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Lethbridge Herald Newspaper Archives

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Lethbridge Herald, The (Newspaper) - September 20, 1920, Lethbridge, Alberta MONDAY, SEPTEMBER THE LETHBRIDGE DAILY .HERALD AGE ELEVEN t Canada Needs a of I'.rs al Wituiiptg.on Sephmbef lith vii the Canadian As- sociation: ACCORDJX'U 'ia (he Dominion Cen- sus. about 1M.WO are em- f'.asvi In .Iht Writs 'o( Canada. IncluJlnr -thtlr number p( depend for their on the -cT Canadian HVrjiter In addition .Chwe probably half as many more wlwieaala and retail traders, piofes- arit! business men ang olRcra who tlie chlel oart ot Ibelr incomes consumed In Cenftdt, cbltfi? the linns In lowni and cluts, fana- tra arc also vitally with in- dustrial conditions. Any -civilized tfcal activity: inaiporU- tlon Purely coim- new reached any of greatness: I oountn ei cannot Didst; -both inAnufaciuriac and ayrjculture -wllboat the ranrhlnerr o'f Annnce nrid transportation to carry 'What part" faclorr RemoYij (tic and imapne the un the and reuul trade, op ihe'ljahkvon financial and era eft houses, on on the pro- fessional men, oiVthe de- partments. In Uiir majority of Canadian cities amt factories are the oi' indirect' of u vefy con- siderable imrl of transuded, btcaust the welfare of allied ae- tlvltltg depends on the, cljl> and flow of fiic lory the buying capacity of the factory., jmrcnulng department nolvithstagdlar statements to the con irary; a free trade country. She new vaJioui protective tnd a measure Parliament dttlffned to protect dumping, arUJnt Iron) aepreciatloa or Purl of UU budget aptech in liic of on April the Honorable Austen Chancellor of IV Kichequtij the United had r, _ ___.._ the year ending March 31st, 1510, the of from Imposed on gooes loto the United. Kingdom-- That tVery dent of tlie Unltt6 Kiopiwm paid s cijj- e tariff Ui OB of. about Lut year. ID the. capita tariff tax. Including the war tariff, now removed, waa about 123. or'without toe War.tAriifc.ftbcui llfc- 50. Yet, BOioo people-describe Great Bri- tain as a Canada as a high tariff country. The busIneaiT of Great 'Britain tarlr In the war thftt must to takes tspca the ceanttat of bottlll- tlec, to protect BrKUh Industries and rarious cojhmlitwa have reported to Ihe British Parllamenl recommending a mea- sure of protection for.British Industries. Increased tariff rates dur- the past year, gn most goods, by A REASONS Tt. that nj e pas year, on m varying frouj to hun- dred 1KQ, B list of M announced a and prohibited ;Italv, tiwitzer- Und, AuBtrU, Roumanla and the Balkan have made gpocral in- creases In tarllfi. Recent des- patches show lhat Elllt higher prottcupo U being provided In most of these coun- j acd especially Italy and 'vt laclory payroll alithv.fwtpry. and you strike nl nearly' every, one In tlie or town. Strike at the city or town and -you utrifce at'the'agricultural population surround- ing 't'-fe cUy or town, i-itjns anil towns Ihe produce of Ihe farms, fllfcN In Ihelr turn Mjpply (amis' with most of th'ote luKurlr5. (i.mfons and neceasltles which existence. family in Canada, direct- ly or IndlrecUy. Is'Mnefited by trial iiroi-pertty :and Injured by Indus- r' trial 'dept'cs si cm., "the Prtnelpio j Aa the Canadian'CtuUms-Tariff has! eot totn''revised since SS07. revision. Is now'ovc-rrln-., After invtdtlganon, H may bt .'found that'tha ralca of duty on tonic lU-leo too high and will consequently.'- l-t lowered! or, in' certain other thiit the ra'len of duly are too low" wiircdhetxiuently-be raised; or. in oilier ranes, that the rates of duly will be conpldci-ttl-lalr and remain -changed. Hot all: tariff ,revlalpivs EOTfrnctl by U ruSdlftj principle.'anu this suldlng- principle must be either. Ihe policy of prelection or the policy of free traile. The 'lenn ts because a iarilt of even 10 per cciifj on an article produced in Can- ada yields revenue nnd alax> affords'.a of Jncldental in preaenUnp this "statement, thbrei fore, the Canadian Manufacturers' elAtlon beys to reaffirm Its advocacy and .support of the policy' of adequate protection for Canadian indus- try (the poHcy which has been main- 187S In Canada by nil politi- cal parUea held Moreover, .the .Association pledges Its support to 'any' nieasures which will hasten the adoption throughoul the British Kmplre of subEtantlnl customs preferences" for Kmplre corre- jpbTitiinp to. the preferences noir pro- In the Cuatoiui tariff in Canada. Definltton of Protection.'...... The'oVJEcts of protective syatem I n Canada have been and aitouia tlnuc to p. (1) To idlmlntth. -as- far as possible, the imjjorlatlun of from foreign countries Svhich" can' be produced al home. (2) the ImportaUon" of raw materials .for manufacturinir pro- ccssfEj which cannot be-produced at hdrnc. i r To "eneftura'ee "the" exportation of Canadian .goode aa finished' products. H> To make Canada, by developing and encouraging within her Spain, Japan has now In operation a high' protective In Seulh all countries have designed not "only for fqe purpose of prodciclne revenue, bul also lo pro- vide for a reasonable pro- tection for homo Industry. The aveiagc rate of duly on all'. Importations, both free and dutiable, for these countries, for 1913. the latest year for which fita- tistltS are'Obtainable, Counlrlw Argentina ad valorem" duty on imports per 20.B 35.9 36.fe VruEuay 3S.S Venezuela 45.7 The following clause -was adopted by the-Xaliqnil. Kepubllcan .of Bolivia- Chile the ncpublican -I'art rtr-" Ju all legltlmato- nctivltles (hat to. Canadian clll- The protective n; above all a. national-ifyatem.- -The country IK Lhd unit. U alms lo make the vtdval country ntrong th all vital depart- ments of activity.- t( it wore founded on any it could not survive, llie only fcaaon lhat the pro tec live system h4s 'been -In operation In privc- tlcaily all tclvlllaed counlrlea for several t-enturlea, VlUTa'tew inlerniiltent cxcep- tJons, is.that Ihe system cofesiiards nnd develops thi; resources and procperlly of the great majorlly of tho citizens of each The Tariff. The tariff protects domtallc industry by the difficulty of Importing competing1; products; In Ihe jccond place, it secures revenue for the Govern- ment; arid In.the third place, It can be uteri- cither 'as-a weapon against any foreign counlry that fa using dlscTtnV a lory methods, or to .bargain wlih foreign country'.for larltt- .concessions that will open desirable markets for products. Consequently, the tarlffj. bclnf the'chief Instrument which Iho protective .system In-oper- ation, cannot suddenly changed or without 'at ...the same lime changing or abolishing- the- protective ftupporl of the principle not be cftnfused with advocacy of A tariff. The Canadian Manufac- turers' Association has .never advocated a high tariff; does not advocate a high tariff but U IB .a conservative fitaternent bf'fact lo uy that the Cec- Rdian customs tarin an It stands today is not a hlfh tariff and that In compari- son with other countries It Is During the year endlnr March Sift, the average rate of duty., oil all dutiable Importationr, Itta the customs war" tariff ctitwtlonr, 22% per The gverare rate of duty on all im- and1 dutiable, after de- ductinr war tariff .collec- per cent. Oft Ihe ISth day of May, 1920, the cui- war .tariff rttct were completely 'rirrtoVed by Parliament. Surety It Is readable to gay that tho average rate of duty; of per cent, on all dutiable Irnportiil'ohv and' the average rate ol duty of U 2-3 ptr cent. OQ Hit irrttwrla- llftfis, ilutlnhle free, now Iwposed'oy Canadian Tariff, constitute jiioderatc 'tariff. V. Th' FTBHERT PRODUCTION. Flucal Tear. fll.t2J.2M mi CHARTEHBD BANKS, ISIS 1919 Ttar 1M9 f PiUd.up CaplUI and Ruerre TotAl Bank Ds- by tbe Public in- L'anada AMOUNT OP LIFE IKSUIIANCB POLICIES IN FORCfi. Tear, Cec, 31sU Amount 187S AMOUNT OF FIRE INSURANCE POUCIES IN FORCE. Year, Dec. tin. Atnounti UT8 19J9 Since 1S76 composition of 6ur popu- lation has .changed.- Then the great majority of the people were engaged In lumbering and fishing. There was comparatively little business activ- ity and those who coold not bo cmploy- the expense of cast and weal fsnd would the value of Ihe nuge Inveslments In our transportation systems. _ (s even n moro Important oues- tfon than It was In 1P11, because the Govsrnmenl .now owns" two out of the three transcontinental railways, and will have to pay deficits but of general taxa- tion. THa of the Canadian Gov- crninent Merchant Marine marks a new period in the Tifslory-of thft conntrv'B development The flret vessel was-com- inenctd In May, 1019, and by the end of tha :year, twenty-two ahfpa ordered by the Government were completed, it IB expected that by the end of slxly snips will bn In These were built In Cnnadlnii shSpyarde largely from CAnadian malerfaL and bv Canadian workmen, Ths outfiltlnz' o'f these Is done in Canadian and with Canadian goods. manned chiefly by Canadian seamen and are now carrying Canadian goods abroad, British and Foreign Capital Inveited In Canarfa. One ol the most devetip- mfnls attributable directly to Iho fldop tlon of the proUcllvc system In Canada, Is the thveatment of British and foreign cafiiui in this country. Al Ihe prcaenl tirfie In ere a to over 6W branched oi United BtAtAft' factories In Canada, em- ploying about people find sentlng Invested capital cr aboul Ow.uOO- Whllo a few of these concerns might have come lo Canada If Ihsro hat! been free trade, ft Js an abiolute fad Inal the great majority carrco to Canada because Ihc Canadian Customs Tarifl "If to the rstimaled value of agricul- tural productir-n In viz. Ji.Cfl 02S.- 000 be Rdded for land for bull dines for Implements anil for live slock the total osUmaled agrlculium] Wealth of tht Dominion or Canada for 1917 amountt to That won Canada's ugricuhural capi- tal in 1917. Benllrlng Ihe Eiriporlance of ngrlcul- ture, the Dominion and Provincial Gov- ernments have given special nllcntlon .and substantial financial- assistance (o this basic Industry. years Iho money appropri- ated for railway cxfenalon has been spent almosl entirely with the Intenliori of providing better facilities for the a0rl- cuUural com muni lies, nnd no commo dl t y carried by Ihc railways of Caimda enjoys a bellcr rale than farm grains. I these measures are sound, nnd con- nl wllh Ihc dnetrlne of pYotccllon, bec-auae they aro designed lo stlmuhilc >.nd. snfegunrd the grciil basic Industry Replies to Free Trade Arguments. trad o a rg um e n in are beln ir n et today BB the untar head.of foreign market or open mnrltct-Is ,in un- certain market. It may he lost entirely through war. It may be restricted through legislation or economic causes. H ts iiat-.iral Hint Iho argument about selling in foreign markets and buying in jiroleclec! markets should be most strongly urgcil in Western Canada, whore grain ia grown for export. Hut the condi- tions of ngriculture are changing very i rapidly In Western Canada. Not so tnany I yuars 350 wheat was the principal source of faun revenue in Ontario. What ia the case i inures for the year J917 shoiv that wheat constituted 5 per cent, of the total value of the form produce of Ontar- io. oughiy Fpenkins, a new country starts growing wlitat nnd gradually into mixed farming, anil the progress of tUn I'rairEc IVovJnccs from the wheat yrowinij to tho mixed farm- ins stusd has already reached cxlcneivo proportions. The Increase In farm live alock be- tween 1111 p.nrl In Hie Prairie Prov- inces is scL forth in Table 13, page 115 of Ihc Canada Year Book, 191S. (Including capital out- Ksllmatetl revenue Estimated deficit Adopl frco Iradc, lose the cuBloms rev enue, which he cstlriialed tit nnd the deficit will be Those who would abolish, the Canadian customs tariff and, thus loao i-evenu which it prnduces, suggp-st that tills rev cnue shoulfl be replaced by the impost lion of the following1 direct ta on unimproved land values and natura rfrsoureas, Increased luxation on persona incomes, Increased Inherilance taxes, an increased taxnilon on corporations. As I laxinjj unrarncd Increment OS such, n objection Is offered, but 11 must, be re membcred thai vacant Ifind now pnys lax es to the municipalities nnd in some prov ndtlittonal laxcs lo Ihe nrovlncla Prairie I'rovlnccs: Horses Milch Cows............___ Catllc............... Touil CalUe Poultry..................... Increase per cenu 61 47 S3 SI 23 The growth of Industry in Manitoba, fjasKntclictvan, and Alberta Jn also extra- ordlnury. In 1010 thft ot goods man- ufaclurc'1 in UKSC llirae provinces was a negligible quandly. Yor tlit present year a very conservative esllrna'tc would plade (he value of the goods manufactured In the three I'ralrle Provinces at 000. In 1300 there was not a Single nicm- Ijcr of the Canadian Manufacturers' As- sociation located VfcsL of the Great At Ific present lime there are seven hundred. five hundred of these In There arc two courses can pursue In regard to our natural resources. Wo can plunder these resources ami ship thu raw or partly finished products out of the country to other countries, which- will take these materials, iiiariufacture'-theiu nnd sell them back to us In the shape of articles nt greatly enhanceu pric- es. TLe other courso Is lo conserve, lo manufacture in Canada not otiiy the pro- llmtnary processes, but also tlie succeed- ing processeaj and export the products in n finished state. Under the first for cxamjile, we would esnort our timber, ores nnd pulpwood. Under the second plan we ivouid manufacture them Into .highly finished products for domestic and for- eign consumption. Under the first plan only a limited amount of roughVIabor would be necessary. Most of tho business connected with lha processes of further manufacture, affecting banking-, transpor- tation and Insurance, would go to enrich other countries, of our own pop- uintlon would be forced to emigrate in search of employment. Under the second plan we could carry these processes of to the highest stage hero, government. In fact, much vacant Ian p'ovldine employment and creating bus- has bctrj. given up by the owners in. pref lness- first plan is free trade, Tho crente to paying the taxes new Imposed. second plan Is proleclion. tho I'rovince of Saskatchewan ada, Ihe protective system In Ca It may be that many who uso the free trade do not believe In them, -and1 arc trie rely trying ta create a diversion from which they may profit. BUt. since these free trade arguments ore being ufied to nWack the National Policy, It Is nec-ess-nry lo show why they cannol be applied profitably to Canada. One of the chief free trade arguments Is to belittle the value-oT the home mnr- ketr especially to fanners. It in stated that Canadian farmers.- sell ihtlr pro- ducts In an open market Ihe prices are fixed by International cornpe- find that they buy what they need In Canada which la of the market. wr, UescHl --....._._ as a the gross value Ada been officltilly catlmnled at During the rame year, cx- porla of unmnnufaclured fnrm proiiuce were valued al or If butter ami chceac ha included. at n Iltlle over 3 51 .000, 000, ]n other words, only between 1C and 18.5 per cert, of nil the produce of Canadian fp.rms wnn In Iho unmanufac- tured Btato while fcetwetn 81. fl and S( per cent, was marveled in Canada. The home market untler normal con- ditJons Iff a constant market. In a coun- try where Ihe population Is steadily and Allicrta. In fact.Western Canarta Is liecoinlug inpklly in- rtustticH which have .made Ihc filrUlcft MJIK milling, uaclilnp, slecl and Iron, clothing, bulidlng and pnjj- cr. Tho C-inndlan home marfccl that ab- sorbs farm produce IR the population of tho cities, towns and vLllarcs. Analyze city, town and. village, nnd it will foum) thai a considerable part of ihn activities of Ihelr inhabitants has its origin nnd ex- istence In the tho life of wholc.oalo ;md retail tlcp, comniercinl enlcrprlseF, Huslncsg rluster.1' around the factory. Close or re- strict the factory and bvslnopg dwindles the homo market declines, Anothrr trade Argument la thai under the protective syslom industry Income taxes aro now by Individuals to the inunictpalltles ami also the Poinln- lon Government. Inheritance arc now Impend by all the provinces. Corpor- ations are laxed as persons by municipal iirovinciul novcrnmenla o'nd the Pomlnlon government, unu" also pay spoclnl t.ixea to every province for the privilege of belnc conto rot ions. It Is Hub- Tnlltfd thrit Ihc aucgrslod forma of direct fhile cupal'le of cvtenglon, tannol produce In one year Ihc huge sum of 3335.o00.OiK) (or Ihe present, en- lire revenue of The fftct Unit Iho ]icr capita aniount ot revuntclrftlHid by Ihc tariff IB greater In Cmmda lhan in the Unlled Slates Is often uMcd as an nryurnent thai the Canadian Inriff Is too hlsli. The explanation of the fntt is umiplc. Tho b'Tiilcrl Slates Imposes a high tariff'on imports which compete wllh domestic products. Hut, because Ihe Unllcrt .States has litiHt up home Industry constantly adhering to the proltclive principle for 131 yeara. coitinarallvely Illtle Is Imported. Consequently, Ihe Amount of duty collected la smaller ptr capita In Cfinada, nnt becnilEC the United States duties are lower, but be- van no Iho volumo of imporls Is compara- tively much smaller. United States Competition The United1 Sl.-itos, with a population of 1'uyg from this country of peoplo only nbout one-half the yftltio of Iho goods which It sells tin. Our exports to the I'nttcd States nnd Imports from (ho ,Untied Stales for various yenrfa- slncc 1007 follow: OP 1MPOKTH FROM UNITED 5TATK3 FiRf-al Amount. totnl population. This Is a marktd contrast In Great Urilaln where the rural population' was 40. S per cent, of __________ r, u. Increaalng It is a growing -market The the whole whfin free traOe was adopted In year each Inhabitant of thfi Unit od Slates worth of Canadian gratis, while Canadian boncht 9IO worth of Unitfd Klales Kooda. signKlc Is the fact Hial Our purchases from the Uniled wcrn Inrgcly In mnnu- ifirtnrtd ihflir piirciiaftH from Ciinadrt Vft'Tf. raw mnlcHul, H -_ not fiurprlslni: ihnt (lift rate of oxchanyo Is (Vmnda and (haI our mone] is at a ht-nvy In the Unllec Htatcs- This la the sliuallon with a Can fldlan tariff, What wouhl H be If the tariff wore Abolished? CnnfuJR, In com pslinp with the United Staled, operate al present under certain disadvantages which may be Summarized follows; J. Tha Unilod Slntcd has maintal a protective tariff for 131 years; Can for 42 years. Prefcrenllal Tarltfa Within the Brltlih Empire. On llie whole, prospects seem brighl for' IB general extension of British prefer- ittlQt inriff systems throiufhbiil .British juntrirs, Such an nrrnngcnient amcngst ritiah Overseas Dominions would COITCS- ond with Ihc policy followed between c United States overseas countries, ln- ludIng Cuba. A similar is.followed their respective possessions- hy "ranee and Italy, ami lollowetl by- Gennuny. Canadian Factories In the War, Shortly nfter Ihe beginning of the war lie Canadian factory system was prac- put on biislf, and munition naklng was ofganlrcd. How Canadian aclorles aucceodcd In war manufaclurlnK a illnslralcd by tho following statement rom tho Issued by the ncl and presented to Uie Imperial CJov'- rnnicnl: "The manufncluriris' resources n Canada havo-been mobilized for war >roducllon almost ns complcte3y as those f tho British Alimillon work waa fono chiefly tinder Iho control of the Im- perial Munitions placed rrtcrs In Canada amounting- lo At the peak of operations between and workers were employ- (1 In making munitions Including shells, >artrf, Gl wooden ships, 44 slcel anrl aeroplanes. At tho same .time.Can- dlfin largely supplied tha Can- ,d1an rcpDlo at home nml the, CanpttEan Lrrny ahro.i'J. About hnlf the Canadian irmy camo from the factories and Kilt oturneil ID Iho factories on If we had nol built up a factory om and allied urmg and hustnejui; had been done for is largely by other countrlcfl, then Can- conTd nol have aant as many men lo he war, could not have supplied! shells, ships and .aeroplanes, could not have giv- en Targo financial aid. ami could nol absorbed her demobilized Conclusion. In Ihe. cource of ihls nlfltemtnl an efforl has been made to show thai man- ufacturing In Canada is Inseparably con- nected with other Industries; .lhat Iwo minion wage earners and dependents se- cure their living through manufacturing, and mosl of lha remainder o; the popnlallon derive indirect benefits; that, tills country as a whole has mado rcmarKabio 1'iojCress under Iho National Policy of protection; lhat, with'tho entire world swinging towards prc-lccllon, Can- Ada.caiinot relinquish It; that the revis- ion of the larlff shpuld to scientific anrl take into consideration tlie requirements of all .lhat a .stable fiscal .policy protection with some assurance of-per- mkncnco'ls a vital need; and, flnallr, that- Iho aim the fiscal policy delermlned ad n result of this enquiry, should be to ad- vance Canada towards her destiny as fully developed nation within the British Empire. A copy of the fun may be had on application lo any offics the Kuufacturera' Issued by the Canadian Manufacturers Association, Inc. ;