Tama County Republican. (Toledo, Tama County, Iowa) 1867-1872, 1871-01-26

lraue speech IN review OF the e1-
fects Of the Anglo-French CONNER.
cial treaty. "With respect to the
"cotton industry which now raises SO
cloud cry. he declared it was only
"thc smaller and feeJkr firms which
"had failed, and that even if So out
"of 233 factories in Rouen had been
'shut mp this was because the busi-
mess had been transferred to more poc
"erful hands in obedience to law of
trade. Thus, though the smaller
manufacturers had suffered, produc-
"tion had been really increased. The
"smaN mtn who hre BY protection had
"sueeumbed. l deplorc it, but to have
'industry on.a great scale: one must
"be resigned to certain sacrifices" !"
The speaker made similar statements
in regard to the iron trade. Protec-
ton sustains the small and weak
firms, while Free Trade runs them
and transfers their Business into more
powerful hands. The same rule
holds in all branches of trade. Such
was seen in this country, when in
1857, the state of bankruptcy broke
up the small manufacturers in this
country. whose property was sold at
great sacrifices by the sheriff and
transferred into the hands Of their
richer neighbors. Under the present
system adopted by England small
manufacturers cannot live there. No
man there can do business without
an immense capital, for the reason
that English manufacturers must
compete with the world, aud with
the very small margin allowed for
profits they are obliged to manu-
facture large quantities in order to
get any appreclable returns. Here
it will be the same thing, if system
like that of England's prevails. A
protective tariff for manufactured
goods does not and cannot establish a
monopoly. It is an impossibility. To
establish the monopoly, it would be
necessary to enact that no more pco-
pic should be permitted TO engage IN
the business. But when the door is
open and free for capital to go into
that business which pays best you
canno, keep capital out OF manufac-
turing when 1t is assured that there
it will pay. Under such condition
Of things TO talk Of American mo-
nopoly being established by Pro.
tective tariff is sheer nonsense.
u. E. strikes the key note of the
Protective system, in his closing SEN
tence. Labor needs protection, not
capital When there has been ex-
traordinary inducements to draw
capital into any enterprise, it
should have an assurance that the
laws will not be changed to its dam
age, before time can be given it to
turn ltself without loss. II u. E"had
loaned out few thousands of dol
lars. drawing ten per cent. interest,
he would surely have right to com
plain Il the law should he suddenly
changed. before his money was due,
making ten per cent. interest usury,
and be retroactive in its effects. Yet
he thinks it right to induce capital
lists to invest thousands of dollars in
mandatory which will certainly
become dead capital on the repeal,
or serious modification. of our tariff
laws. The two cases are parallel
ones. Generally speaking, however,
it is labor,and not capital that requires
protection, and when -. E. looks
at this question in its true light he
will see, what the facts warrant him
in seeing, that labor has nearly fifty
per cent. more purchasing power un-
der Protection than under Free
Trade. Our reply is already
too long to admit Of even a
briet examination of this question at
this time. We hope to treat the sub
ject at no distant day in a separate