AMERICA'S TRADE

New Zealand Herald, Volume LXXI, Issue 21742, 6 March 1934, Page 9

AMERICA'S TRADE

INTERNATIONAL ASPECT MORE IMPORTS NEEDED PAYMENT FOR EXPORTS POWERS OF PRESIDENT By Telegraph—Press Association—Copyright (Received March 5. 11.35 p.m.) Times Cablo LONDON, March 5 The Times says Congress will hardly bo üblo to refuse President Roosevelt the new powers he has asked for to make trade agreements. There is no object in increasing the already monstrous volume of foreigners' paper debts to America and some way must be opened to Americans to pay in goods and services, but the range of America's supplemental products is exceedingly limited. It would seem almost impossible, without encouraging competition with American industries, to increase America's imports to an extent which would pay for the huge volume of exports necessary to restore prosperity to the farmer. The President's bargaining power is so limited that ho is not likely to be able to achieve an immediate spectacular revival of international trade, but an encouraging noto is that he recognises the truth, namely, that exports must be paid for by imports. INDUSTRIAL RECOVERY FUTURE OF THE SCHEME COLLAPSE PROGNOSTICATED WASHINGTON, Feb. 27 The first anniversary of the "new deal" regime in the United States March s—will5 —will be a day of fate, one way or another, for the National Recovery Act, and there are those who predict that it will see the Blue Eagle taken from its perch for an unobtrusive interment. With the same shrewd timeliness which marks the most important acts of the Roosevelt Administration, General Hugh Johnson, administrator oi: the N.R.A., has invited its critics to the Capitol for that day. The attack on the Blue Eagle may be ferocious, because it is broadly hinted throughout the country that the N.R.A. has "lost its punch" and fallen far short of its objectives. On March s—quites—quite a big occasion—there will be a contrast with that grey day a year ago when all the banks in the United States were closed. The present situation will be made to speak for itself, just as the adroit President intends that it shall. Last week. General Johnson put into effect his 288 th code, that relating to graphic arts. Three months ago this would have been front-page news; now it is hardly mentioned. Blue Eagles Half Forgotten Three months ago any speech by General Johnson, wherever delivered, made headlines throughout the United States. To-day his words are briefly recorded and that is all. The Blue Eagles posted so proudly in shop windows six months ago are faded and half forgotten. Everybody is supposed to be under a code and retail customers no longer pick and choose their shops. The reasons for this sharp drop, in public interest in the N.R.A. are plentiful. General Johnson has ceased giving his daily dramatic performances in Washington. Normal working hours have softened his temper and his tongue. There are no more industrial magnates to be battled with. Battalions of N.R.A. propagandists have been disbanded. National code-making has almost petered out. The Chicago -Daily News recently featured in a front-page editorial the charge that the N.R.A. "has practically collapsed as the universal panacea for industrial 'depression." Three Reasons lor Failure Three prime reasons for the failure of the recovery plans were given by the paper as follows: (1) The N.R.A. is legally beaten — which is rather a premature contention because there has been no conclusive judgment, though the Federal Government all along has artfully dodged an ordeal by law. (2) The N.R.A. by limiting a man's hours for work was supposed to cure unemployment and prevent the dole, but it has not done so. In spite of all General Johnson's claims about the millions and millions of men put to work by the N.R.A., unemployment remained a tremendous problem all the winter and still is. Miss Frances Perkins, Secretary of Labour, shows that a bare 2,000,000 were newly absorbed in the labour, market, while General Johnson claims 4,000,000 to 5,000,000. (3) The very serious charge is made against the N.R.A. that by raising wages it was supposed to increase purchasing power, but in that respect there has been a notable failure. The cost of living has risen as well as industrial pay-rolls, so that the industrial pay-rolls cannot buy appreciably more goods than before the N.R.A.