New-York tribune., 1868-05-21
Wg0 GETS THE HIGH PRICES'

VINO GETS THE HIGH PRiCES'
We admire the simplicity of the Free
Traders who recently convened to prove
that the way TO obtain revenue is to free
foreign trade from taxation, and the way to
have cheap goods in America is to depend wholly
on England to supply them. Very slight ex-
animation enables them TO dispose OF the most
difficult subjects. One of them says Cali
fornia might use every one of the sO-called
protective fallacies against the East with far
| greater force than our PrOtectionists here use
" against Canada or Europe" We suppose by
protective fallacies" is meant the doctrine that
a Government should discriminate in its taxes
between commodities which can be produced
either at home or abroad in such way as to
encourage their production in thus country
instead of their importation from abroad IL
is the application to the nation of the econ6nll-
cal doctrine which every farmer and business
man applies to his own affairs-Never buy abroad
what you can Just as well produce at home.
The suppositon that California and Massa-
chusetts can apply the principle OF protection
against each other originates in the unnational
States rights feeling that they independent
nations. instead of members Of one family, hay
ing one interest. In the adjustment OF their
State taxations they are Independent, and the
States have uniformly Disseminated in favor
of their own citizens in lcvying their State
taxes But as to national revenue, they are
of one household. II n tun of Iron is brought
to California from Pennsylvania, its producers
have already paid the same amount of United
States taxes thereon rs if it had been made in
California. But if il is brought to California
from England its producers have not paid
dollar of United States taxes thereon. Taxa
ton and the cost of labor being both cOnsd-
erably lower in England than here, free trade
would be equivalent to from 30 to GO per cent
tax on American production. If these reform
eIs of our national revenue see no more reason
for collecting duties o.. imports from foreign
countries than for allowing the States to col
lect duties on goods passing from one State to
another, their simplicity is better adapted to
college youth than to the halls of Congress
The same speaker Dr Licber) says:
Men run occasionally into very curious. was almost
going TO say very funny There is actually set OF
persons In Canada who prea n free American exchange.
but strict protection against Europe
What the Doctor says "set of persons in
Canada preach is the general and natural
policy of the Canadian Government. Canada
has almost no taxation. Her labor is, there
fore, cheaper than that of the United States
OF course she can afford free trade with us.
But her industry in many departments cannot
compete with the still cheaper labor OF Europe.
She therefore very wisely protects il TO u con-
siderable extent against the latter
The Rev. DR.. Thompson was very happy in
explaining the effects of protective tariffs. He
reasoned with the profundty of person who
is not accustomed to hearing his arguments
answered. He first declared that protective
tariffs raise wages, but, lest this should seduce
the workingman. he added that tariffs raise
cost of living higher than they raise the
wages %, thus making the w0rkingmans con-
dition worse thar before. Then he asserts that
this deterioration in the condition of working
men is so attractive to foreign labOrers as to
cause them TO rush in and glut the market
with foreign labor. Then we are told the
manufacturer reduces the wages, while the
farmer keeps up the prices. Here DR.. Thompson
gives up the conundTum, after having given us
as the effects Of Protective tariff large inn
migration, high prices for the farmers, and
cheap labor for their farms. We fear that if
Dr. Thompson had been denouncing Protection
TO aD audience OF farmers, they would have
smiled at his facts. But after he had shown
that the tariffs give the manufacturers rich
farmers to sell to, and cheap labor to work
with, thereby giving them sure chance to
make money. the Committee on Resolutions |
upset his conclusion for the manufacturers by |
that high tariffs injure the manufac- |
turers by inducing undue home competition. |
and consequent low prices. These Free Trade |
Doctors chase the "high prices' produced by |
the tariff from pillar TO post, as if afraid TO |
let them rest anywhere. If they say it raises
wages, the worllingmen are lost. There
fore, they add, it raises still more the
cost of living. But the workingmens
cost of living" is tho same as
the farmers prices. TO admit this is to lose
Tho agricultural vote. SO they tell the farmer
not that he is getting too high prices for his