the sea would, in turn. find
It's way into the British payments to
America in connection with the war
debt is somewhat prohiematical. Ger
tainly not all of il, and probably
comparatively small percentage.
Tho British. it seems. are some
what hampered in the payment of
their debt through the maintenance
of the American merchant marine,
which means loss of carrying trade
to British shipping. But, on the other
hand, they are not prevented from
paying the debt
As a matter of fact the British are
hampered for more by the tariff wall
which has been raised by the Ameri-
can government to protect American
industries, when it comes to paying
their debt and bringing about a bet
ter trade balance between the two
nations. But there seems little like
lihood that the tariff wall will be done
away with so as to permit the British
to pay their war debt at the expense
of American industries.
Method of Payments.
The British debt can only be paid in
gold, goods or services. The British
can only pay for American goods in
gold, goods or services. Rather than
sacrifice the American merchant ma
rine or American industries, it would
be better to wipe the debt off the