Professor De Haas Favors Greater Authority For President Roosevelt in Tariff Situation
Believes Supervision Needed Investments To Prevent More Losses
"If President Roosevelt's demand for greater authority in handling the tariff situation is granted, it will be definitely a constructive move toward the improvement of tariff difficulties," said Anton De Haas, Professor in the Business School of International Relationships yesterday when interviewed by the CRIMSON. "If we are to restore foreign trade, reestablish normal relations, and collect some of the money the world owes us, it will be necessary to make fundamental changes in the tariff, changes which President Roosevelt intends to produce."
Although a great tariff conference is desired by many as the best means of settling difficulties concerning tariffs, Professor De Haas believes such a meeting would lead to no beneficent results, since problems of different countries are far too varied and complicated to be settled in such a manner.
"I believe only a small number of countries could take up the situation together successfully, and that can be done only when the agreements produced are ratified. That makes an executive authority necessary," Professor De Haas explained.
Professor De Haas also strongly favors the establishment of an authority which would supervise foreign investments so that no investment would be allowed, even for constructive purposes, unless provisions were made which would make transfer of repayments possible.
"Let us look at Russia to explain that point," continued Professor De Haas. "A building financial company is to finance trade with Russia. This is necessary since the financing will require credits which are of too long a period of time to be given by commercial banks. The trade brought about by this will be extremely helpful to the United States because it will stimulate the production of goods of companies which have suffered most from the depression. Nevertheless, such financial assistance would be unjustified unless provisions were made, at the time of the granting of the loans, for repayment of the loans and, what is just as important, the way in which we are willing to receive payment".