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RESTR TOTED RESTRICTED -190- -191- As regards the economic aspects of independence, Analysis of dominion status resulted in the the Tariff Commission's report concludes that the following conclusion: 1 island would have to receive for an indefinite period substantially the economic treatment which "From the standpoint of Puerto Rico, it now receives. The island's sovereignty, how- the economic provisions accompanying the ever, 1 'dominion' status would therefore be more favorable than those accompanying the 11 would be so seriously compromised Tydings-Pinero independence status; but with respect to both economic and political they would not likely offer the island matters, that the island would not in fact any better opportunity for solving its be independent. It would remain, for all basic economic problems than would the con- practical purposes, a United States dependency tinuance of the existing economic relations which would enjoy a much greater degree of with the United States. political autonomy than at present, but with- out the new status contributing any more, if After a survey of the several status alternatives, indeed as much, to a solution of the island's the report also states:- 2 basic economic difficulties than the present " arrangement affords." it would appear that the economic problems which Puerto Rico poses, both for Nor would Statehood benefit the island econom- itself and for the United States, are not ically: 2 susceptible of solution by a purely politi- cal change in Puerto Rico's status. "It is doubtful whether any addi- Even under the most favorable political tional economic benefits that the island circumstances, such economic progress as could reasonably expect to receive on be- the island can achieve out of its own re- coming a State would, at least in the short sources and on its own initiative is bound run, outweigh the losses of present benefits to be slow." that would accompany such a change in status. There are no Federal financial aids which Elsewhere in the report it is pointed out that Puerto Rico does not now receive which it the programs of industrialization and agricultural would automatically receive if it were to development already initiated and those projected become a State. there would appear little for the future by the insular government with the basis for any expectation that Puerto Rico aid of Federal contributions are? could deal with its major economic problems more effectively as a State than it now can; in all probability, it could not deal with 1 Ibid., p. 20. them so well." 2 Ibid., p. 32. l Ibid,, p. 19. 3 Ibid., pp. 27 and 30. 2 Ibid., pp. 21 and 23. ICTED

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    "ocrText": "RESTR TOTED\nRESTRICTED\n-190-\n-191-\nAs regards the economic aspects of independence,\nAnalysis of dominion status resulted in the\nthe Tariff Commission's report concludes that the\nfollowing conclusion: 1\nisland would have to receive for an indefinite\nperiod substantially the economic treatment which\n\"From the standpoint of Puerto Rico,\nit now receives. The island's sovereignty, how-\nthe economic provisions accompanying the\never, 1\n'dominion' status would therefore be more\nfavorable than those accompanying the\n11\nwould be so seriously compromised\nTydings-Pinero independence status; but\nwith respect to both economic and political\nthey would not likely offer the island\nmatters, that the island would not in fact\nany better opportunity for solving its\nbe independent. It would remain, for all\nbasic economic problems than would the con-\npractical purposes, a United States dependency\ntinuance of the existing economic relations\nwhich would enjoy a much greater degree of\nwith the United States.\npolitical autonomy than at present, but with-\nout the new status contributing any more, if\nAfter a survey of the several status alternatives,\nindeed as much, to a solution of the island's\nthe report also states:- 2\nbasic economic difficulties than the present\n\"\narrangement affords.\"\nit would appear that the economic\nproblems which Puerto Rico poses, both for\nNor would Statehood benefit the island econom-\nitself and for the United States, are not\nically: 2\nsusceptible of solution by a purely politi-\ncal change in Puerto Rico's status.\n\"It is doubtful whether any addi-\nEven under the most favorable political\ntional economic benefits that the island\ncircumstances, such economic progress as\ncould reasonably expect to receive on be-\nthe island can achieve out of its own re-\ncoming a State would, at least in the short\nsources and on its own initiative is bound\nrun, outweigh the losses of present benefits\nto be slow.\"\nthat would accompany such a change in status.\nThere are no Federal financial aids which\nElsewhere in the report it is pointed out that\nPuerto Rico does not now receive which it\nthe programs of industrialization and agricultural\nwould automatically receive if it were to\ndevelopment already initiated and those projected\nbecome a State. there would appear little\nfor the future by the insular government with the\nbasis for any expectation that Puerto Rico\naid of Federal contributions are?\ncould deal with its major economic problems\nmore effectively as a State than it now can;\nin all probability, it could not deal with\n1\nIbid., p. 20.\nthem so well.\"\n2 Ibid., p. 32.\nl Ibid,, p. 19.\n3 Ibid., pp. 27 and 30.\n2 Ibid., pp. 21 and 23.\nICTED"
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