The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1869-01-05

the popular belief, which, indeed, in this parti
than mere assertions. which, remaining for q
Jung time unquestioned, have at last acquired
the force of accepted historical truth. Thus, for
exsmpIe, It has been constantly asserted. both
iu Congress and out of Congress, that the pro-
duction OF pig iron was remarkaoy stimulated a ndn
in 1912 to 100000 tons in 1SiS-and that under
the tariff OF 1916 the same Industry was remark
ably depressed. Now, these assertions may be
correct, but the most reliable statistics to
which we have access viz those gathered by
the American Iron Association, instruct as as
PRODUCTION Of pig-iron in 1880, l65, 600 tons; in
l840 347, 900 tons. Increase In ten years. ITO per
cent. - .
Production in lsi5. $4,000 tons; increase in
years, 40 per cent.
Production in 1850, 56i 900 tons; increase In 10
Production in 1856, 754C COO tons; increase in
Production in 1850, 9l3 600 tons; increase in ~
years, 81 per cent
1t thus appears that the great annual In.
crease in the production OF pig Iron took place
prior to The year 1910, and for thirty years was
remarkably uniform at the rate OF 10 to IL per
cent per annum; and that since then, no mat
ter what has been the character of the leglsla-
tiOn whether the tariff was low or high.
whether the condition of the country was one
has been at the average OF about per cent. per
snnum, or about double the ratio OF the In
The Commissioner gives "auother curious
illustration" OF an apparent misconceptio1 OF
I'M effects of past legislation upon the develop.
ment OF the country; and then says:-"Tnere
dc es not seem to be any reliable evidence which
cen be adduced to show that the change which
took plt ce In the legislative commercial policy
Of the country in 1876 had any permanent or
marked effect whatever; while, on the other
hand the study OF all the facts pertainodug to
from 1865 to the present time. Enthusiastically
teaches this lesson; toat the progress OF the
strength OF its elements of vitality is ipdepen-
dent Of legislation and even OF the impoverish.
nent and waste Of great war. Like one of
mighty rivers. itg movement Ia he
ond control. Successive years. like successive
flu. nts. only add to and increase Its volume;
While legislative enactments and conflicting
commercial poIicies like the construction of
piers and the deposit of sunken wrecks, simply
structions In fact, If the nation has not yet
been lifted to the full com prehension OF its
own work, i builds determinately, as it Were
The Commissioner next proceeds to show
the effect OF the war in checking national
development" and passes TO "the agencies
adverse to the national development" AS to
the latter he says
The immediate cause OF the anomalous con-
diJion OF affairs in question must upq sestiona
bly, be referred to the greatly increased cost of
nearly all forms OF labor and commodities as
compared with the price for the same that
prevailed in the decade Immediately preceding
the war; while these in turn must be regarded
ing out of the war, viz irredeemable paper
enrrency, unequal and heavy taxation. and a
X the te n
rather than in general.
Influence of aa Irredeemable Paper Currency
been of late SO often and SO thoroughly dis
cussed the Commissioner will only ask atten-
tion under this head, to few points OF pre-
sumed novelty or interest; and, first, to a
specific statement of actual experience, Illus
trative Of the mannerin which an irredeemable
naiionai abnegation of specie payments, uaa.
voidably tends to destroy all profitable COM
Wssb raas Tssens foreign in
specie basis. The statement Is furnished To the
Commissioners by manufactures OF furniture
in one Of the Middle States. who. previous to
the war, had built up an extensive eX port busi-
ness to the West Indies, Central and South
America, of a variety of cane seated" and
"caDe. backed" furniture suited TO warm eli
mates.
rency being at par. $1,000 In gold possessed a
purchasing over sufficient to obtain for the
South American importer Ill 10 dozen OF what
cane-seat chairs" About the lst Of January,
1852. gold began to command premium, and
sqea gapdY This Was wn
however, participated in at first, to any
considerable extent, by either labor or com
power OF gold greatly increased; so much so that
On the lst OF July, 1854, the $1,000 gold which in
1851 bought Ill 10 dozen chairs, then boug nt l43
dozen. Under these circumstances, as was to
be expected, trade increased, as the foreign
the best for his Interest," but from July, 1854, a
movement commenced in an exactly opposite
direction, god rsceding and labor and com mo-
IN January, 1865. the $1,000 gold which four
years previous had a purchasing power OF
IL l'9 dozen chairs, and on the lst OF July.
1864. of l43 dozen, then commanded but 1876 23
dozen in February, 1855, a still small number,
VIZ: 9l8 dozen: and ultimately attained It's
minimum in January, 1867, wheA the pur-
chasing power OF the sum named was only
1923 dozen. From this point the purchasing
power has gradually increased, and for the
past year, 1868. has remained at the rate of
about l02 dozen, or nine dozen less than could
be bought with the same money in 1861.
al on
chaser now goes to France or Germany; wolfe
the products OF American industry, IN the form
of furniture, being no longer available TO ex-
change for sugars, spices, or dye. woods, gold
has necessarily been substituted; and, TO use
The words of the manufacturer describing his
condition, "unless there is a speedy return to
specie payments, custom will soon so TX the
channels and currents OF trade that any at
tempta on my part TO divert them Will be
thus been shown TO be the case In respect to
the export trade of the United States In furni-
other manufactured product, which, as ma
tion, we were accustomed, previous to the war,
to exchange for foreign commodities.
The Commissioners gives the relative amount
OF currency in use and required In the United
States, Great Britain, and France" and com
Of q s.Hs Spd R
power of the irredeemable paper money now in
use is not nearly equal to what IL was in the
immediate ante war years OF l860-6l;" and that
the working men ana women of the country do
not now receive as much in return for their
labor as before The war. The theory OF lnoon>
vertible paper money Is. and the facts prove II,
that the rich become richer and the poor
poorer. In addition, however, to an tnconverti-
which are powerfully operating TO the produc.
tion OF like result, and the consideration of
these brings us to a new department. of our In
vestigation, viz The influence of taxation,
direct and Indirect, upon the cost OF domestic
production, and consequently upon the ability
tions upon terms OF equality. Taxation as it
exists In the United States may be classified