THESE RADICAL BANKERS

The great international bankers and a few industrialists of fifteen of the leading nations of the world have drawn up and signed an imposing manifesto declaring for radical tariff reduction, and even for unrestricted free trade. Among the American signatories are J. P. Morgan, J. J. Mitchell and Thomas N. Perkins.

This interesting document begins with an admirable survey of post war European economic conditions. The disastrous effects of higher and more numerous tariff walls, restrictions, and prohibitions are accurately surveyed. "Too many states," reads the report, "in pursuit of false ideals of national interest, have imperilled their own welfare and lost sight of the common interests of the world, by basing their commercial relations on the economic folly which treats all trading as a form of war." This paragraph, and two others that follow might have been lifted bodily from Professor Taussig's "Principles of Economics". They are overflowing with sound economic theory and pious statements. One begins to regret the carping attitude of "The Nations" and its ilk toward those high minded gentlemen referred to collectively as "Wall Street." In order to make the manifesto absolutely clear, Mr. Mitchell gracefully permitted himself to be interviewed. He said, "The manifesto pertains exclusively to Europe. It should be distinctly understood that it in no way refers to the American tariff either by allusion or inference. Many of the trade restrictions now effective in Europe are extremely destructive to European prosperity as a whole. The American tariff is a different matter." Mr. Mitchell of course means that the American tariff wall, one of the highest in the world, is not injurious to world prosperity, but that the European tariffs have been, and particularly to American prosperity. It would obviously be very advantageous to American industry if European tariff walls ceased to interfere with "peaceful economic penetration." The American bankers have very cleverly killed two birds with one stone. They point out to Europe that tariffs are economically unsound and destroy prosperity, while at the same time they hope to open a new field to an American Industry protected from reprisal by a tariff that is different.