The New era. [volume] ([Portsmouth, Va.]) 1845-1847, 1846-08-06

1910.
Concluded
But. Mr.. Chairman. | have assert ed that the
effect Of renewing these restrictions has been To
increase the sources of taxation and the capacity
OF a cnuniTy tn hear lis burden. If it he true thai
Inc effect ct snch a removal is tn increase III.
wealth "f n country, it follows as \ necessary cup
sequence. that II can bear an increased taxation
Bnt here. loo. facts may he produced To sustain
this theoretical conclusion. have already ad
verted I" The effect of Sir Robert Peel's expert
ment in reducing and removing duties and excuses
IN Crest Britain since in 1912. We find that
the removal of "a. 10000 on duties led 10 a re-
dnction of only Sl 500. 600 in the revenue. whilst
II increased the foreign exports alune about $50
oooouo The reas"n was, that these reductions
Diminished the exnenses and increased the amount
ana prohts ut production. which brought. as a
Consequences a greater capacity To consume the
articles upon which duties were Imposed. The
ou'y, whist nigh enough I" he prnieciive, i'm
posed a tax, In the shape of enhanced prices at
nome. Tor private as wei! as public benefit. In
proportion, then. as the consumer was relieved
from The burden of private taxation for the do
nestle producer, he was enable to contribute more
To the government. Whatever reduces the tax
upon an article reduces lis price and as The price
oeSrenhs, The article makes a larger and a larger
circle ot consumers. who are thus stimulated To
increased production, and add more and ,nnre To
'"7 al VI lilt' UlllOn. Il ar sumo time DaSt SD
much attention has hPen directed towards English
statistics, that we have been enabled To- trace the
practical effect of a reduction of taxation upon the
consumption of III" country. We are informed
mat between 1871 and 1881 taxes we're rppeal.
eh beyond what were imposed. Amounting to
@'|'ozl .4U4, and the effect of the reduction was
Immediately seen in the prnpurlionalIy greater
consumption ot articles npun which the old Or
In"difled duties were continued The amount re-
| rplVpU Inin tho ,hon, -. CDI
'nan me amount by G., mputatinn la the extent of
&l4 .705. 1882, and was within $3.50. 325. which
IL should have reached considering the increased
hummer ny whom 1t was contributed. 1t will
further he seen That, in 1886. when the public
burdens had heen still further reduced by ca.
9ol ,2ol the amount of duties and taxes received
was greater than 1t should nave been Inv cumpu
'ation To the extent of sf22, o. ,SO4, and greater.
also, by 500. than the remaining .xes
would nave yielded at The same rate of runsump.
lion by Increased numbers of The people ."-(POr-
ter,S Progress, oot. 2, p. 3O9.) From 1901 Ia
1911, when the taxes were higher. as we are as
snreh nphn me same authority, The ptiun
diminished as compared with the populatinn.-
w hen we consider the immense dnlies Imposed
ny our present Tariff. we can readily imagine the
immense Increase of consumption which Il reduc.
ton OF these duties would produce. Six articles.
wool manufactured. 'wUrsted and stuff puuds."
'colored cations exceeding 80 cents per square
yard. "coIored cations not exceeding 20 cents
per square yard" and ''bIuwn sngar,' imported
last year To the amount of sol $50, 55S. aud ac-
IuaIly paid "a duty of S9.450, 3S7, or more than
Az per cent. a larger amount Of similar articles
III domestic produce are sold here at the same
price, with the foreign commodity thus enhanced
by The duties actually paid. The precise amount
III The increase of consumptiun, of Importation,
ana, consequently, of expectation which would be
0ccasloned by The reduction of this rate of duIy To
~ per cent. cannot he stated in figures, but all
must see that It would he enormous. The Score
larry ut The Treasury has estimated the probable
inss "f revenue. upon the hill under considerations.
at 81 ,3OO.UOO, and The probable increase of i'm.
ports. and consequently OF exports, at SD .O00.-
ooo. NOW this amount 1T agricultural products,
according IN the principle of computation hereto.
fore adopted, afford employment To $50. 900 900
"f capital. independently of The value ut the land.
and to b2.42O persons in agricultural pursuits.
Is u not tar hetIer To give a desirable employment
to all This capital and labor al the Inss of a million
nr a million and d half 1T dollars In revenue, than
Tor the sake of that comparatively small amount
10 destroy this large field for productive industry
and capitalf Is IL not probable, too, that indie
p~endently Of increase of consumption from the
growth of unr population, the wealth accumulated
by this addition Ia ouT animal productions. and
the industry of the country wuuld so increase The
capacity "f the people tn consume the dmtiable ar
ucIps' as I" more than repay the government with
interest ir all The revenue temporarily lost by
The present reduction Of duties think that M
impartial mind would long hesitate tn decide those
questions IN the affirmative. IT am ripht in
'heSe views, Mr. Chairman reduction Of the
existing rates of duties would. in the lono run
not only add To The wealth of our whole people
but ultimately increase even the revenue. have
undertaken To maintain d still holder proposition.
| h"ld, sir. that a revenue system of imnuris i
better tor The manufacturing interest itself. than
me higher rates ct a restrictive policy. II is I'M
oo"oeoIy 'rne that manufacturers in their infancy
depend upon the home market ior snppurt. They
have here greater advantages Than elsewhere IN
lheIr iaclilty ut access TO the consumer, aud in the
absence of certain charges for freight, insurance,
anu commission, and Of the revenue duties To
which the foreign competition is subjected. When.
ever they are able, with these advantages, to sell
as cheap or cheaper than the foreign competitor.
IN the home market, the trne period has arrived
when manufacturing industry should Commences
II II is attempted before. under increased dn,ies
they injure more profitable pursuits. and ultimate
y expose themselves To a competition which, 70
dnces them TO a lower rate of profit than thew
would have enjoyed In those other pursui,s had
they been content To bide their time But AT the
period Of which ! have spoken, they Commence
not to injure, but To aid other pursuits. and +, sJJ'
to the wealth nj the nation. This pefi,d "a Il
have shown. is retarded by restrictive dulles. be
cause the profits of those engaged in other pursuits
are diminished and consequently capital accumu
lates more slowly, and their capacity to consume
increases in a diminished ratio. Manufactures
can ne7er constitute the chef employment of a
people IN their infancy. According to the position
OF the country, agriculture or commerce, incIud
ing navigation, must either or both precede it. 1t
is the capital accumulated from other species of
production, and from the growth Of population,
increased by the greater profits, that manulactur-
ers are to find one Of the chief agents in their
production, and the consumers. over whom their