The sun. [volume] (New York [N.Y.]) 1833-1916, 1878-04-04
WHAT TOBICCO NAY no EOR THE
GERMAN EMPIRE.

IL is Main that so long rs Bismarck lives
he will spare no pains 20 organize. in cohe-
rent and lasting form. that superb creation of
statocraft. the German empire. 1t Is by no
means certain that the new civic machinery
could be made TO work in any hands less sklful
and experienced than his Among the elements
Of weakness which imporatlvcy demand REM
edy. tho most dangerous undoubtedly Is the
growing deficiency of the imperial revenues
This it is whicl he proposed impost on tobacco.
laid before tn Rcchstag during the present
session, is intended to rectify; and there are
good reasons why a tax. Indifferent in appear
anre. should be urged with vehemence by the
German Chancellor and declared by him 10 be-
the last ideal object Of his life.
II is a Fundamental defect in the German Con-
stltution that partial and quite inadequate
control over the power ofthc purse is ntrustcd
to the Federal Government. What solidity and
capacity Of sclf-prOtection should we ascribc to
our national system. II. even in time of peace
its income fell continually short OF its expcndi-
ture. and the Legislatures Of the several
States were regularly called upon to make
up the dcfct2 Yet this is the precise state
OF things in the German empire. which is
Obliged to rely for large part OF its financial
resources upon the direct contributions Of its
constituent members. Moreover. the amount
Is obliged to apply to scmi-independent. and
perhaps half allcna,cd Governments is in
crcasing every year. the imperial budget
having boon swollen since 1879 by up
ward Of s25. 100000. while tho receipts
have remained almost stationary. Now II
Is perfectly obvious that II local Legislatures
are asked to dcfray Federal expenses. they will
sooner or later. and I'm one way or another. con-
trive to exert pressure on Federal action. II
is absurd TO suppose that Bismarck would over
look the cloarest lesson OF political history. and
accordingly we find his energies now fixed upon
the single end of making the empire self
supporting.
The projected tax upon tobacco will not wholly
meet the existing deficit but II is Il long step in
the direction 81 imperial sclf.support. and II
will establish Il precedent OF decisive moment.
The proposed impost will fall alike on the do
nestle product and the imported staple. and
here we may call to mind that large amount
Of tobacco is grown in Germany. not less than
10000 acres being devoted 10 its culture In the
Rhenish provinces alone. According to the
present bill every hundred pounds Of the leaf
grown will pay So. and this. with the pro-
ceods Of augmented duties on the imported
article. will contribute at least $4,000. 600 TO the
Federal Treasury This. however will only re-
ducc by II third the shortcoming which Bis
marck means to rectify. and. accordingly. his
parisans are beginning to moot the project of
State monopoly Of tobacco like that established
in France. Herr Mohl has calculated that
a Reggie or system of Government manu-
facturc and sale. would yield for the whole Of
Germany the enormous revenue Of sl2c .OpO,OO0.
We shall appreciate how tempting these figures
appear to German lnanciers when we consider
that the entire imperial budget for the year
mo fD NOR n
works. did not reach sl3OOOO.OOO. II. however.
II is deemed imprudent TO urge for moment
the plan Of a monopoly. IL would Dee necessary
TO supplement the existing resources of the
empire by other indirect taxes. Tor which the
impost on tobacco would afford "A precedent
No doubt the most effective measure would be
to slightly augment the excise dues on beer, of
which there is such an enormous consump-
ton i'm Germany. But Prussia has no wish t.
cstrauge completely her new associates in tho
south. and woull be likely to recoil before the
consequences Of an assess ment on their iavOrtn
beverage.
In proposing to strengthen the hands Of the
Federal Government 10y imposing fresh bur
dens on the taxpayer. the German Chancellor
has one signal advantage over the finance Min
listers Of most countries. He can point to the
consoing circumstance that leakage in the
process Of collection has been reduced to a min
imum. all departments Of the fiscal service be-
ing managed in Germany with admirable hon
estv. economy. and efficiency. What Il COM
montary on the different systems of admins
tration is the fact that collection expenses ia
France absorb eleven per cent. of the sum levied
IN the people. while in Prussia they only
amount 10 four and a third per cent. With
the assurance that almost every thaler of
their contributions will be turned TO SUBJ