PREFACE My aim in writing this book has not been to consider the temporary changes in industry and trade resulting from the war, nor primarily the problems of the immediate future, such as feeding starving peoples and restoring devastated areas. Although fully conscious of the importance of these questions, I have sought rather in the following pages to emphasize the permanent changes caused by the war and to discuss questions which for many years will rise for decision before the peoples of the world. In this book I have considered only those aspects of the work of reconstruction that have to do with commercial policy in war time and after. In Part I are reviewed the diversifying and modifying influences of the war on American and foreign industrial conditions. In Part II are discussed our national commercial problems the tariff, anti-dumping legislation, methods for preventing discriminations against our national interests, and methods for promoting, controlling, and democratizing American commercial activities abroad. Finally, Part III deals with world affairs and surveys unfair trade practices between nations and their regulation, the permanent lessons of the war in the control of the production and distribution of food and raw materials, reciprocity treaties, preferential tariff arrangements, the policy of the "open door," colonies, foreign investments and concessions, and the League of Nations. The proposals in Part III for a series of international commissions under the League of Nations as a step toward international government is an extension of the views contained in my article published in the Quarterly Journal of Economics, August, 1918, entitled, "Inter national Tariff Relations as Affected by the War," which was amplified in my address on "The Open Door and Colonial Policy" before the American Economic Association at Richmond, Virginia, December 28, 1918. The substance of both the article and the address is incorporated in this book through the courtesy of the editor of the Journal and the president of the Association. Portions also of my article in the Century Magazine for November, 1918, entitled, "Commercial Policy and the War," are used in this book with the permission of the editor, and the editor of the American Economic Review has kindly permitted me to reprint in an appendix my article on "The Tariff Board and Wool Legislation,' published in March, 1913. In some portions of this book I have used freely information contained in reports of the United States Tariff Commission and have not deemed it necessary in every case to give detailed references. I wish here to make general acknowledgment of my indebtedness to these sources. The views I express in this book are personal. They are not, it need hardly be said, to be attributed to the United States Tariff Commission of which I am a member because of their publication by me. I take full and sole responsibility for all statements of fact and expressions of opinion. Emporia, Kansas. Postscript: W. S. CULBERTSON. A summary of the treaty of peace is given out as this book comes off the press. To what extent this book is in harmony with the principles embodied in the treaty, to what extent the treaty establishes a basis for a liberal international policy such as this book argues for and such as the League of Nations Covenant gave the peoples the right to expect, must, at this late date, be left to the reader to judge. W. S. C. variety Commercial policy as a reconstruction prob- lem-Concepts of international commerce before the war - The permanent value of nationalism - Danger from the spirit of Prussianism- Bolshevism - The optimistic fatalist - Democracy and a constructive programme necessary- America's part in the world settlement A new social point of view - Three stages America's industrial position in 1914- Diversifying in- fluences set in motion by the war- - New glass products, on intermediates and dyes-Effect of America's en- trance into the war in April, 1917, on the dye industry - Germany's natural advantage in potash - Growth and nature of the American potash industry - Potash beds in Alsace - Germany's pre-war control of thorium nitrate Its production in the United States - Un- Demand for war supplies a second major influence modify- ing the chemical industries - Chlorine in the manu- facture of poisonous gas-Effect of stimulating its production- Caustic soda and soda ash- Sulphuric acid-Sulphur resources of United States - The war and Chile's monopoly of nitrate of soda - Nitric acid from synthetic ammonia-Smokeless powder - T. N. T. Picric acid-Relationship between explo- sives and dye industry- Varnishing airplane wings- Effect of the war on established industries of the United States - Period from August, 1914, to April, 1917- Period from our entrance into the war to the signing of the armistice American textile industries - In- crease in financial strength-Growth of export trade -War orders-American steel industry- Export ex- pansion - Increase in mill capacity-Unprecedented |