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HON. HALE BOGGS Means, on Which I Am Privileged to Serve, We Must Be Frank About It

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HON. HALE BOGGS Means, on Which I Am Privileged to Serve, We Must Be Frank About It 1958 ·coNGRESSIONAL RECORD-· HOUSE 9639 E X T E N S I 0 N· S 0 F R E M A R K S The Reciprocal Trade Agreements have or let them rust into uselessness? That overwhelmingly essential. It seems to me surely would be the height of folly and irre­ that this is the proper perspective in which Program sponsib111ty. And yet that is what would to view the reciprocal trade program and to happen if we scrapped the reciprocal trade weigh the many arguments pro and con that EXTENSION OF REMARKS program or crippled it with protectionist will fill the air over the next few months. amendments. I am pleased to report to you These, then, are the essential issues as I OF tonight that the Committee on Ways and see them. HON. HALE BOGGS Means, on which I am privileged to serve, We must be frank about it. This program has resisted these pressures to destroy or cut may cause competitive disturbances and in­ OF LOUISIANA the program. We have reported a good bill jury to small segments of the American IN THE HOUSE OF REPRESENTATIVES that is faithful to the principles of our pro­ economy. But that is no reason to throw over gram. I say we do have weapons to fight Tuesday, May 27, 1958 the big idea, the good idea. The benefits this war, weapons that are battle-tested from our trade policy both in terms of the Mr. BOGGS. Mr. Speaker, under and ready and the trade-agreements program benefits to our own econmy as well as in leave to extend my remarks in the is one of these. terms of our national security, are so over­ We must recognize, however, that there whelming that they cannot possibly be per­ ·RECORD I include the following address Is an important difference between what we which i delivered before the World Trade mi~ted to be reversed by the special interests can do through our trade policy and what of a few. The United States economy makes Club of Cincinnati, Ohio on May 20, 1958: the Soviet bloc can and is doing with its adjustments each year to changing competi­ I was particularly pleased to receive your trade policy. In the case of the Soviet bloc tive circumstances that dwarf into insignifi­ kind invitation to speak before the Cincin­ it is the Government that is engaging di­ cance the kinds of adjustments that would nati World Trade Club. rectly in foreign trade, making deals de­ be required in response to a more liberal I need not emphasize the vital importance signed to exploit weak points in the Free trade policy. By and large I feel that the fu­ of the reciprocal tr~de agreements program World economic picture. The basic philoso­ ture growth potential of the United States to your area, and it is on this subject· that phy of our trade program is that govern­ economy will permit these adjustments to I should like to address my remarks today. ments should progressively remove barriers take place without any undue burden on We must look at our trade policy in the to trade so that it will move in response to any segment of the economy or any group perspective of the times. The Soviet Union the needs and decisions of thousands upon of individuals or individual businesses. is challenging us in the struggle for men's thousands of individual businessmen con­ Nevertheless, we cannot afford to undermine minds everywhere. Significantly, the new ducting their businesses in an atmosphere of our program because of the fears, either real Soviet Ambassador to the United States is an . freedom of enterprise. That is the funda­ or imaginary, or what the adverse conse­ expert on trade and equally significant, the mental difference that reflects the basic quences of that program might be on the number two man of the Soviet Union, the philosophies of our two systems and it is a few. Indeed, where problems do arise it Deputy Premier, Mr. Anastas Mikoyan, is a difference that needs emphasis. If we really seems to me that we can exercise our imagi­ trade expert; It has been Mikoyan who has believe in free societies and as~ociations of nation suffi.cien tly to devise other ways of used trade to get a grip on the economies of men, of which free enterprise is one of the treating these problems, ways that would such varied countries as Egypt, Syria, Burma, cornerstones, then it is important to put not undermine or do violence to the basic Iceland, and now missions are to be found all freedom to work for us in the field of trade policy we wish to pursue. over Latin America negotiating for Brazilian relations. The greatest danger to the trade-agree­ coffee, Argentine wheat and beef, Chilean This long-run contest is, after all, a con­ ments program, however, does not come from copper, wool from Uruguay, and similar raw test of ideologies, of economic and political those who would like to throw it overboard, materials. · systems. We seek to unleash the energies, and who would vote against any extension The events of the last fortnight in Latin the initiative, the ingenuity of freemen of the program. Rather it comes from those America demonstrate more eloquently than throughout the Free World for · the purpose who are willing to vote for extension of the any words that I may command the effi­ of developing the economic life of that world trade-agreements program if-and that is a ciency with which the Communists exploit so that the benefits of increasing produc­ pretty big if-if ·amendments are made in it our trade diffi.culties. Of course, all of the t! vity and growth can be shared by all. that will take care of certain groups ·who demonstrations in Latin Amel;'ica against our :Trade, and expanding trade, in an atmos­ want protection, or if some of the procedures Vice President were Communist inspired. phere of greater · and greater freedom is a under the program are changed, or if the :But, had it not been for 'festering discontent vital means of accomplishing that objective. period of extension is something less than caused by our lack of policy in trade matters Our greatest strength, therefore, is also _· our 5 years, or if the authority to reduce tariffs toward many of these countries, I doubt if greatest weapon. It is strange then that is something less than 25 percent. It ill the Communists would have been quite so so many leaders of business at home who from this kind of alleged proponent of the successful. believe in free enterprise call for Govern­ program that the greatest danger to the In this connection let me read a quotation ment interference the moment trade crosses program lies. from a recent article in Business Week maga­ a national frontier. I think our committee in reporting the zine concerning the Soviet trade offensive: There is a second important characteristic bill that we have, has served the interests of "The Communists, for their part, are play­ of the trade policy that deserves more atten­ our foreign trade program well. We have ing the political angles just as they did in tion than it has received. Unlike other pro­ recommended a 5-year extension of the re­ 1955 before the last summit meeting. Soviet posed solutions to the difficulties that beset ciprocal trade agreements program and au­ leaders keep stressing that 'mutually ad­ us, such as greater military expenditures and thority for the President to reduce duties by vantageous economic ties' will help ease in­ increasing foreign aid, trade is a weapon 25 percent, as the President requested. We ternational tension. From more normal that brings us good returns today and in the have made some other amendments in the trade relations the Communists obviously future. By making trade freer and permit­ legislation, many of which are of a technical hope to gain political respectability. ting it to expand, we are not only letting it nature. There is one amendment that I am "That would speed their political penetra­ go to work as an effective instrument of for­ sure you have already read about and that tion of the Free World and help promote eign policy and as a tool for strengthening you will hear more about in the future. their already fast-expanding trade with the the Free World and, therefore, indirectly That is an amendment which would permit underdeveloped countries, including Latin weakening the Soviet bloc, we are also-and both Houses of Congress by a two-thirds America. In addition, the Reds probably this is fundamental-adding to our own eco­ vote of each House to put in effect recom­ stand to gain some real, if marginal, eco­ nomic strength, improving our own econom­ mendations of the Tariff Commission under nomic advantages from increased trade with ic productivity, giving better and more jobs the escape clause after the President has re­ the West." to people in the United States, providing fused to do so. I am frank to say that I did Just a few months ago Mr. Khrushchev ourselves with increasing raw materials at not like this amendment, for I think there told American reporters in Moscow: "We de­ lower costs and giving the consumer a great­ are sufficient procedures and provisions in clare war on you-excuse me for using such er break in terms of the range of things he existing law that can offer remedies for an expression-in the peaceful field of trade.
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