THE ECONOMIC RELATIONSHIP
The difference in status of the two groups of dependencies vis à vis their metropolitan powers is somewhat easier to define in the economic than in the constitutional sphere. In sum, in economic matters the United States dependencies are treated, to all intents and purposes, as a part, albeit not a favoured part, of the continental United States, whereas the British dependencies are generally regarded as wholly separate from the United Kingdom, although the post-war economic crisis has resulted in some modification of this traditional attitude.
This basic difference is reflected in a variety of ways. The United States dependencies are, for instance, within the United States tariff walls,1 whereas each of the United Kingdom dependencies decides on its own tariffs in its own legislature, although decisions taken are subject to approval by the Secretary of State for the Colonies in order to safeguard any international obligations which the United Kingdom may have undertaken on behalf of its dependencies. Local governments in the British islands are dependent for a large part of their revenue on this source. However, although the British dependencies are outside the British tariff structure, they are within the imperial preference system, a fact which has long moulded the pattern of external trade for the British islands. This system has kept up the price received for export products to which it applies, wherever Commonwealth demands have exceeded Commonwealth production. It has not, of____________________