THE TRIUMPH OF THE CHAMBERLAINITES. [To THE EDITOR OF THE
" SPECTATOR.".1 SIR,—In your article under the above beading in the Spectator of March 12th (p. 401) you say:—" 'Dumping' is only foreign
importing under a vituperative alias The modern Protective systems of the Continent have their origin in the attempt to put down British dumping." The word, ugly as it is, has, however, a definite meaning, which in all fair and candid argument must be recognised. It means exporting goods at a price lower than that at which they can be legiti- mately produced,—by the sacrifice of a portion of the exorbitant gain through selling another part of the same production in a highly protected home market. Perhaps you will kindly explain to your readers some of the instances of British " dumping " which originated the modern Protective systems of the Continent in the manner you describe.—I am, [The Continental and American Protectionists always contended that they required protection from the unfair competition of British manufacturers. We remember, for example, the appeal of an American Protectionist who declared that American poultry must be protected against the unfair competition of "the pauper hens of Europe." Pro- tectionists habitually declare that foreign goods come in at a price below that at which they can legitimately be produced. We were, of course, quite aware that this special meaning was sought to be attached to "dumping," but we have always refused to admit that it has any real basis of fact. When a manufacturer objects to the entrance of foreign goods, he is apt to show his annoyance by declaring that they are "dumped," but that does not alter the fact that what he really objects to is that goods are being sold here cheaper than his own goods. Whether they are or are not sold at a price lower than that at which they can be legitimately pro- duced is not the fact that worries him, but the competition created with his own goods. So-called " dumping " is perpetu- ally taking place in all trades by our own manufacturers. At this moment the Scotch steel manufacturers are, we believe, alleged to be thinking of " dumping " steel in England. In a sense all the goods offered at a " sale " are "dumped." If "dumping" is to be put down, we must have inspectors entering all the London shops to see whether the goods are not being offered below the price at which they can be legitimately produced.—En. Spectator.]
Previous page
