The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1867-11-09

before taken to England, and there converted into
thread and woof. Before, that was done by
France sending her cocoons across the channel TO
be spun by English spinners and woven by English
weavers af er II had been half wrought on its
native stem, ndthen sending 1t back to be skill
fully Manipulated by the cunning fingers which
near the spot of its production twrled the hying
spindes
BY that single provision 10 the treaty which took
third Of the export duty from the English tariif
on bituminous coal French operators saved their
millions OF dollars in the cost OF fuel alone, with
which to drive their motive power. You are aware
that all that power is produced by bituminous
coal, which England furnished in ample quantities
OF the best quality and at the cheapest price, and
France produced only an inferior quality and at an
expensive rate. That single article IN the Golden
treaty relatively protected both France and Eng
land, whilst il left other nations precisely az they
then stood with reference to them. BY
that article doubt not that Eng,
lsh operators saved more and imposed
in the aggregate heavier duty than any Amer can
tariff ever levied upon the importa.ions OF England
How cunning are American economists TO shout
pnans to the free trade Of England and France.
and exhort u to follow their noble example! WIN
one never be obliged or allowed TO cease their
mlrvelling at the shallow ex mnaton Of the teach
ers OF political economy in this country-the mis-
leaders of the valley of the Mssissippinay. OF the
whole country. Although not strictly connected
with what we are considering, ] do not know
whether this Is not proper place TO consult my
constituents upon question that has always
puIhcu Anu bOW6Wudt uildHcu ulc. AAoe
question regards the conduct. not Of
our Executive, but Legislative branch or
the government upon the subject Of protection
By our constitution all export duties are pro-
hibited. That constitution was made before either
cotton or tobacco were articles Of any account in
our foreign trade, and was evidently intended 10
prevent the power Of checking the exports OF
grain, tempted by what were then the Corn laws
Of England, which laid heavy duty upon the I'M
porta,ion OF all grain. Bat there is now no danger
of an excessive expectation nor OF an excessive
prohibition by any duty upon any OF the agri-
cultural products Of this country and the only
question for us is, can we by export duties increase
our revenue, encourage domestic manufactures
and our foreign trade! | admit that, with the
exception Of the two articles mentioned. cotton and
tobacco, they would never be resorted 70, for II
would increase the prosperity Of no part Of the
country. The great manufacturing prosperity oil
England "a well as many other countries OF Eu
rope, is dependent solely upon the cotton OF
America. II was believed before. and Is now
clearly proved since the war, that other countries
cannot. or will not, produce 1t of suitable KIND.
even at cost Of two or three times that at which
il is produced by us. Hence it follows that an
additional burden Of one.half the present native
price of cotton could be imposed without check
ing the export Of pound. II we then were to
impose an export duty of one, two or three cents
per pound, it would be just so much tax upon the
foreign merchant and manufacturer, and 80 much
OF q clear revenue put into the golfers OF the
United States. How much that would produce.
with the increasing business Of the world, is almost
impossible to adequately estimate. Heretofore
our exports OF cotton have been a. high as
1857 1856 1888 pounds per annum and for years
have averaged sol 1852. l9s pounds. The increas-
ing business Of the world will no doubt soon add
onc-third to these amounts, making the average
exports 002 ,4S2 $3.50 pounds per annuin which. at
three cents pound export duty, would make
SEQ 074 4s7. The internal tax Of two cents pound
is now upon own manufacturers; then it would
be levied exclusively upon the foreign operators !;
and would be protection to American fabrics OF
five cents for every pound OF cotton produced;
and not an American would pay one farthlng of It,,
nor would it. by that amount, diminish the pro-
due; OF the planters, who would charge II upon
the consumers. II with that protection, which
upon average suppose, would be more than
ten cents yard upon all their fabrics, the Amer-
can manufacturer did not monopoize the cotton
market Of the world il would argue great want Of
skill and enterprise Beside that IT would take from
tie other taxpayers Of the United States the sum
Of $50 100000 OF internal duties. Aud yet, when
proposed an amendment to the constitution to
abolish the prohibition TO expert duties and leave
the matter discretionary with Congress- II was
resisted by the representatives oil the Mississippi
valley, who were clothed IN cottons, ana Who
ought to have been anxious, one would think, to
build up cotton machinery; and what was more
amazing still, il was resisted by the manufacturers
OF New England, who are not charged with liber-
atty or In overlooking their own interests for the
benefit OF others But we return from this episode
Various methods are suggested to redeem The
five.twcnties in CURRENCY One very able writer
a
that afterwards The greenbacks may be redeemed
with tie others. II we are satisfied that there is
not than sufficient currency TO do the bust
ness of the country together with its probable n-
crease, then that would be the proper method,
without initiating prices as counterbalance to the
saving. But if it is believed that the present
and prospective business Of the country would
fairly absorb an amount large enough to
redeem these bonds as they become due. and
not injuriously increase the business. then the
true way would be for the government to issue
legal tenders equa! to the amount to be redeemed,
and thus save the interest both OF the old and a
new loan. Indeed, but a small portion might be
issued monthly, say 81 900 900, SO as to imper-
ctptibly affect the currency.
TThe business men here complain that the retiring
OF s4.000,000 4 month without any substitute
causes a stringency in the money market very
injurious to business operationsI doubt not that
that additional issue would-fn Some way be taken
up in the course OF business without being
inimiously felt as an expansion. ! may here
state that do not see why nearly 500 1000 900
in coin has been constantly lying idle
in the treasury. when it might have paid at least
twice that amount OF the national debt. do not
attribute any undue motives to the Secretary OF
the Treasury whom believe TO be very honest
man. But | think he errs. How specie ymeni
il TO be resumed within the time spoken OF by the
department / cannot conjecture Before the
| banks can be expected to resume the government
| must resume the payment Of legal tenders. What
means has it OF raising $500 100000 and be
| sides paying its ordinary expenses in coin
which must be done at the same time, thereby
adding one hundred and fifty or two hundred
millions more, thus requiring three-quarters Of
| billion, The interest upon the public loan
| about 1928 900 900. added to the ordinary and
foreign expenses ofthe government, about $500 900
| 900, make an aggregate Of 1923 900 900, which
must first be paid in coin. OF that sum $l20 900 00C
| would be paid in coin from foreign importations
and with the then contracted business OF the coun
| try about like sum by internal taxes, making in
all $40 600 900, which, taken from the aggregate
| OF interest and expenses. leaves balance Of sS3
600 900. So il will be seen that the coin revenue
| raised by the ordinary means Of the govern
/ ment will be insufficient to meet what 10 re-
| quired to be paid in coin before resumption
is touched-ths difference being $50 900,
600. But IL all the gold bearing bonds
were out Of the way, the legal tenders would IN
| doubtedly be absorbed to very large amount By
other equivalents which the government couli
| furnish and which the holders would be willing
TO receive; but the process would be a slow one
| and any attempt TO hasten it would be ruinous 4
/ thu M man of thu cnmmnnifx Nv notion