The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1884-12-02
THE TREASURY DEPARTMENT.
Suggestions and Recommendations from the
Report of Secretary McCullOch.

eminent durlngthe fiscal year, the essential points
of which are printed in the Presidents message
The total revenue for 1885 is estimated at $3.50,
600 600, and the total expenditures at 1920, 62G,
pol. For 1856 the revenue is estimated at $3.50,
900, 900, aud the expenditures at 1923, Oil, 1894.
For the twelve months ended Oct. 81, 1884, bonds
of the United States to the amount of $97, 1900
were redeemed and Cancelled The report then
proceeds TO a discussion of foreign trade and
taxation Under this head, Secretary McCulloch
says:
The real foundation of our great manufacturing in
dustry was laid in New England under the first tariff
of protective character which diverted part OF its
capital from shipping into cotton factories Those
first constructed having been fairly remuneratve
more were constructed and other branches of manu-
faoture We're undertaken, until New England was con
verified from maritime and commercial pursuits into
manufacturing will be yecollected that New En-
gland was opposed to the first protective tar-that
one of Mr. Websters great speeches was free1trade
speech.
1t not many years after the first cottonmills
were erected in New England that the great iron in
terests of the country began to be developed and
Pennsylvania became the great IRON nanutaetur
ing State of the Union Nor was It long before var
ous kinds of manufactures came into existence in most
of the Northern and Western States The demands
of the government during the late civil for nearly
all kinds of manufactured goods and the high tariff
greatly stimulated production. After the war stmu
lus was found in railroad building and in extravagant
expenditures induced by currency ana
the time has when the manufacturing in
dustry of the United States is in dire distress from
plethora of manufactured goods Some manufacturing
companies have been forced into bankruptcy; others
have closed their mills to escape it, few mills
running full time and as consequence very
large number of operatives either deprived of EN-
ployment working for wages hardly sufficient
to enable them to live comfortably even decenty.
Nor manufacturers and their employees the only
sufferers by the present depression of our manufact
uring industry. So large and widespread has this in
dustry become interviewer is II with other indus
tries so essential is it to the welfare of the whole
country. that it cannot be seriously depressed with
out injuriously affecting business throughout the
Union.
The all-important question therefore that presses
itself upon the public attention is, how shall the
country be relieved from the plethora of manutact
ured goods and how shall plethora hereafter be pre-
vented! 1t is evident that power to produce is
much in excess of the present and probable future
demand for home consumption. The existing iron.
cotton and wooen mills, if employed at their fun
pacity could meet in six months-probably in
shorter tilne--the home demand for year. 1t is
certain therefore that unless markets practically
closed against opened; unless we can share in
the trade which is nonopolized by European nations
the depression severely felt will continue and
may become more disastrous.
The question how shall foreign trade be in.
creased is the question which comes to the front
and demands careful consideration. Manufacturers
primarily interested, but the whole country has
sta xe in its solution In its investigation the tariff
wiz necessarily be involved inasmueh the relations
between it and foregp trade close that they
cannot be considered separately, but need not be in
national trade If the duties upon materials
obstruction, those duties should be removed. If
the duties upon other articles are an obstruction.
they should be modified. WhateNer may be required
to increase foreign trade, whether it be repeal
o modification of existing duties. should be demand
ed by the manufacturers themselves How, then,
shall the information required for full understand
ing of what stands in the way OF an increased eXporta
ton of manufactured goods be obtainedi 1t may
not be proper for TO offer adveepon this point but
cannot forbear to say that can see no better means
than by the appointment of commission, composed
Of men not welded to the doctrines of free trade
proteetiOn-tair-n minded men, who would prosecute
the inquiry thoroughly, cemprehensibly, and impair
tally If such commission should be created, it
should be done without unnecessary delay.
1t is true that previous commissions have not
cOmplished all that expected of them. The cause
of this partial failure it is not necessary to inquire
into but this failure should not prevent the appoint
ent OF such commission as has been suggested, I'M
less something better can be devised. is very clear
that what is needed cannot be accomplished through
the agency OF the committee on ways and means. no
vast in its comprehensive reach is the question to be
investigated and complicated is it by the changing
policy of other nations that this committee would
lack the time required for its thorough investigation
Besides the committee ways and means is usually
appointed to sustain measures to which the party in
control in the House pledged rather than to give 20
subjects reePed to it that impartial consideration
which is needed for correct conclusions. Nor is the
fact to be overlooked that even constituted this
committee has been, and able as have been it's
bers, there has rarely, if ever, been a committee
which reflected the sentiments commanded the
respect of the House to be able to carry through
pared.
1t is, therefore obvious that some other agency
than the committee on ways and means must be re-
sorted to in order that the House may have the in
formation absolutely needed for correct conclusions
in regard to the nature Of the distinctions in the
of an extension of our foreign trade and the best
means of removing them. The labors of a commits
Sion if properly performed would be very great. Am
pie time therefore, should be allowed for their per
Torrance.
The business of the whole world has been revolu-
tioniged by steampower and the substitution of ma
ehinery for handrwork If net the inventor Of the
steam engine Great Britain took the lead IN utilizing
it in manufacturing and she thus became the great
workshop of the world. For many years she had a
monopoly of manufac turing. The raw materials from
nearly all nations taken in her ships to her
ports and returned in manufactured goods 1t has
9een the profit of this combination of manufactures
and commerce which has made her the richest and
most powerful of nations. Now, however all western
nations endeavorng to their raw materials at
home and to encourage and sustain their manufactures
by protective duties the effect of which has been gem
era1 overproduction.
1t is this great revolution caused by steam-power
and machinery and their general use that will make
the labors of the commission arduous All the
leading nations of the world engaged in man
ufacturing, and all but Great Britain are fencing
themselves in by protective duties. Among them the
United States has been conspicuous. Has not the
time come when new departure is demanded Cob.
den, of the ablest and farseeing of British
statesmen predicted that the United States would in
time not only become a great manufacturing country
but would become competitor with Great Britain in
the South American markets. In the course Of some
remarks upon the condition of British trade he said
Members of the House of Commons and Others are
constantly CRYING out that there is very great danger
threatening this country from Russia and they neglect
to observe that the great danger TO the supremacy
the country is not in Russia but in the competition of
the United States of America.
The Golden Club is the channel through which the
freerade sentiments of Great Britain find expression
and yet at recent meeting of the club the following
language by of the prominent members of ParIia
ment eheered and appauded:
Many persons seem to think that the effect of the
reduction of the protective duties in America would
be to enable to food the United States with our
productions For short time probably it would give
stimulus TO trade, but in the long the effect
of it would be to cheaper American productions and
to increase the competition of America with us in
other parts of the world. We should have to meet
that competition. We should find the Americans
country to throw aside many of the bonds which now
fetter our industry
The present condition of foreign trade is not as
fully understood by the public as it ought to be- or