Page:The Bank of England and the State, 1905.djvu/74

 some of their raw material below the actual cost of production. They have thus often been able even to sell the manufactured article to the very country which has given us better terms than their own countrymen; and the feeling in protected countries against this system is so strong that it does not appear likely that it will be permitted to continue very long. If we were to take steps to prevent these imports, the country determined on dumping would dump their goods elsewhere, that is, on neutral ground, and thus compete with us to an equal extent without our having had at least the incidental advantage of making use of the cheap material so to be obtained. The system is a bad one, but while it lasts, we may as well get as much good out of it as circumstances admit. Something, by the way, has also been heard about Colonial dumping, which is rendered possible through a system of bounties prevailing in some of them, and I do not know if it has been suggested that this also should be dealt with.

As to retaliation, it is impossible to express any opinion without precise definition of what that term means; it is entirely a matter of application and degree. No Government would be worthy of the name that did not make every legitimate effort to minimise, as far as possible without injury to ourselves, the effect of hostile tariffs and to negotiate commercial treaties in such a way as to bring about that result. But in making such effort regard must be had to the question whether the injury resulting from new duties is not greater than any advantage derived from them.

There are many who hold that our foreign trade might also be improved if our whole consular system was put on a different basis, and brought into closer touch with the diplomatic service. The functions of our Consuls at the principal foreign ports appear to consist mainly in their jurisdiction over shipping matters, and the duty of furthering our commercial interests does not seem to be so clearly defined as is the case with some foreign nations. Legislation at home may also often have had the effect of hampering, instead Of promoting trade, and such legislation is, we are told, responsible