New-York tribune., 1884-02-21
TIE AMERIcAN REVENUE SYSTEM.


THE AMERICAN REVENUE SYSTEM.
THIRD LECTURE BY ELLIS Il. ROBERTS AT CORNELL.
ITHACA, Feb. 20.-Mr. Roberts devoted, TINS
evening the third of his Of lectures before the Cor
nell University students on Government Revenue. TO
review OF d" American Methods and Results Ii was
against the nature of the stamp tax that the American
coonst rebccd he said not against being taxed AT an
Indeed, the cornerstone Of American Union was iu h
the Separate States could not be relied upoo
a National fund. The second statute whlch CohEIcS'
enacted and which Washington signed, declared tha'
it necessary for the support Of the Government
for the discharge OF the debt OF the United States ana he
encouragement and protection Of manufactutes' ua'
duties be aido The original law prescribed certain spe
cifc duties with enumeration OF merchandise ana al
vaorem duties in other Tho act OF Jny j. los"
occupies less than three pages OF our law DooEs Inc
highest ad vaOrom rate fifteen per cent lne ra'e
on all unenumcrated articles was five per cent win
short free list American ships paid six cents tom we
those OF foreign owners paid fifty. December D, l79l,
Hamilton communicated to Congress his famous rep0rp0n
manufactures. The development OF our manufactures
during thirty years after this time, while the
duties gradually increased, was such as
| TO Justify this policy. The rates were not
extreme In 1871 Congress resorted 10 In
terna taxes not withoutgreat opposition from the people
With the coming Of jefferson internal taxes were aool-
shed and bill was enacted TO levy direct taxes dVdeu
among the States But In 1896 the public land ad pesun
TO nav revenue and by 1907 the country had surplus
OF 600 600 July 1872 in preparation for the war
all duties doubled The impOrtatons had agsre-
gated SI3s 500 900 in 1908 They fell to 200 In
1914 The average rates Of duties attained in 1913 the
extreme altitude of 69O3 per cent. Immediately after
the treaty OF Client duties fell TO the low average OF 6s4
| minimum in our records. The act OF 1910
has been spoken OF as free-trade tarl, DuI
it is not. 1t Is discriminating and protective,
where protection needed The average rate OF
OF nd N
all impOrtations were raised in $50 to 4|42 ana 10
so Of in 1927 Upon the election OF General Jackson 10
the Presidency, there resistlcss movement lot
greater protection The bill of 1928 The most elabo
rate tariff that had up 10 that time been enacted Inc
average rate Of duties under ii reached upon total I'M
variations 81 33 per cent and on duabe articles Gl69
per cent There was no general reduction until 1882 MI
Clay then renewed motion for reductions on noncopet
ing articles and President Jackson recommended re-
vision of the tariff The act passed against the protest
of South Carolina and the immediate pretext FOR the
notification attitude of that State. But Mr.. Clays COM
promise providing for gradual reduction OF duue''
while preserving the protective syten quoted matters
for the time In this compromise the South won Its hrst
great victory.
Milard Fillmore introduced BILL which was passed
August So 1872 with the support OF slas Wright IN the
Senate it stopped further reductions under the Clay
compromise and made general revision with increase
OF rates The average was raised to 3050 per cent on
the total imporations In 1St5 Robert ]. Walker OF
Mississippi then Secretary Of the Treasury made re-
port against protective duties and arguing for Govern
ment collections at the ports simply for the money they
would bring. lie advocated twenty per cent as the
standard from which the largest revenue could be col
lected lie denied that protection enhanced the wages
OF labor The bill which resulted decided In favor OF
stronger protection and under it, the average duties
were on total mporations 2770 per cent IN 1S47 and
they fell TO 1Gs IN 1856 In 1857 further reduction
was MADE. The tariff OF that year preceded by afew
months the great commercial and financial revulson OF
the same year. The duties carried down to
AZ on total importations The influences which led to
secession were those which enacted the tars OF Io4o
The bin known as the Morrill, tariff introduced by the
Hon. Justin $. Morrill,, Of Vermont March l2lS6O made
snecdc sums instead Of rates varying with value Seven
states seeded before this bill passed With the mme-
date increase Of expenses the rates were ADVANCED
March g. 1865 still further advance made TO ad
just the duties imports to the internal taxes which had
adyanced and the duties culnnated The process of
decided reduction was begun July ~ lshG 80 ana & the es
500 100000 In 1872 reduction was made. which was
panic Of 1873, and the consequent falling of,
In addition to the estimated results OF legs-
1873 No important changes in duties occurred until the
appointment Of the Tariff Commission, May IS 1882, and
it's report leading the act Of March 3, 1888 In the
stress OF the struggle for the nations life. resort was had
as twice before TO direct taxes 1t was an utter failure
revenue was 1919 9,5Gi IS in 1866 of which Sl79,
O4G G51 was from customs and S3O922G sl3 ~ from In
ter1al revenue. This latter sum only secured by !
moustrOus rates and Of it nearly IL per cent fell upon
while liquor and TOBACCO paid only per
together The taxes on MANUFACTURES were generay
abolished III 1868.
the history If our tariffs and general financial policy
divides itself into four periods nearly equal IN length
far rs have progressed IL the fourth. The frs period
extends from the Revolution 10 the war OF lSl2; tile
second from the to the period Of notification; the
thira from nuGcation 10 secession aud the fourth
the period OF tho war and the return 10 peace The
Morrill, tariff still stands Our studies nave shown rs
that the extreme prOslavery influence IN 1882 and 1916
assated the traditional policy of the republic IN its
me FyStem. When the South attempted to set Hp a |
the only political body ever IN existence with free
trade clause in its constitution. with the cX- |
ception of the interval from 1916 TO 1861, Mtcen !
years, laws have steadily applied and enforced tho
protective principle The scales stand at eighty Of
the industrial system against fifteen years of the system Of
The rate OF duties has not exceeded
and Increasing share OF imports in absolutely
duly free. IN 1s21, when record began to be kept.
OH 433 worth so entered, less than one twenyith
OF the share o1 winch dulles were cOHcctco III ISL
onehalf OF imports paid duties whatever. In 1883
more than One-fOuTth entered fee. The imposed |
duties everything, and the free Imports compared
with the dutlable imports fell in 1868 One-twenteth
In 1873 they had become than Oncthird and since
that period the free imports have steadily Appropriated
10 one-hai Inc fc OF pIO'eclloh is 10 AUNT al thNes
which cannot produce ourselves duty free, except
In 1850 the proceeds of al the impost and transactions
United States outside OF the movement Of the debt
amounted TO 1888 $4,000. In the year state and
local taxation mostly upon land, yielded S31@750,721.
All the States derive their Income from property the
soil from corporations, from certain occupations.
Out Of the total Of imposs National state and local. in
$50 aside from special assessments which
ported only 80 per cent came from customs Seventy
per fell upon land and domestic industry capital
invested in #. savings chiefly derived from IT, This
truth bears plainly and suggcsyey upon the problem OF
he right adjustment OF National imposts. For
should pay its share OF the revenue
Tup MTrpDTDFp IVUpY,C CDNrcocTOS-