The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1888-08-24
M'KINLEY,S SPEECH,
Delivered at Augusta, Ga, ON Invitation
of the Piedmont Society.


of the Piedmont Society.
AUGUSTA, Ga, Aug. 23.-Major Mo
Kinley, after having thanked the
Piedmont society for the courtesy of its
invitation, said that he had come to ad-
dress them upon public question of
great national import, which concerns
not only the prosperity of one section
but of all sections of our common coun
try, aud which is of commanding inter-
est to our 10000, 600 of people. The
different theories of taxation have an
Interest now which they have never pos
sessed before.
Frank discussion and thoughtful con-
sideration of the two conflicting theories
are therefore demanded. There are some
things upon which all are in accord, and
which are so manifest as to require no
argument. Among them are that the
United States has no income except what
II secures either by direct taxes or by
duties upon imports.
Free traders. so called, or, to be more
exact, the advocates of revenue tariff,
believing with the other school of polit-
ical economists in import duties, insist
that duties shall be levied upon that
class of foreign products which are not
produced in the United States, the prin-
ciple being that revenue is the sole and
only object of such taxation, and that
duty levied upon such foreign products
as have little or no home competition
will secure the largest revenue with the
| smallest rate of duty.
A revenue tariff is, therefore, such q
one as will produce the largest revenue
from the lowest duty. The lowest rate
of duty will encourage importations, di-
minish home production, and inevitably
increase the revenue; 1t will of necessity
merchants abroad to buy. A revenue
tariff is inconsistent with protection; it
is intended for wholly different pur-
pose. 1t has but one object. 1t can have
but one effect-that of opening up our
markets to the foreign producer -impov-
erishing the home producer, and enrich
| ing his foreign rival.
THE OTHER THEORY OF TAXATION
and the one which believe to be essen
tial to American development and ma
tional prosperity, is based upon an ex-
actly opposite principle. 1t permits all
articles of foreign production to enter
our ports unburdened by custom house
exactions. The duty is to be imposed
upon the foreign competing product,
and answers adouble purpose. A revenue
tariff accomplishes but a single purpose,
that of raising revenue. 1t has no other
mission, while protective tariff accom-
plishes this and more.
IT BRINGS REVENUE
to the American treasury and 'discrimi-
mates in favor of the American citizen.
A revenue tariff invites the product of
foreign labor and foreign capital to oc-
cupy our markets free and unrestrained
in competition with the product of our
own labor and capital. A protective
tariff says to the world of producers. eff
you want to share with the citizens of
the United States their home market,
you must pay for the privilege.
1t is alleged as serious objection to
protective duties that the tax, whatever
it may be, increases the cost of the for
eign as we'll as the domestic product to
the extent of such tax or duty, and that
it is wholly paid by the consumer. This
objection would be worthy of considera=
ton if it were true. There is not in the
long line of staple products consumed by
the people, n single one which has not
been cheapened by competition at home,
made possible by protective duties.
Exactly the opposite is true Of
revenue tariffs. They are al
ways paid by the consumers.
If you take an American production
which is large enough to supply the do
nestle demand, the effect is different.
Then the foreign production must under
sell the home production in order to get