My hon. friend cannot
trade with Europe. He cannot trade with Australia, because Australia cannot pay him. Where is he going to trade? Or is he going to surround this country with a high board fence and neither climb out nor
permit anybody else to climb in? If he does so, I venture the opinion that that course will not get him very far.
What are the figures of our growing trade with the United States? In 1910 we exported $110,000,000 worth of goods to that country. In 1912 that figure had grown to $112,000,000; in 1914 to $176,000,000; in 1918 to $440,000,000, and in 1920, the year that has passed, our exports to our southern neighbour had grown to $560,000,000. Is not that a desirable market to cultivate-the one to which your exports are growing, and which promises to take more and more still as time goes on? It is the eminently sensible thing to do.
I should like to say a word also in criticism of some of my hon. friends opposite who rather hold up the bogey of adverse exchange with the United States as a reason why we should cease trading with that country. The argument has been advanced that we should cease buying from the United States because they will not pay the full value of our Canadian dollar. Well, you might as well have the argument from an importer in the United States that he will not buy from Canada because we charge him a premium on his dollar when we sell to him. But as a matter of fact this condition, as was pointed out in this House a year ago, is not due alone to an adverse balance of trade with the United States. If my hon. friend opposite think that it is how do they account for this fact; that while in January a year ago the adverse balance of trade as between Canada and the United States was over $31,000,000, and our dollar was at a discount of a little less than nine per cent, in the month of December last, when the adverse balance of trade as between Canada and the United States was only $4,000,000, the discount on our dollar had grown to 19 per cent. If the discount on our dollar is due to the adverse balance of trade, why does it not tend to correct itself as the balance of trade tends to right itself. As a matter of fact, if we examine the trade figures as between Canada and the United States for past years, we shall find that ten years ago, fifteen years ago, the adverse balance of trade between Canada and the United States was relatively much greater than it is to-day. There can be no doubt that this market is a very valuable one for Canada, Moreover, I am commencing to note, amongst the business interests of Canada, a recognition of the need for extending our markets. A few
weeks ago; Mr. John Galt, President of the Union Bank of Canada, made this statement at the annual meeting of that institution :
It is clearly now the critical hour and the commercial flag of Canada should be carried into every available market abroad.
The policy of my hon. friends opposite is to keep goods out of the country and to prevent goods from going out of the country.
Subtopic: ADDRESS IN REPLY.