The daily union. [volume] (Washington [D.C.]) 1845-1857, 1846-07-03

| has arrived when manufacturing industry should
| commence. If t Ii attempted before under M
creased duties, they njure more profitable pursuits
| and ultimately expose themselves to competition
which reduces them TO lower rate OF proh' tnan
/ they would have enjoyed in those other pursuits,
| had they been content TO bide their time But al
the period Of which have spoken, they commence
not to injure but TO aid other pursuits, and 70 add
to the wealth of the nation. This period, as have
shown, is retarded by restrictive duties, because me
profits Of those engaged in other pursuits are d.
| minIshed, and consequently capital accumuiates
| more slowly, and their capacity 70 consume IN
creases in diminished rano. Manufactures can
| never constitute the chief employment OF people
| in their infancy. According to the position OF the
country agriculture or commerce, including naviga-
ton must either or both preeede il. IL is the cap-
| tai accumulated from other species oil prodoc,
| ton, and from the growth OF population, Increased
by their greater profits, that manufactures are 10
| find one of the chief agents in their production,
| and the consumers, over whom their posluon
| must sooner or later give them a sort OF natural
| monopoly. Now, whatever increases most rapidly
the capital OF the nation, its profits upon prodnc-
| tiOn, It's numbers, and a consequence upon them
its capacity To consume accelerates the period at
which manufactures may prohtaby commence, by
eheapenng rapidly both capital and labor, ana
increasing the value and extent ofthe home markell
| in which nature has given them preference Wheh
this period arrives, manufacturing industry may
commence with security TO itself and advantage 10
the people. Il thus springs into existence, not as
a parasite plant TO exhaust the sap and stunt the
tree 10 which IL clings, but as a branch OF ius
growth, giving symmetry TO the whole, drawing
nourishment through the same root and maturlnga
good proportion Of the fruit. When a country has
reached the point at which capital and labor have
become relatively cheap enough 70 diminish the
cost OF production so much as 10 enable the manu-
faeturer, with the aid Of his natural advantages 10
the home market to secure II, his interest, IKE all
others, is opposed 10 the restrictive system Legs
latve protection can be Of no use 10 him a. home,
and restrictions upon imporations will diminish mis-
ability TO enter into competition for the foreign mar
kets. IL is as true Of the manufacturer as OF the
sgriculturist, that he cannot export unless he can
import in return. This view, Mr.. Chairman, Is no
fancy picture. IL is no mere theory unattesled by
experience History vouches for its truth.
might adduce the experience, not only OF our own,
but Of other countries, in support Of the proposition
which ! have maintained. But ! pass over the
wonderful increase Of the English manufactures OF
silk immediately consequent upon large reduction
Of the duties upon similar foreign articles ! pass
over the immense increase Of the exploration OF
| British woOllen manufactures consequent upon a
removal Of the prohibition upon the export OF the
raw material which had long existed for the pro-
lection of the manufactured article. pass over,
too, the French prohibition Of the importation OF
raw WOOL and their bounty upon the manufactured
article-a system under which the price Of raw wool
fell at home, whilst the manufactures themselves
declined | pass over a large body Of foreign evil
dence which serves TO prove that these restrictions
have always ended in impalrlng the value OF the
home market by diminishing the profits Of domestic
production generally, and consequently the caPa-
city for home consumption. Nor will refer to
| those other facts which, in the opinion of such
careful observers as McCulloch and Porter prove
that the frecr competition received by a removal
| Of restrictions has invariably had the effect
to stimulate the discoveries Of cheaper pro-
cesses and Improvements IN machinery which
have opened the cost Of production at home.
|
perence seems to TO be striking and con-
vncing MIR. Tench Coke, in his report Of
June, 1913, estimates the population of the United
States at 5000, 900, and that within the year they
would make manufactured goods Exclusively OF
the doubtfu) 10 the ful value Of 5000 600 600 In
the report he states the average value of manu-
features in England alone, at S266, 900, OOO with
population of 8, 500 900. or America manufactures
he speaks In the following terms: "The facility OF
retaining and steadily extending this valuable branch
of national industry is manifested by its early and
spontaneous commencement in every county and
township, and by Its nearly spontaneous and cost
less growth with such aids only have not occa-
stoned any material expense or sacrifice to agricul-
ture or commerce, since they are chiefly incidental
to necessary revenue, resulted from our distance
from the foreign consumers Of our productions and
manufacturers of our supplies" Now, all this
took place under low duties, and this rapid grow
Of manufactures was accompanied not by the decline
Of the agricultural and commercial interests but by
| great and steady extension Of both, as | have
shown by reference to tables of exports and ton
mage during those periods Can anything like this
be exhibited since the era Of the protective SYSTEM
i This statement, il will be remembered, made by
the Jealous and distinguished advocate Of American
manufactures at that day, who well inform
ed upon the subject as to have been employed by
the Treasury Department to compile and prepare
the report Our history since that period exhibits
the same results l have already referred to tables
| prepared by Mr.. CALHOUN which show that from
to mar nf rtippf he n pnrt
Of domestic manufactures declined from s. 1913 1875
in 1925, to S. $50 633 in 1882; whilst from 1883 to
S40, period Of lower duties, they increased from
Fl S6557 0S0 in 1893 to S12,S4S, $40 in 1870 Now,
these results cannot be accidental, they must flow
from the changes in our commercial system, with
which they seem through long period Of years to
have vibrnted in almost perfect unison. The census
returns of 1910 show that the value of domestic
manufactures compared with the dutiable imports
of that period were more than as nine to under
the compromise act 1t is also proved that during that
period these exports abroad had almost doubled in
comparing the last with the first year of the series
With these facts it manifest that they ought to
have been content with the very large share Of the
home market which they possessed, and to have
looked abroad to their extending prospects in the
foreign markets. They ought to have looked to the
means of diminishing the cost of their produc-
ton, and of increasing the profits of other branch
Of industry which furnished the customers in the
market Of which they had by far the larger
share, and who would consume more as their
wealth increased The means of effecting these
ends would have been low revenue duties. They
would have diminished the cost Of manufacturing
production, by diminishing the cost of much that
the aborer consumed, by increasing the accumula-
ton of capital and thus essening the cost of its use
and they would, at the same time, have increased
the home demand for their supplies by increasing
the number and wealth of their customers.
Looking, then, Mr.. Chairman to the effects of the
restrictive policy upon the entire industry Of the
whethpr n q n whole nj
would seem to be clear that it is emineny preiudi-
cal, so far as the production Of wealth is concerned
In other words, experience teaches what
arms to be true, that it is injurious to people to
divert its industry from occupations in which profits
which the natural rate of profit is low and the cost of
production high. But other inducements have been
held out to inveish people into the support Of
this cruel and pernicious system. The old pretence
of retaliation is removed to great extent since