GENERAL FARM PROGRAM 861 



THE SMOOT-HAWLET TARIFF BILL 



I notice some of the newspapers are still talking about the Smoot-Hawley 

 tariff bill destroying our foreign trade and causing the stock market crash of 

 October 1929 and the panic which has followed ever since. 



Once again, let me repeat, for the benefit of the newspaper editors, that the 

 Smoot-Hawley tariff bill was not enacted until June 1930, 8 months after the 

 New York stock market crash. But let me point out to these editors the following 

 acts of the official Government record: 



During the 11 years from 1933 to 1943, inclusive, we heard more talk about 

 overproduction of agricultural products than we have heard in all of the 150 years' 

 history of this country. 



We have had the AAA to prevent production, and we have had agreements to 

 encourage imports. We had farm subsidies; we had rental checks; we had price 

 supports. We had every imaginable gadget that human minds could devise. 

 Let us see what the results of all this New Deal experiment amounted to in 

 practice. 



According to table 715, on page 656, of Statistical Abstract of tlie United Sates 

 of 1944-45, we find that during the 11 years of 1933 and 1943, inclusive, we ex- 

 ported agricultural products in the total amount of $8,723,787,000, but im^Dorted 

 during those same 11 years, agricultural products in the amount of $12,786,725,000, 

 We actually imported $4,062,938,000 more than we exported of agricultural 

 products. 



In the year 1940, we passed a lend-lease bill, under which the American people 

 imagined that we shipped vast quantities of American farm surplus to the Allies, 

 Let us see what the Government figures show. In 1940 we imported $1,239,- 

 444,000, while we exported only $737,640,000 agricultural products. 



In 1941 the story was even worse. In 1941 we imported agricultural products 

 to the extent of $1,473,661,000, while our exports of agricultural products 

 amounted to the measley sum of $349,821,000. We imported more than four 

 times as much as we exported of agricultural products in 1941. In 1942 our 

 imports of agricultural products exceeded our exports by the sum of $472,941,000. 



The fact that we imported more than $4,000,000,000 in excess of what we ex- 

 ported does not begin to give you an idea of the true story. 



From 1933 to 1943 the average price of corn was 73 cents per bushel. The 

 average price of wheat was 89 cents per bushel. The average price of hogs on foot 

 was 8 cents per pound. The average price of cotton was 12 cents per pound. 



Most of our imports of agricultural products were in raw form. Most of the 

 processed, semiprocessed, and manufactured agricultural products imported were 

 of the cheapest character. It is thus evident that the volume of imports measured 

 in pounds, bushels, and bales was much greater than the volume of exports when 

 measured in terms of pounds, bushels, and bales. 



Suppose, for example, that these imports had consisted of corn, wheat, hogs, 

 and cotton. 



In order to import $4,000,000,000 worth of either of these four commodities, it 

 would have been necessary to have brought in — 

 Corn — 5^2 billion bushels. 

 Or wheat — 4I2 billion bushels. 



Or hogs — 250 million head weighing 200 pounds each. 

 Or cotton— 66 million bales averaging 500 pounds each. 



During the period of 1933 to 1943, our excess of imports of agricultural products 

 over our exports of agricultural products amounted to about 10 entire crops of 

 wheat. 



This excess of imports amounted to about two entire crops of corn. This 

 excess of imports amounted to about two crops of hogs. 



This excess of imports amounted in 11 years to about five crops of cotton. 



In order to see the story in full, we must deal with the entire volume of agri- 

 cultural imports. 



During the 11 years of 1933 to 1943, inclusive, our total of agricultural imports 

 amounted to $12,786,725,000. 



If all these imports had consisted of corn and wheat and hogs and cotton, it 

 would have amounted to — 



Corn— 4,000,000,000 bushels— 2 crops. 

 Wheat— 3,500,000,000 bushels— 7 crops. 

 Hogs— 187,000,000 head— 1^4 crops. 

 Cotton— 53,000.000 bales— 4 crops. 



