Daily Los Angeles herald., 1881-02-13
Yps Sugtiss gerald.


IRON the >. =. Chroniels.l
m ganta Rosa Rebublican OBJ.
)eooo - the recommendation Of the
Gl>eonjels that manufacturers be
o0ooussged by exemption from
eaxaetons and says;
4hie = not Reasonable encourage.
ueqe," because no encouragement IL reas-
'eoAA2e & 4orbearance in taxation is to be
l<1c16o1 q the expense Of adding to the
nuH1onB Of others. The rain falls upon
~ iust aaad unjust. Taxation must be
Q106l 10 insure prosperity. There is quite
cough yorfunctory generosity now in the
nv q fostering things by saddiing them
- ~ ehoulders Of the people. Let taxa
61n b lowered throughout the State to
yoano that manufacturers and all others
IN aAoed TO do business and build up tho
cennoaWsalth. In the long run the best
3oatuEe Of the Cons tuition will be found
nat clause that forbids special legislation.
The medicine II bitter, but it will heal.
The criticism seems to be sound,
and merits the attention Of the
Logislature. Since the publication
In Che Chr0njcie indorsing Senator
DAker's bill we have received the
census returns giving the manu-
lActurlng statistics of three large
cities, which suggest the idea that
exemption from taxation would
prove insufficient to promote an
1nduatry which would do go much
1 for the prosperity Of the State.
Thee figures are a. follows:
philadslphis Number Of establish
1ente. 1850; capital represented, $780,
6.S3l; value OF material, $500, soc. GA;
valus Of product, $322, 9S4 ,461; hands em-
plysd. ~ .964; wages paid $63.027, 1882; av-
Gregg wages, $slS; profits on capital, 80
uhicago Of establishments.
A0o2s oapitnl represented, So, 500, 102;
v1tue q material $3.50, 807 ,706; value OF
psoduet, 9363, z05, 695; hands employed,
80; wages paid, 37,6l5,3Sl; average
pagss, SAle; gross profits on capital, AZ
Oineinnati Number OF establishments,
o.et2: capital represented, SCI, 1S9, Sal; val
- II ustsrial, 981 OIL ,672; value of pro-
4lo6. @loo, 81, 463; hands employed, 6S,-
~ wages paid. 81 ,s5s, 796; average
uagm ssh "; gross profits on capital, 50
It'll evident that in . business
which affords sach enormous mar
gins for profit exemption from tax
etjon would be only slight sop.
In addition to the above figures, we
roeently published q statement ia
the eject that several prosperous
cotton millsIn New England de-
olare quarterly dividends ranging
from s to per cent. after paying
the taxes of the respective States,
counties, cities, ETC., In which they
are situated. The same condition
OF affairs exist in Georgia, the cot.
ton mills In that section paying
somi.annual dividends of 10 pei
cent, chiefly on watered stock, for
Is 10 - weli.kn0wn fact that very
! little real capital is employed IL
the mills recently started in that
State.
There IL other evidence, also, that
taxation does not deter manufac-
tuners II all the other conditions
are favorable. The municipal tax
% Philadelphia Is extremely high
whom compared with that of Cam
den, N. J., on the opposite side OF
the Delaware river. Chester and
other places on the Pennsylvania
side Of the stream have also tue
advantage OF Philadelphia in the
matter Of cheap taxation. Yet,
- spite Of this fact, Philadelphia
continues to add to her manufac.
tories enormously; and where her
Immediate rivals add one factory
- their list the Quaker City, &C.
0ording to recent number of q
trade journal of that city, adds
twenty. It IL not even necessary
30 20 90 far for examples, for only
. eh0rt time since mandatory
which had been operating in Ala
media county moved to this CITY,
regarding the additional advant-
ages % an Offset to the increased
taxation.
Nevada's lamentable experience
with exemption may not be i'm
psoporly cited. That State, with a
view OF encouraging mining, ex-
omptsd bullion from taxation.
subsequently,, when the mines be-
nan 70 yield millions. they sough t
90 impose . tax on bullion, but the
men who had amassed immense
fortunes In mining used their
wealth In an attempt to defeat leg
islAtfon. And ultimately, when
the tax was imposed, they, resorted
to ali sorts Of corrupt devices to Sc
cure its repeal, and that too in the
face OF the fact that the State, with.
out . revenue from this source,
would be hopslessIy bankrupt.
Viewing all these facts, we are
forced to agree with the RepubE.
can that the best and only safe
plan 10 to lower taxation sufficient
" that manufacturers and all 9th.
en- Will not be deferred from com.
mencing business. And we hearth
~ endoise the Idea that the best
feature OF the Constitution Is the
prohibition of special legislation of
any character.