The naval programme did not in any year put forward as many ships as there were ship-yards. The government itself seemed to adopt the policy of fostering and promoting the new shipyards at the expense of the old, whereby the former were overloaded with work which they could not do, and they invariably became so hopelessly delinquent as to make the time clause of the contracts an utter farce. New shipyards, which had never completed a ship of any description, were loaded with 15,000 and 16,000-ton battleships of the most complex and difficult construction, requiring the highest skill and the most approved experience in every respect to carry on the work required for their completion.
It is not necessary to particularize further on this point, except to say that very large and important vessels, awarded to new and inexperienced concerns with a contract time for completion of three years, could not by any possibility be finished inside of six or seven. So the question naturally has arisen as to whether, in the formulation of its ship-building programmes or in its output of awards to contractors, the government really desires to augment its naval force in the shortest possible time or to figure as a good Samaritan toward new, inexperienced, unskilled, and needy shipyards, owners, and managers. Such a policy is based upon the fundamental error that what is called “plant” makes a shipyard. The real shipyard is not merely ground, waterfront, buildings, and machinery, commonly called plant; but with a thoroughly organized personnel in staff and working-men; with a generation or more of training and experience behind them. That is a complete shipyard. So far as mere plant is concerned, the size of a new shipyard or the amount of money spent on it cannot create a range of capabilities. The indispensable and over-ruling requisite is the trained staff and trained men that are in it. The lay-out of land, buildings, and machinery is but a small factor in the operation of an effective shipyard. Another thing to be primarily considered is that there are no enterprises of industrial, railroad, or mining interest that can be compared with a large modern shipyard for intricacy of professional and mechanical subdivisions in its organization.
Every handicraft or mechanical pursuit is to be found in such a shipyard or closely correlated with and contributory to it. The grouping of these diverse elements into a harmonious working whole needs the hand not only of a master, but a master of long continuous training; and in the adjustment of the various parts of the group, it is time, experience, and knowledge of the men composing it which are indispensable.
Returning now to the main theme, it seems proper to explain what the real bone of contention is in this struggle between the impulse of American patriotism and the greed of foreign ship-owners. It all goes back to the fundamental navigation laws of the United States which prohibit the registry of any foreign built ship under the American flag except in certain cases provided by law, which are not sufficiently numerous to be formidable.
In their warfare against government aid and encouragement to American shipping, the foreign ship-owners and ship-builders have not met the issue squarely or fairly face to face. They have invariably resorted to a subterfuge which is commonly known as the doctrine of free ships, the meaning and significance of which are not understood by the general public, and its consequences are realized most imperfectly, if at all.
The phrase viewed as a glittering generality is seductive, and it is regarded by many people as a mere proposition to enable American ship-owners to buy their ships where they can get them the cheapest, as the saying is. It is a curious fact that, with all the learning and the so-called logic of political economists, they have never yet, from Adam Smith down, clearly defined to us what really constitutes cheapness in all its elements, or what constitutes the reverse, or costliness. A mere difference in dollars and cents for a given thing to perform a certain work by no means expresses the difference. It may, and often does in fact, befog or confuse the mind. A bad or poorly constructed thing may be called cheap, and a good, well-constructed thing may be termed costly, measured by dollars and cents, and yet practically, in view of efficiency, durability, and all the other elements of desirability, the so-called costly thing may be actually cheaper than the so-called cheap thing, both being intended for the same purpose.
A free ship law, or the repeal of our existing navigation laws, would unquestionably load our registry with ships cheap in dollars and cents, but they would prove dear in everything else. In order to do what lay in his power to correct these misapprehensions and clear away this fog of ignorance on that particular subject, Mr. Cramp, in the North American Review for April, 1894, printed a paper entitled “Our Navigation Laws.”
In the course of this paper he called attention to certain facts of permanent historical value which there seemed a tendency to forget or ignore:
“At the time of the Franco-German War of 1870-71, even so sturdy a patriot as General Grant, then President, was persuaded for a time that it would be a good thing for our commerce, as a neutral nation, to permit American registry of foreign-built vessels, the theory being that many vessels of nations which might become involved in the struggle would seek the asylum of our flag.
“Actuated by powerful New York influence, already conspicuously hostile to the American merchant marine, General Grant, in a special message, recommended that Congress enact legislation to that end. This proposition was antagonized by Judge Kelley, of Pennsylvania,—always at the front when American interests were threatened,—in one of his most powerful efforts, couched in the vehement eloquence of which he was master, which impressed General Grant so much that he abandoned that policy, and subsequently adhered to the existing system.