The Middlebury people's press. [volume] (Middlebury, Vt.) 1841-1843, 1841-09-07

revenue bill ought 10 be passed q, the present
session and, if for no other, for reason
urged against it by gentleman from South
Carolina, (Mr. HoLmEs.) He said that there
was no necessity for additional revenue, be-
cause the wants of the Government had been
supplied by the twelve million loan. In my
opinion, said Mr.. E., that is the cogent reason
why bill for additional supplies should pass
10 pay that debt. Oac ground on which
voted against Treasury notes was, that no
means were provided topay them. That they
constituted a permanent debt under deceptive
tile. And such has been the result. Tho
twelve million loan is, principally, con"e-
quence of the Treasury notes. And If VIC
would avoid a permanent debt, we should no"
provide the means to pay that loaI.
The gentleman from Massachusetts Mr..
WINTHROP had referred TO him az, perhaps
the only person who was in favor Of duty on
wool costing less than 8 cents per pound
The gentleman had stated that foreign wool OF
that quality did not come in competition with
the wool Of this country; and that duty OF
20 per cent. on such foreign wool would break
up the manufacturing establishments Of That
article. He was induced to think this gentle
man mistaken in both positions. Mr.. T.. SAID
that he believed that about one-ffh of the whole
wool clip was worked into cloths that come IN
direct competition with portion OF those
manufactured from the foreign WOOL 1t was
true that our coarse wool would not make all
the articles such as require the long staple
made Of the foreign wool; yet such as coud
/ be made Of both, or were used for similar pur-
poses so far competed with each other. AS TO
the manufacturers. he believed That inc dulV
ION an average about one and a fourth cent
per pound) would be deducted from the price,
We import large amount. If not taken by
our manufacturers, large portion cf 1t VIII DC
thro VII back on the market OF tho toroign WOOL
! growers. The manufacturer will not take 1t
at a higher price than viii afford MN fatr
profit and, at such price, it must be soI1' II
sold at all. Ia thi, view, be did not consider
| that our wool-growers had much interest IN me
question. He considered the duly as merely
for revenue, anu not for protection With or
without the duty, about the same quantity wouii
be important.
Mr.. Z. desired 10 say word about the
fory-Gale theory, the paternity OF which IS
claimed by the gentleman from South Carolina
(Mr, CAMPBELL.) There seemed 10 him con-
fusion of IDEAS on thai subject. 1t was one oil
these commercial mysteries, which either no.
| body understood, or nobody could ezpain-at
least, he had never found any Two OF these ,heo-
rists who agreed as 10 tho manner oil lis opera
ton, though they agreed in tho conclusion,
that exports pay tho duty on imports AMI III
the application, that cotton pays oil the taSes'
| He considered that both tho conclusion and It's
| application were unfounded.
The error seemed TO him to arise from bad
logic. The gentleman supposes particular
case 10 which the conclusion may DO aPPhca-
bic, and from that deduce theory applicable
to all cases. There are some cases 10 which
duty on an article purchased falls on tho artl-
Gle with which ii is purchased: some, IN wnicht
falls on the producer Of the article purchased
some, in which il falls on tho consumer: and
others, in which it is divided among the three
These results depend on no fixed, invariabIe con-
dition of things, but on the state OF tho market
for the time being, dependent on the reialio"
between supply and demand and any gwen
article may, at different times, be under each
Of those four categorles. tax on the I'M
ported article, purchased when the supply Oh
the exported article with which II ~ Pur'
chased exceeds tho demand in the foreign mar
ket, bears upon the producer OF the article En-
ported when the supply IS loss than Inc de-
mand, the tax bears upon tho article MtPorlea'
when the supply ofthe article imported exceeds
in the foreign market, the general demand Tor
consumption, the tax bears on the Hdnydcf"T-
or Of tho article imported and when Inc sup
ply il less than the demand, tho tax bears upon
the CONSUMER; and in proportion TO the dIiier'
ence between supply and demand. tho tax II
divided between the producer, tho iorcig'
manufacturer, and The consumer
The Formulation of these principles will cx-
plain the effect Of duties in all cases; and II IS
self evident they have nothing to do with tho
foriy-bale theory, which is nothing but theory
The sure signs which indicate the class To
which any article belongs are rising or falling
prices-high and low prices. They are tho
indices, not absolutely of general over or
under production, but Of over or under supply
in the market for the time being. Let gentle
men amply these principles 10 the article OF
cotton for the last twenty-five years, and they
will find that, instead of being subject to thu
forfy-baLs theory, it has in fact been exmpt from
| its lust share Of taxation.
! Tbere was another question in which tho
manufacturing interest, and he thought the
wboe country, WINS deeply interested. He
would enquire on whom, for the same period,
had the duties on the imports Of the manufac-
| lures OF Great Britain principally falleni Du-
ring that period our manufacturers had been
competing with those of Great Britain, and, to
the whole amount Of their products, had so far
excluded an equal amount of those of that ma
ton. During the same period their man'fac-
turers had been constantly increasing, and the
effect had been an increase of the products of
their manufactures beyond the demands Of all
her markets, domestic and foreign. This is
proved by the surplusses they have been con-
slantly throwing upon our market, and disPos.
inc of at auction sale. What else could they
do with theml If they threw them on their