* A Low-Tariff Group.
Political Liberalism is in eclipse in most .countries today, .. and the International ,Conference. of Radical and Democratic Parties which has net in London this week has no more than, ,a, limited importance.. But it provided an opportunity fOr ventilating again the desir- ability of the creation of a low-tariff group of States, of which it might be hoped this country would be one. The worst blows to international trade have been dealt by the creation of small economic units surrounded by high tariff barriers designed to make them as far as -possible self-supporting. The more the size of the units can be increased and the height of the barriers reduced the better for the world as a whole. While the idea of a return to full -free trade is visionary the- idea of a group of States with no more than, say, a 10 per cent. ad valorem tariff between them, is entirely practical. Unfortunately Great Britain's record in -this matter is bad. When Belgium and Holland endeavoured, by the Ouchy Convention of 1932, to apply sub- stantially this principle, this country and others claimed' the right, without making any concessions themselves, to benefit -under the most-favoured-nation clause by the reduced Belgian and Dutch duties. That clause badly needs revision to permit of low-tariff i;eciprocity.
•
Previous page
