Show F p o Reciprocal Trade Is Vital Vitali To Well Being of the World i By BAUKHAGE I Notes Nays Analyst and Commentator WASHINGTON W Despite Despite the spirited battle over extension exten exten- extension sion of the reciprocal trade agreement authority nothing which even its best friends could h hope pe to do about it would be definitive definitive definitive defini defini- tive for everyone knew from the start that final action must be postponed until next year Reciprocal trade trad agreements have been a definite part of our foreign trade policy for 14 years were of at any value in the past they ar are arc of even more value now But with an election a little more than four months off oU and congress trying to break a log jam of legislation lengthy 7 J A debate on th the subject was Impossible Putting it backwards the reciprocal reciprocal reciprocal trade agreement policy is this If It a country is prevented by bya a high tariff wall from s selling to us t it cant can't get the 04 t dollars to buy from us Or l if ir the country has borrowed money from us it cant can't get the dollars t to pay PY a us back That's what happened hap hap- happened after afterWorld afterWorld y World War I c and the breakdown breakdown breakdown break break- down in foreign trade was one of oft t the great factors in bringing on depression But that isn't the only thing that tariff tad walls do They tend to force isolationism extreme nationalism on a country and behind the tariff of State Cordell Cordell Cordell Cor- Cor j walls walla as Secretary ex-Secretary dell Hull used to say so often orten grow the roots of war K J Secretary of State Marshall 1 stated that the tho Gearhart bill i would destroy the substance of the reciprocal trade trado theory a ath th theory ory which is 15 not only tho the cornerstone cornerstone cor cor- of our general foreign trade policy but the principle which we vo have insisted must be followed fo owed by nations participating in the European recovery proF pro pro- y gram r AI F The Th e s secretary sa said id that II only on I y t the h c 4 shadow of the original act l ct would be preserved in the substitute c bill proposed proposed proposed pro pro- posed by Representative ve Gearhart while its substance would be det de de- de- de t And he added I think our national interests would be better better bet bet- ter preserved to permit the trade agreements act to expire than to permit HR an to be enacted f i He pointed out that any serious weakening o of the trade agreements F act at this critical period in world 1 affairs would almost certainly be I regarded by other countries not only as a surrender of our leader leader- leadership leadership r ship in the international economic field but as a repudiation of much that has been accomplished under our leadership in that field t. t f Presumably ho he meant this When we a agreed recd to the European f 1 recovery cry plan ECA one of the things thins we wo emphasized demanded in fact tact was that the countries receiving receiving re re- re cc ving our aid would have to break down tariff barriers against each cach other and the rest of the world We knew there couldn't j i be economic recovery if II there was not a free flow now of world trade T Even before the ECA was ever 1 t 1 i. i thought of since of-since since 1934 as a matter matter 1 of fact fact fact-by by vigorously pursuing the thet t reciprocal Idea by concluding reciprocal reciprocal re rc- re- re f- f trade treaties with so 10 f many countries we have them with all but six or seven of the f 1 i Marshall plan participants we have encouraged the world to reduce tariff tar tar- 7 If ill iff walls Thus it would hardly consistent to seem eem suddenly reverse ourselves and go back to the old days day of high tariff economic isolationism isola isola- i The measure as the house presented pre pre- it had another drawback inthe in inthe inthe the eyes of at Secretary Marshall and supporters of his point of view The bill biU would force the President either to accept the recommendations of the federal tariff commission on adjustments adjustments ad ad- above or below a certain bracket or submit them to a congressional congressional congressional con con- gressional veto That sounds reasonable reasonable rea rea- j in theory but what it does Is to smash absolutely the whole t basis for tor reciprocal trade trado tion A nasty little joker in the measure meas meas- ore ure stating that tari tariff commission recommendations must be made on r tho the principle of at protecting the special cial dal interests concerned revealed the intent of its framers framen That provision provision provision pro pro- vision would destroy the purpose of at negotiation by removing trade agreements from the tho field of the general good and narrowing them down to a question of whether the particular industry is to be protected pro pro- from competition Thus not only would international relations and conditions have to be ignored r entirely but broad national interests interests inter inter- ests eats as well Secretary Marshall 1 used strong f words in criticizing this clause when he said The 1110 bill In effect makes pure protection the sole Bole I criterion for tariff action Very few groups outside of the big industries which want to keep I down foreign competition oppose the reciprocal trade program The Thet t 1 I great creat majority of the chambers of commerce are for it Earl Shreve national president of the chamber chamber of aZ commerce has said that any f r Yeu restrictions on or crippling of 01 the trade agreements program would have very undesirable repercussions Discontinuance or impairment impairment impairment impair impair- ment would destroy consistency in United States Stales policy and would undermine world confidence U Former Republican presidential candidate Alfred Allred E. E E Landon came out in favor of the year three extension extension extension ex ex- tension of the trade agreements act as urged by the administration He said that failure to c. c extend tend the act would be contrary to the Republican policy plank of lOB 1044 Frequent public opinion polls have shown that the majority of the people favor trade treaties In fact filet persons who know what trade treaties arc are vole vote better than eight to one to Im I'm no economic expert but all allI I have ever read or heard about the old high protective tariff tariU debates debates debates de de- de- de bates the experience under th the Hawley Smoot-Hawley bill the World post-World War I debt repudiation and depression depression depression depres depres- sion would seem to indicate that the high tariff brill idea should and would be dead as a dodo If U not it means we spin the wheel backward to the grand old days of high tariffs which killed foreign trade made made it impossible for foreign foreign foreign for for- eign countries to sell us goods and spend their money here or to payback payback pay payback back the money they owed us simply to protect certain private interests This Convention Is 1 Different As the Republicans swing into action action action ac ac- ac- ac tion with the greatest hope they have had for electing a president since the fifth firth birthday of this years year's first voters there are a number number number num num- ber of striking contrasts to be noted between this convention in m Philadelphia Philadelphia Philadelphia Phila Phila- delphia and former GOP conclaves One big contrast is in the size I of the audience which actually will behold the speakers as they step forward onto the rostrum In 1940 some people not actually in inthe inthe th the hall witnessed the convention Two television cameras mirrored mir the scenes to a fairly select audience some of it composed of persons fortunate enough to share the hospitality of the Railroad club In the same building as the hall hail There one could escape the sound and fury tury the glare of the lights the heat and aridity and could snack and sip In n a comfortable comfortable comfor comfor- table chair This year in Philadelphia the estimated television audience will willbe willbe willbe be counted in the millions for networks networks networks net net- works will carry the scene to viewers viewers view view- ers from Massachusetts to Cali Call fornia Instead of two lonely cameras cameras cameras cam cam- eras there will be the pooled equipment equipment equipment equip equip- ment and programming of the various various various va va- rious nets But ut there Is a greater contrast In the Republican political situation situa situa- tion than In the tho delegates' delegates physical cal surroundings s between today y and 1910 No one who witnessed the Willkie stampede can forget It was just about as unorthodox a procedure as history records for the candidate was chosen not in the hall nor in ina a smoke-filled smoke room either but out in the sticks If this is la to be a wireless convention the 1940 affair affair af d- fair was a convention by wire A group of pressure high amateurs amateurs amateurs ama ama- who were no amateurs when it came to organized action was waa putting pressure on the big men in every community and the big men were getting to bosses or to the delegates direct by telegram and telephone The Willkie Wilkie amateurs amateurs amateurs ama ama- stole the show from the professionals professionals professionals pro pro- and the professionals swore it never would happen again It isn't happening this year Another highly interesting contrast contrast contrast con con- between conventions this time between 1948 19 and 1944 is 1944 is the hectic atmosphere of today as opposed op posed to the comparative calm then There was a the it bag feeling back in Chicago four years ago which took the zip out of the Chicago air Also the war v overshadowed overshadowed overshadowed over over- shadowed the conclave then The National Republican the party newspaper started of off oll its lead article article ar ar- on June 26 1944 With the invasion news commanding the attention attention attention at at- of the entire convention Another contrast between 41 U and 43 48 is In the attitude toward foreign policy Then it was the most delicate question which faced laced the tho platform committee Today Today Today To To- day Senator has foreign foreign for for- eign policy polley wrapped up in a neat package signed with his bis name and scaled with his bis signet That Issue Is no worry at all all aU |