Evening star., 1934-03-27
TARIFF BILL HELD
PROSPERITY KEY
Sayre Urges That President
Be Given Greater Treaty.
Making Powers.

Stimulation of sales of American
s1rplus products in foreign countries
through granting the President great
er tariff and treaty making power
provides the quickest and most 1eaS-
ible method of restoring prosperity,
it was declared last night by Francis
B. Sayre, Assistant Secretary OF
State, in the National Radio Forum.
The address was arranged by The
Washington Star and broadcast over
a coast to coast network of the Ma
tional Broadcasting Co. Mr. Sayre
was heard locally over station WRC.
U. S. Trade Suffers.
Mr.. Sayre, member of the Inter-
departmental Committee studying
Americas foreign trade and CO.
author of the administration tariff
bill, asserted that American foreign
trade has suffered most by compar-
ison with other nations since the be-
ginning of the depression in 1929.
"Clearly the only way in which
America can sell her surplus goods IN
foreign markets is to trade them Tor
other goods or services" he said. mo
other course is possible; for we have
learned the evil during the past
decade of sending American goods
abroad and receiving in return
nothing but promises to pay.
IF we are to avoid throwing addi-
tional millions of Americans out OF
employment, the policy of bargaining
our way into the markets of the world
would seem to offer the only prac-
ticable solution under present condl-
tions."
The text of Mr.. Sayre's speech fol-
lows:
For the past II months our PreSi-
dent has been courageously and gal
lantly putting into action the New
Deal in the domestic affairs of our
country. In the tariff bargaining bill
recently introduced into Congress, the
President is with equal courage and
high leadership rounding out his pro-
gram by carrying forward the new
deal into our trade relations with
other countries.
Why must any such action be
taken? Why is tariff bargaining
necessary? A glance at the present
world situation tells the story.
Since 1929 there has been an ap-
palling shrinkage of world trade.
Measured in terms of the volume Of
goods, world trade is today reduced to
approximately 10 per cent of its 1929
volume; measured in terms of dollars.
it has fallen to 35 per cent. The total
exports of the United States fell from
s5,241 900. 600 in 1929. to sl,675. 900 900
in 1888. while the imports fell from
399.000.000 in 1929 to l,449, 900, 900
in 1888. In other words, today we are
exporting s3,566 100000 less per year
than in 1929 and importing some
S2950, 100000 less per year. Previous
crises never showed such Shrinkage
in the volume of trade; on the con-
trary, fall in prices used to give rise
speedily to an increase in the volume
of trade which made it possible for
the situation to improve.
S0,oO0,o00 Unemployed.
Remember this: Reduction in world
trade means reduction in world pro-
duction; and reduction in production
means, inescapably, unemployment
Today there are some 30,000,00O
workers in the world unemployed. liy-
ing in enforced ldleness. Unless some
thing constructive is done the situ-
alton is likely to grow worse rather
than better.
The outstanding fact is that the
United States, competing with other
nations for this diminishing trade, mas
not been able to hold its own. The
percentage Of world trade enjoyed by
the United States has decreased from
1888 per cent in 1929 to 1892 per
cent in 1882. That means that in
1882 We had some s70O 100000 less
trade than We would have enjoyed had
we maintained the same proportion OF
world trade as we had in 1929. Dur
ing the same period Great Britain
France, the Netherlands, Belgium
Japan, Italy and Russia have secured
an increase in their proportion OF
world trade.
Similarly, the United States has
been losing its proportion of trade
with Latin America. Whereas in 1926
the United States enjoyed PAT pei
cent of the imports into Argentina, in
1888 its imports had dropped to 1875
per cent. During the same period i'm