TARIFF HURDLE.

Star (Christchurch), Volume LXVI, Issue 20331, 14 June 1934, Page 5

TARIFF HURDLE.

Effect on Unemployment

Denied. REDUCTION URGED. (Special to the “ Star.") ' AUCKLAND, June 14. The contention that high tariffs can alleviate unemployment is vigorously contested in a statement made by Mr. J. Hislop, president of the United Kingdom Manufacturers* Association, and vice-president of the Auckland branch of the Reciprocal Trade Federation. Mr. Hislop said that forcible support for his view was to be found in the recent statement of Mr. Cordell Hull, Secretary of State in the United States. When asked by manufacturing interests to state what would be the effect on unemployment of a policy of lowering tariffs in America, Mr. Hull replied, “Ask that question of the millions of unemployed who are to-day walking the streets of the United States.” “So in New Zealand,” said Mr. Hislop, 'we would ask our friends who claim that the tariff is necessary to assist in the employment of our people, to tell that story to the 70.000 unfortunate men who are to-day walking the streets of our cities looking for work. Exchange Factor. “Tariffs on imports into New Zealand are higher to-day than ever in the history of our country, and in addition we have a devalued currency of 25 per cent enormously restricting imports. Why, in these circumstances, has unemployment been steadily increasing and employment in our factories steadily decreasing? We have a right to ask, therefore, when, if ever, will we begin to feel the effect of the high tariffs on our steadily growing unemployment?” “It is not generally known that the

number of people employed in New Zealand industries, according to Mr. A. K. ManderV evidence before the Tariff Commission, is under 4 per cent of the population, and it would be safe to say that a large percentage of this 4 per cent would be accounted for by girl labour. This is a serious matter for a young country like New Zealand, as we desire to see the bread-winning for our families restored to the strong arm of the fathers and sons and not in the hands of the daughters and sisters of these able-bodied unemployed men. We have a much nobler mission for our daughters ae the mothers of our race, provided we can find work for our sons. Distribution Breakdown. "Tariffs can never increase employment. They may move it from one branch of industry to another, but under no circumstances have they ever been known to increase employment in any country. If they could, then the high tariffs existing between this and all other countries would surely have given an abundance of work to all people in those countries, and we would have no unemployment in the world to-day. Far from this being the caae, every country is surrounded bv high tariff walls, and every country U suffering from the scourge of unemployment, simply because they are preventing the exchange of their goods and services for the goods and services of their neighbours. This, of course, means a breakdown in- distribution, bringing unemployment amongst seamen. Waterside workers, warehousemen, salesmen, railway employees, bank and insurance clerks, and hosts of others dependent upon them. Seeing that high tariffs have been given a fair trial over the past few years, would it not be an advantage to make a change in our policy and give a little more freedom to trade and see if this would put an end to the scourge of unemployment in this and other countries I”