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HOW TO MEET TRADE AGGRESSION
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be for various reasons the more desirable course. For, in the first place, in most if not all cases where real danger to our national defence was apprehended, the industry would relate closely to some class of armaments. Now, although in war itself it may be necessary to call upon private engineering firms to supplement the State supplies of arms, it ought clearly to be the function of the State to carry on the ordinary production of arms in its own factories and workshops, not allowing great private vested interests in war to grow up within the body of the nation. If, therefore, the aggressive trade policy of any foreign State threatens to deprive our State of articles essential for our defensive services, the production of such articles clearly falls within the proper scope of State enterprise. It is to this national organization of defensive industries, and not to tariffs, that we should look for our defence.

But outside this restricted circle of war requisites there are a number of industries producing trade materials or consumable