Evening star., 1933-07-16
|U.S. ACTS TO SAVE
| ITS TARIFF TRUCE
Delegates Enter Discussions
for Economic Bloc Among
Western Nations.
BY the Associated Press.

LONDON, July 15.-The United States
today made last-minute preparations
to save something of its tariff truce
and world price raising program as
the World Economic Conference moved
toward the final fortnight's work
With prospects of the salvage Of i'm
portant results regarded In some quar-
ters as meager, however, the American
delegation had entered its discussions
Of separate movement of several
Western Hemisphere nations to try to
form new world economic bloc.
1t was reliably reported in Latin
American circles that Ralph w. Nor
rison Of the American delegation had
participated in discussions exploring
the prospect of a joint agreement Of
several American nations to grant mu-
tual trade concessions, possibly along
the lines Of the Ottawa agreement be-
tween Great Britain and the dominions.
Work Based on Stabilization.
The economic subcommission, which
had attacked the great problem of
worldwide reduction Of trade barriers,
issued report of its drafting commit
tee which in effect acknowledged that
its work had been sabotaged in the
monetary controversy which disturbed
the conference for a number Of days.
The report said: 1T should be
esis on which the whole work of the
subcommittee was based was stabiliza-
ton, or at any rate de facto stability
of currency"
Morrison declined to discuss hts work
in connection with the genesis Of the
Western Hemisphere movement, but It
was learned, from other sources, that
he had had several private meetinGs
with Alberto j. Pani secretary Of the
treasury Of Mexico; DR.. Joaquin rfan.
cisco De Assis Brasil Of Brasil, and
Orestes Ferrara. secretary Of state Of
Cuba. 1t also was learned that h bad
arranged to sail next Wedne0dAy,
several days earlier than be originally
had planned, to report to President
Roosevelt.
Might Agree to Conceskon2
1t was understood that the suggestion
had been advanced in some Latin
American circles that the group Of
nations might agree to grant mutual
tariff concessions, Of say 10 per cent,
for an experimental period, perhaps q
year. In successive years a further re-
duction might be made along such lines
as it seemed had generally aided, while
tarlf1s might be restored in any line
where reductions seemed to do harm.
The steps to be taken to preserve
President Roosevelts general tariff
true, which was for the duration OF the
conference, remainder undecided. The
American delegation, however, prepared
tentative statement which may be Of
tered as an addendum to the report OF
the Economic Commission Drafting
Committee.
The committee report. however,
stressed the difficulties OF an agreement
While currencies continued to f1uctuate
1t was pointed out that other delega-
tlons were Of the opinion that a con-
structive program should be drawn UP
to take effect when stability had been
achieved, but that the divergence of
opinion made unanimous agreement
impossible"
Problem For Nations.
The American thesis is that currency
stability cannot be achieved until price
levels have advanced to a point to bring
the economic structure into balance
once more. A tentative resolution which
me AMERICAN oelegatOn may submit for
consideration to the conference was
understood to state in effect that each
country should decide what price level
1t requires. then proceed to achieve 1t
oy whatever means most feasible.
1t vas understood the resolution
might say that each country should be
guided IN the choice of measures taken
TO raise prices by consideration of q
method most convincing to the public.
This presumably would appease the gold
bloc. who insist they cannot Use the
monetary imitation method because it
Is SO disturbing to their peoples.
Summing up the work of the confer
ence one leading American delegate said
the most impressive thing was the uni
versal agreement as to the need of re-
oucing trade restrictions. Despite short
disagreements as to the proper time and
methods. he felt that the stage had
been definitely set for piecemeal prog
ress in the future
The wheat discussions were the only
ones continued in the conference build
ing today as work generally was re-
cessed for the week end.
Experts of the big four overseas pro-
ducing countries. the United States.
Canada. Australia and Argentina, met
with the Russians and said they had
made some progress although the latter
were understood still to be insisting that
they should have much larger export
quota than the others were willing to