Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1828-03-21
OF THE STATE OF THE FINANCES.
MARCH l2 1893

OF THE STATE OF THE FINANCES.
MARCH ~, 1928.
Read and laid upon the table.
Mr.. McDufie, from the Committee Of Ways and
Means, made the following REPORTS
Continued
They now propose TO inquire into the extent Of
inns prohibition and TO trace its operation upon the
foreign commerce, and upon the revenue of the
country. The whole amount of the importations Of
woolien manufactures in the year 1926, was S.
1894 The whole amount of their importa,ions
In lS27, was s 1861 ,740. This statement exhibits
an increase OF the importations in 1927, beyond
what they were in 1926, of 3 229, .66. In the ia
riff of 1924 certain escriptions of woolens were
empted from the general provision of the law i'm
posing duty Of SO 1-3 per cent on woollen man.
ufactures, and subjected TO duty of % per cent.
only. The importations of woollen manufactures,
subject to the higher rate of ad valorem duty, and
oil carpeting subject TO still higher specific duty,
amounted in 1926, to So ,57l O3I anil in 1927 on
~ to $685. l60; exhibiting decrease in the i'm
portaons of woollens subject to the higher duties
of S277,87I
The impor,ations of woollens, subject to the low
or rate OF duty, amounted, in 1926 TO 81 $50 943,
and IN 1927, to 50 ,36S $50 exhibiting an increase
oil the importa,ions OF this description of wooens
amounting to S50S,6 When it i, recoected
that the importatons of 1926 were made at the We
ry crisis of the reaction produced by the extraor-
binary speculation and excessive iinportations of
1879, Just Inference may be drawn from the COM
parauve statement above presented, as TO the eff
tect OF the tariff of 1924. 1t will be seen that the
importation, in 1927, o. woollen goods subject to
the higher rate oil duty was lees than in the year
preceding; whereas, from the natural increase
ana recovering state of our commerce, as well as
nom reference to the importations of woocns
paying only 20 per cent duty, considerable in
crease ought TO have been exhibited. The COM
mittee will here remark, in further illustration of
the effect ofthe tariff of 1924 that the average i'm
portatons Of woollens for the three years preccd-
ingi;, amounted to Ss,9sl 1886; being an excess
OF 2 S2O ,ls6 beyond the importations ofl62T.
The importations of the descriptions of wooien
manufactures, which fall under the operation Of
the high duties recommended by the Secretary of
the Treasury, amounted, in 1927 to upwards of
SIX millions OF dollars. recurrence to the analy-
sis presented by the committee will show that the
great mass OF woollens embraced in the scheme of
duties proposed by the Secretary, will be chargea-
Die with more than 100 per cent; O considerable
proportion with more than 200 per cent; and but
small quantity with less than 10 per cent The
committee, therefore, think they are quite within
bounds, when they assume FIVE millions as the a.
mount OF woollen manufactures that will be ex-
ciuded, and speedily excluded, if the duties recon-
menccd shall be imposed upon the foreign manu-
facture They believe it may be assumed, with E.
quail confidence, that duty of five cents the square
yard, in addition to the existing duty, on cotton
manufactures, will exclude the foreign manufac-
tures to amount OF So 500 900. When to these pro-
hibitons, those of raw wool bar iron and hemp are
added, 1t will not be extravagant to estimate the
duties, at ten millions of dollars, within few years
after their imposition. Making every allowance for
the increased rate of duties that will be collected
on the remaining mportations of the articles under
consideration, the committee cannot estimate the
annual loss OF revenue, resulting from the duties
proposed by the Secretary Of the Treasury at less
than 81 1000 900. And here the committee cannot
nut pause Tor moment, to contemplate the sing,l-
lar extraordinary spectacle of an officer who pre-
SIDES over the finances of nation, recommending
which. ne
1t VIII diminish the natonalincome $4,000 900 per
annum, will increase the burdens of the conm,ini-
ty beyond all example in time of peace, and fully
equal to any in time Of war! 1t is due, however.
as well to the station of the officer in question
as to the magnitude of the national interest inyoy
ed, that the grounds upon which he places his re
commentator should be fairly stated, and dispas-
sionately examined. And the committee cannot
but express their regret, that the views of the
Secretary have not been presented in propositions
more distinct, and In language less ambiguous
hat they may not, however, do Injustice to his
opinion, as to the effect of the proposed measure
upon foreign commerce, they will state it in his
own words: "Ihe opening of new objects of labor
Says the Secretary by multiplying the occupa-
tons OF men, has also increased the public prospe.
MY This has produced an increased ability to buy
al articles OF consumption whencesoeyer obtained
Hence foreign trade has not declined of which |
we have the incontestible evidence lust stated |
Fhust new domestic resources, in manufacturing
labor, have been unfolding themselves. As the lat
ter are more amply brought out, it is confidently
that the former will become wider and
more enrIchlng in its range" AS far as the com
nittee are ableto comprehend the specific bearing
ol the words and sentences lust quoted they inter
pref them to mean, that the loss which foreign
commerce will sustain, By excluding the foreign
articles IN question, will be amply compensated by
he increased importation of other foreign merchant
Use, which the augmented wealth of the peo-
pie will enable them to purchase and consume
believing that this opinion, as TO the effect of the
proposed tariff on foreign commerce. is utterly des-
itute of any just foundation, and that Z: can only
ina cover under the vagueness and generality of |
ne terms In which 1t IS expressed, the committee |
VIII now attempt to remove the veil from IT, by cx
llbtting practical view of the effect of the propos
"a increase Of duties on the wealth of the nation
Assuming that it will exclude foreign manufac- |
ures, Or which is the same thing, give effective |
protection TO domestic manufactures, TO the extent
u ten millions Of dollars, il remains to be nscer-
AIMED how and to what extent the various interests
81 the country will be affected by the change.-
In the first place, then, il is conceded that the
price Of the manufactured articles in question
viii be enhanced, and the only doubt is as TO the
extent and duration Of the enhancement The
present duty upon woollens is 81 and 2 per cent
md the testimony of the persons engaged in the
aege that it is grossly Inadequate |
i he very lowest duty in the scheme recommend |
cd by the Secretary of the Treasury is So per cent
md that Is applicable only to very inconsderable
portion OF the woollens imported. Upon the great
mass vi ,lehl, IL Is uouDle mat rate. 1t Is pre-
'umed, therefore, that the manufacturers while |
isking duties Of from So to 2Sl per cent will adj
nit that at least So per cent is necessary 10 give
hem protection, or, in other words, to exclude |
heir foreign rivals. If this be granted, it conclu-
Iively shows, that the price of domestic manufac
lures, in order to give them adequate protection,
must be raised fifty six per cent. above what the |
oreign manufactures would cost in our market if |
t were not for the duties imposed by the Govern |
nent. The effect, then, Of the proposed duties
grn En to r