After Lord Wolverhampton (Sir Henry Fowler) in a maiden speech
had dealt with the position of India, Lord Milner ex- pounded the Tariff Reform side of the argument with his usual fearlessness and ability. It is not too much to say, however, that his was essentially a Protectionist speech. For example, he declared the idea that the adoption of Protection by a country is going to reduce its export trade ie exploded by the facts all round us. " Highly protected countries are con- tinually increasing their export trade." But surely Lord Milner must see that if this is so, either those countries are being paid in goods, in which case Protection does not, in fact, protect, but is merely throwing so much sand into the machinery and causing a waste of energy, or else the Protectionists are managing to sell without taking anything in exchange. The only escape from this dilemma is that they are taking gold for goods. But since we cannot eat or wear or sleep on gold, gold is only a ticket for goods which we must at once present to be cashed in products. Protectionists never seem to remember that you cannot sell without buying, though no doubt you may insist on not taking the full benefit of an exchange, and thus upon wasting some of your substance. Incidentally Lord Milner remarked that in his view of preferential trade he was unaffected by the extent to which the Colonies may adopt Protection. "I am un- affeeti3d by the hope or fear that a preferential system may
lead to the general adoption of Free-trade throughout the Empire. I am somewhat doubtful of the advantages of such a system of Free-trade, but we need not discuss that now."
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