Wilmington journal. [volume] (Wilmington, N.C.) 1844-1895, 1858-01-08

From the National Intelligencer.
Letter from Mr.. Nathan Appleton.
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4, ".
To the Secretary of the Treasury:
Dear Sir-I have the honor to acknowledge the re-
cept of your letter of 2Sth ut enclosing circular to
the Collector of Boston, and requesting my opinion of
the effect which the present financial crisis will have up
on the revenue for the next twelve or eighteen months
1t is very difficult question: and one which can
not from very definite opinion. believe that the pre-
sent crisis in its severity wholly unnecessary and
was produced entirely by the mismanagement of the New
Ork Banks in continuing their violent contraction of
the currency after all necessity for it had ceased mas
much the export of gold had ceased before the middle
of September, and could only be made loss compar-
ed to bills of exchange. This policy the New York
Banks still continue although specie is flowing into the
country from Europe. If continued long enough it
will be introducing pure specie currency throughout
the whole country which might perhaps be done in the
course of twelvemonth but during which nearly all
trade and manufacture must cease at present 1t Is
not probable however, that this system will be continued
much longer contrary is to the interests Of the
banks and of the whole country But it will be slow
process to from the paralysis and wreck brought
upon by this intense contraction OF the currency
Perhaps it will not be too large estimate to say that
the revenue will be diminished to extent equal to Its
ordinary product for six months At the time the
country being in state of the highest prosperity
cept for this arrangement of the currency when that is
corrected it will return to its usual action with great
elasticity. 1t however, undoubtedly true that both
the imports and duties for the last two years have been
in excess of a wholesome trade
have been many years out of active business, and
cannot undertake to give opinion the working OF
the new tariff upon the revenue. I cannot, however,
avoid expressing the opinion that the present tariff be-
sides being nnnded wrong principle is In its con-
sruction the most clumsy and in its practical operation
the most nconvenen of any tariff which has been ADOPT
ed in the United States. Of this think you must have
had yourself pretty full experience in the many difficult
questions which you have been called to decide
What can be absurd than the different cassfca-
ton of woolen and worsted and the various manufac
lures of cotton What an improvement and simplicity
it would introduce to make all textile fabrics of cotton
WOOL linen silk. &c. subject to the rate of duty,
which should place at Is per cent and make every
thing under 20 per cent, Free
l was member of Congress in 1892 1888, and 1912,
during each of which sessions the tariff the most in
| teresting subject of discussion.
The tariff of 1912 framed upon the principles of
raising sufficient revenue by duty articles similar to
those made in this country for the purpose Of aordng
protection to American labor and the capital invested
manufactures voted for that bill, in company with
Mr.. Polk, Cave johnson, and many other leading men
of the Democratic party In fact the protective system
was introduced especially by that party 1t is altogeth
bor although Mr. Secretary Walker able, in l846
to persuade majority of Congress that it only
capital which was favored by it.
There is consideration growing out of the present
tariff which is worthy the attention of the cotton plan
ters. Large quantities of cloths for printing and dyeng
have been imported at duty of nineteen per cent This
is done in consequence of their being made of one half
to twothrds from Bombay cotton, which is of less value
than three four cents pound, difference
just about equal to the duty The only remedy for this
is the importing of cotton from India which of our
manufacturers preparing to do but for the present
disturbances, but which will undoubtedly be done if the
| trade is open.
: With much respect, your very obedent servant,
2 NATHAN APPLETON.
Hon. Howell Cobb, Secretary of the Treasury.