New Britain herald. [microfilm reel] (New Britain, Conn.) 1890-1976, 1928-12-26
THE CHIEF RESULT
OF HOOyER'S TRIP

OF HOOvER'S TRIP
Basically considered. the trip of
President Hoover to Latin
America was one of business promo
ton. The cultivation of good relations
with the republics to the south was
un admirable conception of national
polity. and unquestionably the trip
achieved this purpose in SO far as it
was possible to do so. But with good
rotations goes commercial promo
ton, which the secretary Of COM
merce believes is paramount es-
sential. Being the commerce secre-
tary during the Coolidge administra-
ton Mr.. Hoover has been thorough
ly imbued with the necessities of
more commerce. more trVde; as
president he will do all within his
power to promote it. and even as the
president ELECT he Immediately be-
gan d lOuI W IllCIl llultdltu ClLS(tu-
ally in which direction his mind was
running.
During the presidential campaign
he stated that 1000, 900 Americans
were gaining their living from for
eign trade, directly or indirectly.
These figures were not overdrawn,
II foreign trade were to be sudden
ly ended business depression would
naturally follow, not only with re-
gard to these 100000. but many
more other millions of citizens
whose prosperity are interviewer
with them. Two million citizens
could not be injured financially
without the other millions feeling
the effects.
Mass production in this country
has about reached the saturation
point. We manufacture all we need
for domestic consumption and have
the facilities to manufacture large
surplus. Manufacturing goods on the
mass production principle is some
thing like getting done job of print
ing-once the type is set and in tn"
forms and on the press, the cost Of
Thousands of copies as compared
with the cost OF a relatively few
copies IL merely the difference be-
tween the cost Of the paper, a little
extra labor. and a fraction of the
overhead. We have the equipment
and can turn out huge surplus of
goods al well as providing only for
our own needs.
The problem that faces American
industry and commerce no longer is
one Of production. but consumption.
The people manufacturing the goods
cannot buy back all they produce.
1t would be fine If they could do
SO. under which circumstances We
would be 4 perfectly sclf-containcd
nation: but no bright minds have
yet evolved a way to bring this
about.
As mass production increases the
cost of distribution increases. Goods.
made in huge quantities, must be
sold. Our sales managers are I'D
with the mass Of production re-
eardiess Of their skill. Let sales in
crease a. they will-the factory can
always turn out a surplus. 10 get
rid Of the surplus among our own
people would be an ideal circum-
stance, but it cannot be done SO long
a. costs OF distribution affect the
ultimate scales price to the point of
retarding the very distribution de-
sired. Into this enters large variety
of costs. SO many. indeed. that it is
useless TO attempt to enumerate
them. None can be avoided under
the circumstances.
The situation is the same in the
field Of exportabIe capital. To date
immense sums Of American money
are invested in foreign lands. There
are some who say that tho pros
| peri'y OF American citizens would he
: vastly accelerated if this money
we're invested in American proJuc-
ton but they fail TO take note Of
I the fact that We are ALREADY stf-
/ fefing in A sense from over-produc-
ton. and the more NC produce the
more 1t will be necessary TO export
and before this can be accomplished
the foreign markets must be assured.
Mr.. Hoover's Latin american visit
was one Log in the journey to secure
a larger share OF these foreign
markets for American industry and
labor.