News and citizen. [volume] (Morrisville, Vt. ;) 1881-current, 1886-07-15
The First Tariff.

On Jan. 1, 1871, the first permanent
Tariff under the Constitution went into
effect. Being based in its essential fea-
lures upon recommendations made by
the first Secretary of the Treasury, it is
properly known as the Hamilton Tariff.
1t continued in force, its framework re-
naming unchanged, for quarter of a
century. 1t will be instructive, now
that agitation of this subject is once
more upon us, to inquire what was the
character and what the effect of the
most important Tariff in our history,
and the one whose continuance was
longest.
The preamble of the Act itself de-
clares that the duties under it are i'm
posed = for the discharge of the debts
of the United States, and the encOur-
agement and protection of manutac-
lures" In other words, the Act bad
the two-fOld purpose of securing reYe-
nue. and affording protection, Both
these desirable ends were sought, and
both secured.
The Act placed a duty ranging from
20 to So cents per gallon on wines, and
from 20 to 40 cents, as amended, on dis
titled spirits. NIolaSSeS paid cents per
gallon and sugar II, p and 5 cents per
pound and Coffee paid and tea from 10
to so cents per pound, according to
quality, place from which, and vessels
upon which, imported. Cotton was
charged 8, tobacco and indigo 25 cents
per pound. Salt was charged II cents a
buShel, which in 1897 was increased to
20 cents, and 10 per centum additional If
imported in foreign vessels. Carriages
paid the highest Gd UGlOren1 rate, 153 per
centum, and this was increased in 1874
to 20 per centum. China-Ware, looking
i'll
121 per centum. Paper, pictures, laceS,
iewelry, clocks, watches, etc., paid 10
per cent. Most other goods were made
chargeable with an dd UGlOrem duty of 5
and y per cent. upon the home yalua-
ton. This was changed to foreign
valuation for all dd UalOrem goods In
l795.
During the first year of the Hamilton
Tariff the average rate of duty on all
merchandise was 81 per cent. This was
also the rate in 1896 and 1899. In 1905
the average rate expressed by percent
age was 101, and in 1910 the rate was 10
per cent. In 1904 an additional duty of
p per cent was imposed upon all mer-
chandise then paying an dd gGlorem rate
of duty. This was called the Mediter-
ranean Fund, and was used to pay the
black-mail levied by the Barbary States.
On July /, 1912, all duties on all i'm
ported goods were increased 100 per
cent. upon the urgent recommendation
of Secretary Gallatin to meet the extra
ordinary eXigencieS of an impending
war. This is the first appearance on
the historical scene of the horizontal
business. Under its malign influence
and that of war, the revenues from GUS
toms fell from almost S12.500, 900 in
1902 and more than SIC, 250,OOO in 1903,
to less than S6,000,000 in 1914 and about
81, 250, 900 in 1915. Under this horizon
tai burden and the changed commercial
and financial conditions caused by war,
it is not strange that the first great
Tariff ceased to exist in 1916.
The Hamilton Tariff, while not per-
feet, judged in the light of to-day, ac-
complished both the purposes for which
it was enacted. 1t must be remembered
that the great Secretary was bending all
his mighty energies to strengthen and
establish on solid foundation the
public credit. 1t was natural that he
should lay tax upon whatever articles
of import gave promise of affOrding
revenue. His policy also was to so adj
just the necessary tax as to afford pro-
tecting aid to the feeble industries of |
that early period. Under this Tariff, |
manufacturing multiplied and greatly |
expanded. The revenues proved ample |
to meet the current expenses of the |
Government, pay the interest ON the
public debt, inherited and contracted, |
and reduce that debt more than
$40, 000, 900.
Alexander Hamilton was then, as he
is now, the highest authority to which |
to appeal on questions of finance and |
taxation. If the drivelers and gabblers |
of to-day consulted this peerless states
mans Tariff and works, they would not |
be guilty of the mOurnful stupidity of
believing that revenue and protection |
are in perpendicular antagonism, but |
would comprehend that they go hand in |
hand together. And other Weaklings |
who assume to be wise would learn that |
taxes which are more than fourfOld |
greater under Government with a sur
plus revenue than were those imposed |
by our first Administration, which had !
no revenue at all, are probably unjusti
taxes that ought to be at once reduced
But it is easier, perhaps, to move to-
wards the lower duties of our earlier
Tariffs than to find a man who can
adjust them. The Hamiltons
are found in Trinity Churchyard, not in
Congress. Leslte's TYeekEy