The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1939-11-30
Bruckarfs Warrington Digest
European War Doing More Damage
To American Industry Than Good
Some Lines of Business Are Profng, While Others Are
Declining; Efforts to Boost Cotton Exports Fail;
American Merchant Marine Affected
BY WILLIAM BRUCKART
WNU Service, National Press Bldg, Washington, d. C.

to take care of empire require
ments, believe it is necessary only
to report that the Canadian indus
trial capacity was 81 per cent
greater in 1887 than 20 years ear
lier, or in the midst of the World
war. The World war started the
trend in Canada; the present Euro
pean war has given it new impetus
and the indications are that exports
to Canada hereafter will continue
to get smaller.
And what has the war done to the
American merchant marine?
Our government has spent a good
many hundred millions in building
ships and in helping private ship
ping companies to build ships. It
has been policy of subsidy. But
about the same time our ships begin
to attract attention on the high seas
and in international trade, along
comes new war conditions and our
flag is forced to stay out of the trade
routes that produce the greatest
revenue because traffic is heaviest.
Of course, it is a policy of the adj
ministration that has brought this
about. President Roosevelt has felt
that adoption of system of selling
goods to belligerents upon the docks
of this country-come and get it,
pay cash and carry it away in your
own ships-is wise. Congress agreed
with him.
The same legislation provided that
no ships flying the American flag
may enter what is called combat
zones. So, trade in our ships is
confined to those nations not en-
gagged in warfare. It happens, how
ever, that the three greatest buy
ers who use ships (since Canadian
exports are largely by raiD are the
three nations now fighting in Europe
Transfer of Ship Registry
Raises Stink IN Washington
The latest development with re-.
spect to the shipping industry is the
effort of one of the great shipping
companies to transfer the regis
try of its ships to Panama-to fly
the Panama flag. That action, of
course, is like changing your own
American citizenship and becoming
the subject of another nation. 1t can
be done under the law, but it has
raised quite stink in Washington,
because this course of action simply
circumvents the so-called cash-and-
carry law. Under the Panama flag,
those ships could sail into war zone
ports which they cannot do as long
as they fly the Stars and Stripes
from their masthead. It does not
mean great deal, I believe, ex.
cept it shows the influence of the
European war. incidentally, the
fuss about those ships recalls how
difficult it is to make a law that
will not have loopholes in it OF
means of getting around it,
The war in the Far East has
upset practically all trade relations
between the United States and
Japan and China. There is a guam.
| tity OF exports yet moving in that
direction, but I am told by persons
who know the facts that when that
war is over, Japan will be without
any money and her purchases in
the United States will be next tc
nothing for years to come.
Citation of example and trend and
opinion could go on quite at length
in this situation. Taken all together
it seems to be one of the really i'm.
portant things, next to our own un.
employment rolls, because it looks
from this date as though the United
States is face to face with the neces.
sity of a gigantic readjustment. II
seems to me the problem cannot be
lodged. Changes must come within
our own national economy. We will
have to learn just what to pro.
duce and how much, because fear
that large chunk of our export
market is gone forever.