Evening star., 1938-08-29

uul dS, SOlOLIlUld,
Guatemala, France, Nicaragua, Fin
land. Costa Rica, Ell Salvador, Czecho-
slovakia and Ecuador. Negotiations
are now under way with the United
Kingdom, with Canada for a new
agreement with Turkey and Vene-
zuela.
In its four years of operation the
trade-agreements program has made
significant contribution toward i'm
proved economic conditions within
this country, as we'll as toward peace
and world recovery.
Big Trade Slump.
The Trade Agreements Act provides
for negotiations with foreign coun-
tries for the reciprocal removal of ex-
cesSive barriers to an increased eX-
change of products with them. Such
barriers contributed to the decline in
United States exports of from $780,
900, 900 in 1929 to little over $780,
100000 in 1882. The trade agree
ments policy recognizes that in order
to be able to sell its products nation
must stand ready to buy the products
Of other countries.
The act authorizes the President,
in connection with a trade agreement,
to proclaim reductions in United
States tariffs by not more than so
per cent, and to agree to bind" un-
changed the existing treatment ac-
corded to foreign products during the
life of the agreement. Under the
"most-favored nation" provision of the
act. the United States extends the con-
cessions which it grants to the coun-
tries with which trade agreements are
concluded to all countries which do
not discriminate against its trade. The
effect of this is to prevent discrimina-
ton against United States exports and,
by maintaining equality of treatment
to practically all countries to encour-
age international good will and stimu-
late natural flow of world trade
generally
Act Passed in 1884
The act was passed in 1884. Since
then, our export trade has improved
steadily For the calendar year 1897
total exports from the United States
showed 1875 per cent increase over
our total exports in 1882, and even
through the business recession of late
1887 and 1888. exports remained one
of the brighter spots in the economic
picture.
Our imports during recent years
have been strongly influenced by spe-
cial factors. They spurted noticeably
as result of the droughts of 1884
and 1886 and of our increased indus
trial activity. But more recently they
have fallen off because of normal
crops and the present lower levels of
business activity.
For the fiscal year 1878 our
total imports from all trade-agree-
ment countries increased 262 per cent
over the 1884 and 1885 annual aver
age. This rate is not markedly differ
ent from the 28.5 per cent increase in
imports from all nonagreement coun-
tries for the same periods.
More Purchasing Power.
To the United States this means
foreign markets, greater domestic pur-
chasing power, as we'll as advantag ges
for consumers. To this and all other
countries it also gives hope of escape
from the innumerable devices which,
by constituting veritable economic
warfare, have been strangling world
trade
If the trade-agreements program
can halt the spread of this economic
warfare and promote international
economic cooperation looking toward
economic security and stability it will
have laid the foundations of world
peace-for in economic peace and
order lie the hopes of political peace
and order.