The daily union. [volume] (Washington [D.C.]) 1845-1857, 1846-07-23

eess OF issue The. lsge Ippsss 90 ro~lized, and
drawn from all quarters one seepqp, hnd their way
ntp The banks n considerable amounts, and for linn
lteq periods; SO az, ON gensrd average, 20 make
great addition to the dsposi,es, which always con-
sntute no inconsiderable bssis on which banks
ture TO issue. Atthe same Tine, from the stmulants
existing and the general disposition 10 embark in
manufscturng enterprises that require large capital
and credit extensive loans and issues demanded
and obtained from the banking Institutions. The
general appearance ofprospenty and confidence, and
we ACTIVITY given 10 many collateral pursuits by the
larse gains received, and cxtendisg operations by
INC manufacturing classes in this section delude the
oa9hs, and contribute TO hurry them TO excess and
innauVn, ihlngs advance in this manner, at pace
constantly acceierang, flor is the nature Of these
undue issues 10 cause the valuation Of all
ana TO mad excesses in all branches Of trade
and speculation, until those guts and reactions in
manufacturing operations, Of which have spoken,
or some other OF the numerous checks which the
coarse OF trade opposes to over-stimuants and Wild
speculation, ensoe. shock is given to the general
oshdenoe; actual convertbiity Is sought TO be en-
iored IN lieu Of the nominal one which banks have
rested upon. The widely-oxiended system OF credit
subversd IN all lis manifestations and rigid enforce
ment Of Liabilities on the part OF individuals and
banks, pressed, AT the same time that facilities for
The command alike Of means and credit are almost
tothny cut on. Suspensions OF specie payments,
failures N every line Of business, and commercial
revuisions, ensue, with all those convusive agta-
ions to the business and fortunes Of ALL save the
large capitalists, who bsien the numberless sacri-
noes Of the unfortunate, and with their long train of
sviis-ruin, bankruptcy, and decentralization, social
and political But Why deepen picture, OF which
me hdeoos hues have scarce faded from sight, and
yet 1--we In frcsh remsmbrsncel Shall not expert
enee, recent, ~ well as remote, avail 10 read
biqer admonition against the system which has
tiputed to such calamitiesi That il has done 50
LARGELY, vsrily believe. And he, Mr.. Chairman,
who looks aitsntisey atths history OF eur CONNER
eiai revulsions, will find that, although the breaking
up IN some instances, has been delayed until AFTER
tht modification Of a high tariff had allowed the
check OF foreign imports TO arrest and expose the
swelling mposthume, in most il has soon followed,
and in all II may be traced TO the legitimate efestsof
rs unwhoesome pamperng and silly restrictions on
the healthiul courses Of trade. --.. .....
The large amounts annually substracted from tho
masses, constituting all the other classes Of the peo-
pf save the protected not for the of the gov
erhmeni, but TO feed with boupties the pets of POI
hical favortsui, and sustain them in premature or
ppftfess employments, constitute another of the
general evils OF this protective system This is an
effect SO obvious, and generally urged that shall
not dwell upon IT, l only refer TO il TO state the
amount Of the combinations thus annually extortea,
that due appreciation Of Its extent may not be lost
sight q IN ,,a"ins up the aggregates OF national loss
from the folly Of partial legislation. The gentle
man 'lom New York, [Mf. CoLLm,l in his able
speech on rfs subject, estimated the annual boun-
tes paid at some 500 900 900. The Secretary Of
the Treasury in his elaborate report deems il not
less than S580000 900 per annum; and the smallest
nent of the system, 10 $4,000, 900. When IL is
retollccted how much more the internal manufao-
lures consumed in the country than those imported
from abroad must be manifest at least that consid-
ertbly larger sum AuN be extracted from the people
fof bounties TO tho protected classes than for duties
tolthe government This should be abundantly
sufficient to starte The grosa masses to a conscious
nes fthe monmrous injustics and oppression prao-
Used by the system upon them. 4 found upon IL no
appeal, and refrain from oil invectivc. simply ask
that !, may be pondsrcd on TILL realized with all the
potency ola practical truth, Il come home to the
feelings and convictions Of every Just man.
On the great productive interests of the country,
and especially the two leading classes of agricu-
ture and commerce, this syNcm presses, Mr.. Chair
man, az banefu incubus. Apart from the large
bounties, to which have just referred the indirect
Influences Of the system in checking their develop
ment and narrowing their spheres of action, are
even more hurfdl. should be tempted to dwell
long here on this, perhaps, the most interesting
view of the operations Of the restrictive system
add ny .s.si.sles and ssnsr.i reasoning enforce
and illustrate its blghtns effects, had not the field
been so fully occupied and exhausted by the
able spsecnes' OF my colleagues. From the
curate statistical statements presented by theu,
not limited to selected periods but extending over
long series of years, as well before the establish
men of the protective system, and when it was not
in operation, as during the whole time Of its exist
ence, il has been conclusively shown that whenever
the system was in operation the exports as well as
the imports Of the country, have invariably de-
clined; the prices of all leading agricultural staples
have been depressed; and the tonnage of the Union
in the coasting as well foreign trade, has fallen
off; while, the other hand, with no less regular
ity under the free trade Of moderate duties
the same unerring crtera all concur in giving most
gratifying evidence Of increase and prosperity. To
the same effect are the results of the experiments
recently made in Great Britain, when under the re-
peal or great reduction Of high duties to the number
of nine hundred and odd, such rapid advance in
trade and consumption has been made that, to the
surprise Of the most sanguine there has been in
crease instead Of diminuion in revenue.
These results, too, are entirely consistent with
reason. II has long been an axiom of political
economy that the exports Of country cannot long
exceed its imports. On comprehensive scale,
trade between nations must consist in barter and ex
change Of products; and trade ore-sdcd is doomed
to speedy decay and extinction. II is also clear
that the consumption Of our products by the other
nations Of the earth must depend their ability to
buy, and that to the extent we deal with them and
purchase their products, to that extent increase
their ability TO buy and enlarge their consumption
Of our products. On these principles whenever
from high protective duties our imports from abroad
are restricted and curtaed our exports correspond
ingly lessen, and the means Of international ex-
change seriously diminishing, and the ability Of our
agriculturists are depressed in price Nor is this
effect confined TO foreign markets; for the diminu-
ton of demand from abroad for their, compes I'M
due supplies to be cast upon the home markets,
which are consequently slow and low. This is one
view to illustrate the ockery Of the home market;
the pretended benefits Of which, to the agricultural
interests constitute the stcreotyped arguments of
the protectionists, and are 80 loudly extolled by
them here and throughout the breadth of the land.
But in this this boasted equivalent TENDER
ed for all the inequalities and expressions protec-
tive system, may deserve a brief examination. That
The multiplying ofthe Industrial pursuits ofhe people,
the diversion Of labor and capital to as numerous and
varied branches Of productionas possible, and the
consequent enlargement 10 each Of the number Of its
consumers, promotes general activity and prosper
ity of all may be most chcerfully conceded, provid-
ed capital and industry so diversified be really pro-
ductive and yield ganfu returns But If, as we
have seen is the with the large classes of the
manufacturers, sustained or prematureIy stimulated
by the protective system, they only spirited up
to embark In pursuits inrinsically proftless
III. y Z. 2 = .