AFTER THE WAR.

Pukekohe & Waiuku Times, Volume 5, Issue 237, 22 December 1916, Page 4 (Supplement)

AFTER THE WAR.

Unfortunately there is no such thing as a universal remedy for the German canker and its menace to the commerce of the world. At the present moment opinion in England seems sti'l divided between ~. complete boycott of Germany and measures for placing her industry under restraint, and thus preventing her from ever again menacing tho peace of the world. It may be taken for granted, however, that individual measures by any one of the Allied Powers Will never put Germany under restraint. Tt has taken the united efforts of the Allies to bring is in sight of complete victory, a prospect which is certainly not shattered by the fall of Bucharest: it requires tbe combined action of all the Allies to makq Germany abandon the dream of world conquest. As Professor Ha user, *l* leading French economist, says:— It is not a matter of declaring for or against a certain theory; it is a matter of taking the facts into account, of defending oneself against an adversary who is always watching and always icady to have recourse to every possible method, to evade every international law. We can see only one means of tuting with efficacy., and that is not to act alone.

It is to he wished that the Entente, nfter having triumphed on the field of battle, will find itself still united tomorrow in the domain of economics — an Entente enlarged by the accession of those nations who will wish to accept a new Pact of London, nations who will submit to it in good faith, in all reciprocity. In discussing this subject in a series of special articles, Manfred Emanuel, a British economist, considers that generally speaking the measures to je taken by tho Mother Country fall into two distinct groups: —(1) Action oy tho State; (2) action by the individual. Under the first heading come total prohibition of certain goods, tariffs on others, subsidies to shipping companies and industries, a State trade bank, establishment of a Minister u Commerce, re-organisation of our, consular service on patriotic lines, preferential treatment of British and Allied shipping, stricter naturalisation laws, regulations regarding enemy firms and agents, and a host of similar measures. These have all been discussed at length, and tho writer is of opinion that there is every' reason to hopo that many, if not all of them, will be effective before thejbnd of the war. He considers it well, however, to recall that ono simple way of dealing with German dumping has been for somo years successfully in use—the anti-dumping feature of the Canadian tariff. The Canadian tariff briefly stipulates, in the case of sale to a Canadian importer at a price lower than the one current in the country,' of origin, for a double tax (1) the regular duty, calculated not on the invoice total, but on tho normal price, and (2) a special tax equal to tho difference between tho price at which the goods arc invoiced and the normal' price ruling in tho exporting country. Thus German goodi sold at 12s <i dozen in Germany and invoiced to a Canadian firm at 10s a dozen are taxed with the regular duty calculated on 12s and a special tax of 2s (12s less 10s i. The obvious effect is to enable Canadian manufacturers to make these goudis. protected by their ordinary tariff wall, in defiance of any reduction in price: made by the Germans in order te capture tl.o market and kill the native industry. It may be mentioned than New Zealand legislation has been inspired by that of Canada, while South Africa proposes to follow tho same lino of action. Professor Ha user, in conjunction with tho leading Allied economists, is strongly in favour of the establishment between the Allies of an international system based on tha' Canadian example. Objection is raised that this legislation is difficult to apply, because it is hard to obtain exact information on the real prices on the German home market. This legislation, however. in the hands of a single State of 7,000,00n souls, has shown itself efficacious. Will it be less so when it is handled jointly by several of the greatest Powers of the world?

Closj association among the Allies, then, is what, Manfred Emanuel regards as the foundMion-slono of the successful prevention of German dumping. It is no less so of that policy which, underlying the necessary "action by the individual," will alone mako our industries unafraid of German competition —and that policy may be summed up by the motto, "Manufacture imperially." State aid, in the form of subsidies and tariffs, is an adjunct of vital importance to national industry. It is practically useless,, however, unless manufacturers and workers realise that a great deal rests in their hands for the future trade war, even as it rested in, and slipped from, their grasp in the forty year 9 before tin war, when Germany seized her opportunities. "It is no use," concludes the writer, "tor the British rorking man to clamour for six-hour days and five-day weeks, and this and that, while his German competitor puts liii back into his work. It is no uso for the British manufacturer to sit idly behind tho armour of Protection while, his German rival invents new armour-piercing devices. The working classes have learned from tho war tho need for the maximum output per man and per machine. Let us hopo that they will shown in 3 modified degreo tho same thought for the welfare of the nation in tho trade war as they aro doing to-day for tho success of our troops in the field. What of the manufacturers? They must learn from tho Germans tho spirit of association-, they must learn to competo less with one another, and to work more in harmony for the common weal of the Empire's industries. When British manufacturers and workers 'manufacture imnerir..l!y,' British industries will ha ro nothing to four from Germany's meitnc; to tho world."