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Hokitika Guardian, 8 December 1931, Page 4

The decision of the British National Government to levy duties on foreign •ijmports marks the collapse of the fiscal policv which has dominated Britsh industry and commerce and public life for the past eighty years. (The whole question is far too large to discuss here and now, hut I rant to call attention to o ue feature of tae situation which has its amusing side. As a natural consequence of Britain's long maintenance of a free market for foreign good \ our foreign friends and rivals have become so accustomed to tins privilege that they are inclined to resent itjs withdrawal. As the “Morning Post” has said, they apparently would like to deny to Britain the right to follow their example bv establishi 'c a protectionist system of her own. Vnd so soon as f'e foreigners began 10 complain, the Free Traders began to talk ominously about the danger of retaliation. But what can the foreigner do to injure l Britain in this way? By protecting his own market, already he has left himself without any adequate margin for the levy

of retaliatory duties ; and past history shows hat our foreign trade rivals l\ave always dreaded beyond every* thing else the danger that Britain might be induced to tax foreign imports. After 1897, when Germany, by taxing Canadian goods, tried to punish Canada, for the- heinous, crime of giving Britain preference in her own markets, Lord Lansdowne and Mr Chamberlain speedily brought the Germans to submission bv the threat of retaliation. Again, in 1905, when the Germans had tried to exclude Australia ,from their Pacific islands trade', the threat of retaliation compelled them to desist. The New Protection may prove successful or not, bnt it is quite certain that Brit : sh import duties will do more harm to the foreigner than any injury that his “retaliation” can pe'sibly inflict on us; and lie will do the best to arrange some amicable compromise.