, 1873-05-15
QUE FOREIGN TRADE,

aftor year, until tho "damnab1o iteration" OF
disaster forcoa some notion Of tho truth upon
oven tho most obstinate mind. In thia oxpon-
sivo school, this country is learning tho error OF
falao thoorios which ndyocatos OF protection I'M
planted, md loft lingering behind them in tho ::
minds OF mon to curao tho lind. AS II to up
root those horesicB stern experience roftorates,
yoar after yoar, tho unwolcomo, oyenta which I.
provo that tho system OF protection doos not do
what It's advooatea haye pretended that 1t would !
sThoy mndo many believe TINT this systom
would prevent .ovor-trading; ohock tho undue
importation OF foreign goods, into which,, thoy
claimed, the nation, not rontrainod by protect
Two grace. would surely ruah and thus cause
balnnco OF trado In our favor. Tho
oiflclal records for elovon month"; Of
1879, now published III Report No.. from tho,
Statistical Bureau. show an excosa Of imports
ovcr exports Of e117, ,227 for tho eleven
months, or noarly $3.50, 10000 for tho yonr.
Tho oxcess Of imports during tho corresponding
mouths Of 1871 was but s48,611,5s7. Yot these
figures embrace apocio exported, and do not ou,-
bracc tho intcroat on dobts previously contract
od which that apocio is not sufficient to pay.
During the lust fiscal year, Of which wo havo
complete returns, ending Juno 80, 1874 tho not
ontgo OF precious motals wns s51, ST., ,060.. But
tho interest on American bonds held abroad cor
tainly exceeds aixty, and probably il not far from
ninety, millions. During TINT yoar tho exports Of
domestic products, other than specie, were {in
<ou
products for consumption woro sG1o, Dos, 100. and
tho oxcosa OF imports waa $685. ,5Gs. II
this Is not over-tradiug, what is7 Thoro ia yot.
to be added tho balance on interest account un-
paid by specie exported, making the balance
against US over two hundred millions, nor have
wo considered under-valuulon OF imports, OF OK
coss OF froight-monoy paid to foreign vessels
Secretary; AfcCulloch estimated the under-yalu-
ntion at fifty millions when imports wore but
four hundred millions. The returns show tint
~ per cent Of imports and 70 per cent of exports
aro moved In foreign vessels, 30 that nearly
throo-luarters Of all freight-monoy goes to,
foreign shippers. In Wow Of thoao facts, tho
actual balance against ug Tor the fiscal year 1872
Gun hardly ho loss than s25o,ooo,ooo. Aud, rs we
lave Boon, tho calendar yoar 1879 promises yet.
more unsatisfactory showing. !
Only oortain half-crazy protoctlonists claim,
that any excess Of imports is proof Of IN un
healthy condition Of foreign trado. On tho con-
trary, como such excess may be accepted as evil
donco of healthy mud mutually profitable OK
change Of commodities. If cotton ia worth
more in Liverpool than, in Now York, goodsI
bought thorowith and valued abroad for importn-
tion will exceed tho export value Of tho cotton
by tho cost and profits Of tho shipment. But so
largo an oxceHs us now oxists, equal to moro
thnn ono-half tho entire value Of exports, can by
no moans DO thus explained. It proves beyond
question n dogroe Of o7or-trading, reckless
moss In running into dobt, which las mover boon
equalcd at any period in our history. For oven
in tho times Of wanton adyonturol which pro-
coded tho orash OF 1887, our excoss' Of imports
was at no time ~ great aa ono-half our exports.
Constantly as experience Inns dzsproyed tho
false notion that "protection " will restrain
foreign importations, and cause d balance Of
trndo in our favor, 1t has nevor before given 40
conclusive and startling a demonstration as that
which now confronts als. For oleven fiscal years
under tho system called protective, from July !,
1861, to June so, 1879, inclusive, VIC have now
full statistios," and can compare .them with tho
eleyon years preceding, IN which, .oxcopt for the
months Of April, May, and juno, 1861, tho lowest
revenue tariff over tried slnco 1920 was in force.
Since 1861, imports for consumption havo OK
coedod domestic exports other than specie by
s572 6002 2s1.; But during the elovon: yours pre-
eoding, domestic exports other than specie ex-
ceoded imports for consumption by &04, ,80o, 749.
Thua tho average annual oxceBs OF exports un-
dor tho revenue tariff was 95,s91. .704, while tho
average annual oxceHa OF imports undor protoo-
tion has been 852,055,389.
a part OF this oxcoss has indeed boon paid by
using paper money at home, and sending abroad
osr specie, but only g. part, Our debts abroad,
national, State, county, municipal, and corpo-
rate, were by no ono estimated lower than
$1,000, 100000 four years ago, and by aome
Of tho nblost fnslciors at 81, 400, 900, 900, aud
tho interest on thoHo dobts, growing ever since
1861, can scarcely haye coat us lesa than $780,
G00, 900 III eleven yoars. There remains, OF our
exports Of specie since 1851, loss than $3.50 o0o-
600 to moot deficit in merchandise exports Of
$G72, COO, ,os1.
Tho protectionist cannot claim that those re-
suits arc exceptional Every experiment In pro-
lection Inns resulted inn balance Of trade against
us. The very first trial OF that syetem In the
yoars 1821-24, inclusive, gnvo balance OF axteen
millions ngainBt us. Thinking tint We lad failcd
to chuck imports only because luten wero not high
enough Congress- adoptod higher tariff, which
gavo balnnce against us in the years 1852,
inclusive, Of seventeen millions. Ihon tho o1-
treme Of protection was applied, and gayo, In
tho yoars 182932, INCLUSIVE, 0 balance OF thirty
five millions. Tho people Of TINT day had