The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1886-03-27

POINTS ABOUT PROTECTION AND THE
GOLD STANDARD.

There are not wanting signs of reac-
ton in favor of protective policy, to
some extent, in England. dispatch
from London, of date March I'd, states
that "the associated Chambers of Agri-
culture of Great Britain had that day
adopted resolutions favoring the imposi-
ton of import duties on foreign corn"
This is intended as kind of defense Of
the British agriculturist against Amer
lea and other food-producing countries
1t would, however, signally fail in that
object, the cause of the prevalent agri-
cultural depression in England being
traceable to causes other than the free
tariff on breadstuffs. Moreover, it would
provoke very serious opposition in India,
Australia, New Zealand and Canada, all
of which send wheat, and some of which
send other food products to the English
market. To avoid this, however, the
export warehousemen and landowners
suggest ''fair trade" which involves a
free tariff on all products of the British
aafPd b discrimination against the
pose Customs duties upon DrTUTsn gOUuo.
We question, however, whether the
British people are prepared to begin a
tariff war with the United States, France
or Germany, having for so many years
adopted different policy. What the
British people want is cheap food, and to
obtain the raw products of manufacture
at the lowest possible price. British
statesmen understand full well that the
consumer pays import duties, and that
consumption must be reduced if prices
are increased This last is the object
sought by the imposition of duties for
protective" purposes in excess of the
requirements of revenue; and in the
case of the British workman, it would
afford him no relief, but do him an in
jury, because, although the cost of living
would be enhanced, his wages would not
increase in the same ratio.
German agriculturists have far truer
appreciation of the cause of the depres-
sion, which is fast grinding them into
the dust as class. Their experience is
similar to that of British farmers, but in
their case the operating causes are more
recent and therefore better understood.
When Germany demonetized silver it
adopted protective policy to compensate
for the injury caused by the contraction
of the circulating medium, and the fall
in price inseperable from the enhanced
value of gold. But the Custom House
was no protection against the conse-
quences of the great mistake in changing
the monetary system of Germany, as has
been shown in former issues OF the ADJ
vERTIsER, by quotations from petitions to
the Imperial Government by the landed
interests and farm cultivators of the En-
pire, and from proceedings in the Reich
stag itself As the purchasing power of
gold was increased by discrimination
against silver, SO the value of farm pro-
ducts and commodities in general,
measured by gold standard, became
correspondingly deprecated, while rent,
interest, and other fixed charges being
payable in gold, required from the pro-
ducer greater portion of the products
of his industry to meet them than was
the case when gold and silver were
upon equal terms as money. Under BIZ
metallism, the option is always open of
paying in the cheapest money, and this
option usually works an equation OF
values so that no injustice is done to
either creditor or debtor in the long run.
The London Times" a staunch gold
standard champion, is compelled to rec
ognize the condition of things in Ger
many and its Berlin correspondent, one
of the most reliable journalists in the
world, writes that Gin Germany, during
the past five or six years, agricultural
produce has seriously fallen in price,
while the land burdens, and notably
taxes and interest on land mortgages,
show no reduction. The distress of the
landed interest thence resulting reacts
most iniuriously on all German trade and
industry Protective duties give no re-
lief, for the fall in prices has outstripped