Evening star., 1937-02-28
US. TRADE PACTS FULFILL
LATIN AMERICAN PLEDGES
of Inter-American Com.
merce and Promotion of Good
Will Go Hand in Hand

created in some countries, a tremen-
dous and unprecedented decline in
inter-American commerce to the fig
ures of IS years ago, and last. but not
least, the reputation of the economic
policies of past administrations by the
electorate of the United States in an
overwhelming manner. Nevertheless,
expected as it was. the announcement
of the new policy filled the Latin
Americans with new hopes. And now.
in the negotiation Of the new trade
agreements, they arc beginning to
see the confirmation of their hopes.
It is also true that in their deter
mination to regain their predominant
position in the Latin American mar
ket the statesmen Of this country
have not been actuated merely by
sentimental reasons. AS one Of the
brain trusters" expressed it, 1t was
hard-headed business sense, some
good Yankee trading and an endeayor
to bring back a situation out Of which
American farmers and American man
ufacturers had prof1ted for half q
century that moved the executive
branch of the Government to ask
Congress authorization to enter into
reciprocal trade pacts with neighbor-
ing countries. The presidential mes
sage requesting that authorization
stressed the fact that tariff and trade
bargaining was necessary not only
to rescue rapidly dwindling American
foreign trade out was also essential
to the success of the national recov-
cry plans of the administration. The
declared purpose of the reciprocal
trade agreements act of 1884 is the
expansion of American foreign trade
"as means of assisting in the present
emergency in restoring the American
standard of living, in overcoming do
mestic unemployment and the present
economic depression, in increasing the
purchasing power of the American
public and in establishing and main
tanning a better relationship among
the various branches of American ag-
riculture, industry. mining and COM
merce"
1898 EXpOfS Low.
American exports in 1888 had been
but So per cent Of the 1929 volume
and 80 per cent of the 1929 value,
which meant idle hands, still ma
chimes, ships tied to their docks, de-
spairing farm households and hungry
industrial families in the United
States.
In 1884. on the other hand, at the
end Of the first year in which the
State Department embarked on q pol
icy of liberal trade and commercial
reciprocity, the United States not only
recaptured its leadership In the South
American market, but the percentage
in the increase Of its sales to South
American nations was almost twice
as large as that of all their other sup
pliers. In 1885 and 1896 these gains
were maintained.
1t Is true that the general business
improvement throughout the world,
with q renewal of the demand for
imported merchandise and an increase
Of purchasing power, must be taken
lllO CUilcAuCl dGlOll W dCCOuuG 4Ot bAiC
present recovery in inter American
trade. Yet, that does not explain the
wide differences in the increases which
correspond to the various major pow
ers competing for the South American
markets. To the new liberal CONNER
cial policies Of the United States must
60 some Of the credit.
tcepyYieht, 1a37.l