The daily Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1841-1845, 1842-07-21

~ no said tina, the excess of price here that Of
other countries, could only be liked ProPorton' 70
be regulated by the tariff lsel and that foreign trade
could only to reduce any accidental elevation
~ the domestic price beyond that proportion. THIS
ex nansion of currency and Of prices would also ex-
ma md the credit system. They would not only cease
to buy much of us at such prices but they would also
sell to us all that we could purchase, either WI money
or credit until burst and thus they would break
down not only many II the manufacturers, out they
would cause one othose reatreyulsons which lead 10
general alton of debts, and Ia the prostTa'ion oil
ali the great productive interests ms Is no mere
theory II was TO this very cause that Adam Smith
MI n,eJ The destruction of the manufactures of Old
Soain. | will not pause TO inquire how lar he was
night in this suggestion but IN our "a country, We
have seen a similar state OF things. ne tarih .,
1916 led TO that of 1924 and that OF 1874 produced
the state of things out OF wn'on grey tn0
necessity for another tariff IN 1923 Inc expansion
of the currency produced by these almost prohoi'oiy
duties encouraged the Importation OF ioreig" COM
moItes produced under sounder state oil currency,
almost as much and sometimes more tnan the ae'ua'
tax discouraged their consumption. his tendency
of Tariff 10 exosnd the currency and thus to destroy
pro anto he protection hich it affords, Is diminished
by large free list of commodities which DO no,
come into competition with any that are
at home. Fsreign commerce derives pariai support
from this free list and the returns are 'naue az" "
money. hui in goods Manu- actures. TO thus md
foreign market to extent, and receive their re-
tutns in the same mode The domestic production
for foreign consumption, although manned, sui con-
tnues 10 exit and the capacities OF the home mar
ket for absorbing the domestic manufactures are ho'
so much di ninished as under the other system
The extent Of his free list, under the COMPROMISE
Act, was one of the which rendered that tue
most benefcent Of all the tariffs since 1910, In lib oP
Grafton upon the whole country, and upon me manu-
facturers themselves The tables collected ny oena-
tors Calhoun and Woodbury. prove this description
of its operation to be correct The facts theIe
gathered from official documents, are worth more 'hah
all the arguments than can be urged WI. w "o1
bury selects periods of ten years-the hrst iroS
1920 TO 1880, Of comparatively high protection anu
the second from 1880 to lS4O Of comparatively 10"
protection and covering the greater part OF the oPe-
IA ions OF the compromise act During 'he hrst pc
Rod the American tonnage actually o'ih'hisheu'
was less in 1880 than in 1920 and during me at'ei
It nearly doubIed-it beng 81 1871 ITO IN lo3o, ana
80 $50, 164 in 1910 During the first period, ths ex-
pots of domestic origin increased less than sixteen per
cent. but during the latter, they nearly doubled
the exports of 1880 being s59 462 O29 and those OF
1910 amounting TO $ll3 S95634 Mr. Calhoun Sc
ccted periods of seven years each the one from
1925 to 1892 which was peri d OF hgh protection
and The her from 1888 to 1910, which was period
of lower dut es and entirely embraced by the opera
ons of the compromise ACT In the hrat period, TIE
port Of domestic manufactures decreased; these ex-
ports being IS 729 197 in 1928, and amounting only
to IS $50 G33 IN 1882 But in the second period
were Sc 557,OS0; and in 1910 they amounted to
Si2 S4S $40 1t will also be seen, 10y reference to
some tables collected 10y my friend and colleague
Nj. HUBBARD that, under The operation OF tins com
promise act the home market has been almost entirely
secured to the domestic manufacturer. The estimated
aporepnie value of American manufactures is $685. =
300 542; willis, he whole foreign imports, Including
great proportion of articles not made IN this coun-
try, are only estimated at $40 100000 by the Chair
man of WAYS and Means. The woolen manufac-
I,sl. h., half a ..n
made at home. OF cotton goods, the Imports are
abou, fifth of those manufactured here; and the
proportion of foreign iron is even less than that OF
cotton But what is worthy Of most attention, Mr.
Speaker is the fact, that the increase OF our trade
during this period was greatest with those nations
which furnished us with the commodities admitted
free from duty II these benefcent effects were in
any part be absorbed to this free list, surely the
manufacturers had no interest IN alternating the pro-
ceeds of the public lands so as TO create necessity
for taxing those articles. How, then stands my col
leagues argument His reference to contempora-
peous history have failed to sustain him. The
object for which he thinks the stipulation was made
could not heve been attained by observing ii as these
fluctuations of excess or deficiency In the revenue
must still have REQUIRED, !! the land money had been
distracted The idea of securing stability IN the
revenue syst en- is expressly excluded by 4 fact that
the law provided other means for the avowed purpose
of fleeing that end and of adjusting all fluctuations
in the revenue, and means too, which would have
rendered he surrender Of the public domain Inconsls
tent with the interest of the manufacturers The
clause of the act to which he referred in support of his
views cannot bear the construction which he has
given without leading to consequences which Con-
gress could never have designed. And moreover
there were circumstances of probable occurrence
which rendered such disposition of The lands abo-
lutey incompatible with The cardinal provision IN the
act, that the duties after 1912 should not exceed
twenty per cent. On the cont airy, the General Go
veInment had constantly used the revenue arising
from lands for its ordinary expenditures. The con
tinuance of this usage was everywhere expected by
the peo lie, and the opposite idea is of recent origin
believe even now, hat could remedy the evils
under hich the Treasury labors, five we've to make
proper reductions in the expenditures, call back the
revenue from lands, and lay duties within the limits
of the compromise act. Within these limits believe
a tariff might be framed, which would yield even more
revenue than either the bills before the House
have spoken Of the operation of the compromise
act. do not now propose to enter upon the nature
of lis obligations l have never supposed that Con-
gre-s had not the power to repeal IT, have never
believed that it had the force of a constitutional pro-
vision But have always considered 1t as of higher
sanction than any of mere ordinary legislation. 1t
was bill of peace. 1t gave hal mony to distracted
and divided people. 1t received, in some degree, the
of all parties II depressed, to some extent the
will of both the majority and minority upon most
exciting question. In other words, it was a compro-
mise of great and of dangerous differences; and the
expectation created that it would not he lightly
disturbed Fol the first years of its existence, was
onerous TO the free-trade party they however, OBJ
served it religiousy Towards its close, they began
to feel It's benefits and | will not dwell upon the
manner in which its obligations now regarded by
The other parties to the compact
{ To be continued
From the .Ns,c York Standard.