Lynchburg Virginian. [volume] (Lynchburg [Va.]) 1829-185?, 1842-03-24
/ MORNING, MAEsCm 81, 1912.
3solttteal.
From me Baltimore .7,nericaa.
CorNrERvALlSG DuTlEs.-A late


guel Esl.. Of Philadelphia. II Is anlunlcntatlyo. an,
undertakes 10 show thai II ninety nno Of hundc,
nations adopt the restrictive sNston, Is the true policy
ottc remaining nation 10 adhere TO the principles
free trade. I!is ground certainly includes the real pom
AZ issue between The friends OF reciprocity the On,
sdo and the adv ueacs Of free mplfations the Other
Mr.. Racquet illustrates his views by reference II
particular He takes the trade between the Unto,
states and Hueuas aud Confines II, for the sake OF
dsuneineSs, to article each sdo-lnuf the on,
part and hldes on the other give his argument ant
Illustration III his own words;
Now, lc us suppose, that under this perfect freedom
e trade the FARMERS OF the United States should find
annually donaud IN Bucnos Ayios io hundred thou
sand barrels oil haur and thai the farmers Il BuenVa
Ayrcs should find IA demand in tie United States loi
three handfed Thousand hides: the lwo commodities be
my supposed 10 beouyucu To earch other in that pm
portion, and the exchange ailadng 10 each panty th II
| sual pru1ts II trade.
Lea u.s. then, suppose tlqt Bucnas Ayrcs either ia
the purposes d revenue. with view oi hcnchne tlc
oNnofs 81 bel wheat lands, by enabling them 10 get
higher pfce or then gram, should impose duty oiMon
" per cent upon tho flour oil the United States. what
WOULD o he Consequences These easily L. he
The trSt would be rise In the price o -four at Bur
ms A}ts efcpn al we'll IA domestic, alter the laFe OF
httie time. II n immediately, u an oNgnt equal TO
The duly i'm s j z.e1t, that II such increased Prize
could nj be attained. dc feien supply would cease,
IL the s.u, anaan. fsli, Al the old price, shipments
- I)ur aH tlHa ST. tt n.y. did no more Than weld
l usaai lnahs eAts9as .lnp, could not yield the SAINT
profits nn4tf dd69 Of t@tae per cent without such an
increased Ireo aud without hull remuneration, no iIadc
ein he long continued
The second consequence would be, diminished DE-
naud fl the iour 81 The tinted States. owing 10 the
augmented rner, ior nolng sclo1le than tAa the con
sumption vi commodities Of every description. whether
they be articles nNY, comfort. OF neees,ty, Is nilu
oncud y the prce. aud lldl Il Is wholly uup able 10
sell many thing at hah prices Al low prices, as
every Wiz, dealer hnoNa Who sells p5und ot butter,
every bakcfhnu@s Whp sells loa u bread and eNer
is every apathccafy who sells dose ct physie
ihe 5d couseucnse~ oad be, the fasoIs Of cattle in
ilucuos Ayles would experience diminished demand
III Their dt r ~ The second consequence would leave
les, fund Tie nett prucees OF the sale OF the lr of
the Tinted satt sore would moi be large an 1anI
10 be- invested m hdrs II $ true. that III The ir4l in
stance, owing II superintendent supply. tie pics
OF hides mieht fall tut this dnuinuon ii pIlcc
would only continue unil the supply should have
become adjusted 10 the new demand rcmuncaling
fcc. as alraiy said. being ~ niopara5e condition Of
III continued supplies.
TIL, fou6 Goa iutaac would Be- that the pr,pll Of
Bpen5s ty1es woald te obliged - pay lor Then dencs
TIC fJur, additional pcc equal 10 the duty. Which
would Mt only restrict thcm in the consumption oi An
article o the llsl necessity but restrict hcm IN lhrr
consumption 81 III things or tthry have more 10 pay
ior bread, teN must have tss to eNpcnd IN ohrr anti
ces.
What,yel .ujlh be lie precise eAtcnt To which The
trade would fall oil by the imposition OF dis duty. ii viii
hc sufficient CTR purpose d illustration. To estimate II
/
llon. 1t would appear that. under tho regulation
deere would h. q s5lc Al Bunos Ayrcs o only eighty
thousand barrels oi American luuf aud purchase, IN
exchange therefor. OF only Two bundled and forty tlon
sand hides. such dtmu'ioon OF the trade, II is nan
Hest, would inict INJURY upon the growers oi cattle
III ijuenos Ayres, well upon the growers of wheat
IN the United States, by restricting the market OF each
The aggregate product of the land in both countries
would be diminished and the Incomes Of both people
would be esScucd, ina6uuch neither would have
and ltpt Dt
product which il could raise 10 the best advantage
The theory am about Ia attempt 10 cpntroych *,
that IN consequence Of Bucnos Ayres Imposing duty ii
twenty per cent upon the flour Of the United States by
which M lacr deprived of the sale Of twenty thou
sand barrels Of four II for The Interest Of the United
States hai COUNT tgaiing day be laid upon the hides
OF Buenos Ayes OF such step lot Us examine the
suit.
Let us suppose, f,rexampe, that the United States
should impose a eounteryaIlhg duty Of twenty per cent
upon the h.dcs Of Bucnos Ayrcs. what would be the
consequences! These, II is nanl ., could not be DIFF
eren; from those described IN the iormor case Ihcy
would br--
FIRST an ultimate risr in the price ofidc. in die nj
ted States foreign and domestic, an cXtont eqnal to
the duty for If this the case, the foreign supply
would cease, for II is very clear that hides could b,
afforded subject 10 duty Of twenty per cent and yield
the usual profit oI trade, if HAT all they could d.
whilst subject ono duty
Tho sccond consequence wouldbe diminished de,
mand in the United State for the hides Of Buenos Ayrcs
owing - the rise Of price.
The third would be. that the growers Of wheat IN the
United Slates would experience a diminished dtinanC
for their n1nr for expectation TO Bucnos Ayres.
And tho folDih would be, that the people Of the tm
ted States would have 10 pay for their leather nad
from domestic hides, well as for that made fiorcgr
hides an additional price equal to the duty.
Estimating the effect Of tins countcryang duty TO
the sake Of round numbers, equal to another twcnt,
per dimnuton in the original amount Of trade. h
new posture # affairs would stand thus the Inct
Stats would ags ..rpori from Buenos Ayres, twenty pei
cent. L. Sc np, q DIES ,han before, and as noccs
sary zzs tael. vcud export 10 Buenos Ayers twenty
pr ra'. lr utaU = cf -four than before. IN olhc
uIas, the exchanges between the two countries woull
row BE- reduced II 60 600 barrels of flour. and 10000
hides; for there truths any science demon
sabe, than that the commerce OF every country
exchange Of equivalents equal values the place wher,
the exchanges made and that ga nation that viii moi
buy, cannot sell - and that "a nation that cannot sell
canuot buy"
| have thus shown that the countorvailine duty a
bove supposed, the United States have lost instead o
gained. They have it is true, injured the agricultural
Interests Of Buenos Ayres, by cutting them off Of sale
Of sixty thousand hides, but a concomlian and nscp
arabic effect Of this operation, they have injured tho
own agricultural interests 10 the extent by ting
their farmers off Of a sale of twenty thousand barrels
flour The game they have been playing, preciscl,
the that which would take place, if one mar
had cut of one Of his fingers, aud in the Of s,
doing had accidentally off one from the hand of an
other person and the other person, by Of retaliation
should cut off second finger from each OF the wounded
handsome from his own, and one that Of his aniaCa
mist,
We have for only few remarks al prcson, upo,
this specific case. But suppose that we retal.a,
up1u the hides Of BuCpos AyrcS for her dnty ul.,i