The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1869-01-18

kinds which has TO be- borne by cur msnufao-
turing population. For all economists con.
cede that a tariff on foreign products OF a
kind which we produce is only protective to
the extent of its excess over the tax on the
domestic production.
The number OF hands, male and female,
actually employed in our manufactures in
1860 is stated in the census at i. 81, 246. AS
the number has happily lpcreassd beyoud the
increase in our population since that date, IL
is safe to state 1t now at l,5OO, 600 OF working
hands. II these support at the average four
persons each, including themselves, wa have
total manufacturing population of 6 OOO, 600,
or oDe-sixtb Of our entire people. Reducing
the SIP 000, 900 OF gold revenue levied on
articles OF exclusively foreign production to
currency, we have non-prOteotive tariff of
$156, 500 600, to which add the internal reve-
nue. taxes, amounting to $l9l, ,0S7 $50; total
protective tax on our industry, $347,-
SS7,5S9, OF which our manufacturing
population bear one sixth, or S57, ,9Sl, ,264
in currency. In other words, the
$50, ,000, 600 in gold of tariff levied on the i'm
poriauon of articles which enter into COM
petition with our own manufactures are
Offset as to their protective quality by $5S, ,000-
600 in currency, the shar, of national taxa
ton bone by the manufacturing classes
as consumers merely, to say nothing of the
special taxes they pay as producers. Rs
duCiDg the protective portion of the import
tariff to currency (piemium at 4O), 1t amounts
TO S72 500 600. From which deduct taxation
resting on manufacturers as consumers only,
$5S 900, 600, aud we have balance OF
$l4, 500, 600 of apparently protective tariff
out OF total tariff of $l64, 600, 600. That is,
tariff OF only $l4 000, ,000 If levied solely on
articles which We do produce and can protect,
if there were no tariff on our remaining i'm
ports, and no internal revenue taxes, would
be more protective than our present tariff,
even this residuum of tariff calculated to protect
American industry is subject to still further
offsets arising from State and lOc4ls taxation,
and from the special internal revenue taxes
levied Oh our manufacturing classes as pro-
ducers, viz the income tax, the taxes on the
manufacture OF spirits, cigars, and tobacco,
and the tax ou all manufacturers sales. II is
clear that, after allowing for these additional
deductions, almost The entire protective ele-
ment is eliminated from our tariff, aud it be-
comes one for revenue mainly, if not wholly.
To reduce it on those articles of foreign pro-
ductCn with which we compete is to give
bounty to the foreign producer.
Mr.. Wells has succeeded in showing that
some salt manufacturers have made good divi-
dends. If he had gone into the magnificent
importing palaces of A. I. Stewart Ii. b.
Clatiin, and other merchant princes whose i'm
perial fortunes are the greatest ever accumu-
lated il single ltetime in any department OF
human activity, he would have Seen, in their
more than regal architecture and lavish pro-
fusion of expenditure, the evidence OF the far
greater profits OF importing the foreign mer-
cbandise which completes in our own marksts
with our rising and struggling manufactures.
They are not styled ''dividends," because the
rick Of importing is so small and the profit so
enormous, compared with that of manufactur-
ing, that it does not need associated effort in
order to divide the risk, and, Op the contrary
di. dains to seek cooperation by any agreements
to divide the profits. Mr.. Stewart has reaped
fortune, in single lifetime such as no ten
| manufacturers in America combined have OBJ
| tanned. No Commissioner OF the Revenue scsnts
| out his profits as an argument against free
trade; on the contrary, all rejoice in his pros
! pe1ity, and regard 1t as part of the prosperity
OF the nation. Secretary McCulloch states in
his report for 1868 that the average earnings
| OF capital invested in productive industries are
27 per cent. Our railroads, during the past
year, have earned q per cent. on their cost.
| Very little Of the active mercantile capital Of
New York, especially that invested in retail
ing, has earned in gross less than from 40 to
TO per cent. II our salt springs are reaping
| larger dividends than the capital invested In
them would be worth in other industries, why
| do not our capitalists open and work the salt
springs of Virginia, Kentucky, and Arkansas ?
II the smelling of iron ore into pig iron
Is source Of excessive profit, why do not
| capitalists rush to develop the vast iron de-
| posits of Missouri, Kentucky, Virginia. and OF
the Adirondacks For hundred years it has
been known that as fine and rich deposits of
| magnetic iron ore as the mines OF Sweden and
Russia contain, suitable for the highest cutlery
manufacture and for railway use, are lying
undeveloped within hundred miles of Albany
If the profits Of manufacturing pig iron are
| excessive, why is it that our capitalists 80
anxious for these profits would never until
during the present year advance the capital re-
quired to run railroad into these mines, while
any required amount Of capital could bs OBJ
tanned for the importation of iron, notwith-
standing the tariff Why does not capital seek
with more avidity those avenues to profit which
| in the judgment of our Hamiltons, Washing
tons, JefieTsons, Jacksons, Clsys, Websters,
and Lncolns, are of a national utility as vast
as their growth is delicate and difficult, and
which have therefore been fostered with
special care by the statesmen of England,
France, Belgium, Prussia and Russia 1t is
because the burden of non protective taxation
has so Offset the protective tariffs as to render
our entire tariff system one tor revenue only.
Hence Mr.. Wells can assert with truth, in his
report, that an increase of the tariffs has not
materially checked importations 1t is be-
cause the non protective items in our tariff
together with our internal revenue State, and
local taxes, have so Increased the cost of OuI
domestic manufactures, and other industries
which he had endeavored to protect as to Offset
the portion of the tariffs designed to be pro
teciive, and so preserve for the foreign manu-
facturer hold on the American market
stronger than that of the American producer
But we rejoice that in some respects, it ha!
worked to protect our industry. The effects
are visible in our success in subduing thu