2. _Absolute freedom of navigation upon the seas, outside territorial waters, alike in peace and in war, except as the seas may be closed in whole or in part by international action for the enforcement of international covenants._ Since 1793 the United States has stood for the freedom of the seas and the right of neutrals to carry on their trade in time of war as well as in time of peace. Germany's violation of our rights as a neutral by her submarine warfare was one of the causes of our taking up arms against her. By territorial waters the President here means the waters within three miles from shore, which are universally held to be under the complete control of the adjoining state. By international covenants are probably meant such covenants and guarantees as those mentioned in points 14, 1, 4, 11, 12, and 13. 3. _The removal, so far as possible, of all economic barriers and the establishment of an equality of trade conditions among all the nations consenting to the peace and associating themselves for its maintenance._ Economic barriers are mainly restrictions upon trade and commerce. These restrictions take various forms; they may be prohibitive customs duties, or excessive port, tonnage, and harbor charges; they may be trade agreements granting favors to the citizens of one country and _not_ to those of another. The President urges the establishment of an equality of such trade conditions. 4. _Adequate guarantees given and taken that national armaments will be reduced to the lowest point consistent with domestic safety._ The President here touches one of the most important problems of the coming peace. This has often been called a war against war; it has been said that it will be the last war. The sentiment which leads to such statements has its origin in a hatred of militarism. Great armaments were created because of the danger from Prussian militarism; and great armaments will still be necessary unless "this intolerable thing" is crushed or "shut out from the friendly intercourse of the nations." When it is crushed, some adequate steps must be taken by each state to reduce its armaments, on condition that all other states do the same. But many problems will face the world's statesmen in preparing a plan for guaranteed disarmament. How large a force will each nation need to maintain its "domestic safety"? How shall we be sure that Germany will not break her promise, as she has so often done in this war? How shall we be sure that Germany, or perhaps some other state, will not again secretly prepare for a war while others remain unprepared? 5. _A free, open-minded, and absolutely impartial adjustment of all colonial claims, based upon a strict observance of the principle that in determining all such questions of sovereignty the interests of the populations concerned must have equal weight with the equitable claims of the government whose title is to be determined._