New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-10-22
THE LOGIC OF PROTECTION.
PROTECTION ALONE CAN FURNISH STEADY
NATIONAL EMPLOYMENT.
DY EMIL SCHALK.

NATIONAL EMPLOYMENT
The question of providing steady work for all
the people is made burning one with all Gov
crnments Of Europe by the increasing population
in countries already denscly populated, and by
the concentration in cities and manufacturing
towns OF laborcrs from the country, railroads
having made communication easy England at
tempted the solution OF the problem by free trade,
the principal Continental States by protection and
the encouragement OF industries.
Forty years ago England had the absolute com.
mand OF the seas-amost owning the commerce
OF the world-and an absolute supremacy in
manu- featuring, the result OF extremely favorable
natural conditions, with wealth almost unparalleled
in history and not approached by any other nation
of Europe She challenged all civilized nations TO
free competition on equal terms. In 1s46 she
virtually adopted free trade. and in 1859 re-
moved the last vestige Of protective duties from
her tariff. The new policy was inaugurated, how
ever not exactly in the shape of a challenge, but
rather as an invitation TO general love-feast, in
which the feasting was to be done by England ana
the waiting on her by other nations. From an Eng
lish point Of view this policy appeared delightful
The whole nation became enthusiastic over It, ana,
with the conceited assurance due to the character
istic and intense selfshness Of John Bull set to
work to convert the entire world to the new faith
Apostles were sent forth and the new gospel was
preached all over the globe.
Many converts were made among all nations.
The middle and trading classes, living on COM
parativey small incomes could not resist the
tempting offer OF cheap living. To reduce ex-
penscs one-half and still keep the same income
was too "enlightened' a doctrine not to be inn
plicitly believed. The professors Of social
science in all nations hooked by means Of this
bait almost to man. and ever since have been
| hcradng English wisdom and enlightenment
Besides the doctrine found ardent supporters
among Radicals and Socialists in all countries.
The name free trade, was we'll chosen. Such
catch-words as shackles of trade cheap food,'
and others were too valuable additions to tho
stock in trade OF demagogues declaiming against
" tyrannical Governments not to be adopted BY
the wholesale. Exporters and importers tho
merchants of great seaports and the large inland
wholesale dealers. well as most banking houses,
were easily converted to the new faith; their in
terest seemed to them TO lie that way.
Though the converts among the people wcre
many, Continental Governments were in no great
hurry to adopt the new doctrine. Colberts genius
in saving France from financial ruin under Louis
XIV, by fostering industries through protective
duties and even State subsidies, had not been for
gotten. Equally we'll was remembered the foster.
ing care bestowed by Frederick the Great on the
industries of Prussia to repair the losses OF tho
Seven Years war. Still fresh in memory was the
Continental system, by which Napoleon 1. excluded
all English manufactured goods from Continental
markets. thereby establishing many new industries.
Continental Governments needed money for the
maintenance of large armies, and duties on foreign
goods because little felt by the people, were a
convenient mode Of raising money.
France therefore, remained a believer in pro-
taotop Croot off rte uerc made nv Prussia. after
the Napoleonic wars, to unite the different States
of Germany in one commercial union, and after
wears of exerticn she succeeded in establishing
the "Zollverein," and between the years $50
and $50 brought the majority of German States
to Join it. The policy was one OF moderate pro-
lection, which was adhered to until after the es-
Establishment of the German Empire Then free
trade mania swept over the country But 10
proved so disastrous within q short time that the
aged Emperor, in a speech from the throne IN
1879 declared that this doctrine had to be
abandoned, and must give way to policy tried
and approved by time and experience. Ever since
Germany has remained faithful to the policy OF
protection.
But European Governments did not stop in
their care to provide ways of earning living
for their pee pie with a bare protection against
runous foreign competition. just as their younger
generations are trained in the use of arms to de-
fend their country they are drilled and edu-
Gated IN the art of earning living" In
schools of all kinds have been estah-
lished to teach special trades or to improve work
in gmcn and their products But Governments
went still further. Export bountles are gwen
in some cases 10 encourage export trade. Inc
most remarkable of these, which shows. too, the
powerful effect they have on industries, Is the
bounty on sugar. Originally only return of
Iufv on
intended But the return duty, in consequence
of improvements in manufacture, became TO
small extent a bounty. BY all Continental States
producing beetroOt sugar 1t was PAID TO the sugar
retners and an immense export trade from those
States was the consequence. English sugar re-
finers were well-nigh wiped out of existence. and
some of the English West Indian colonies were
ruined BY comparatively small sums thus re-
fund,a the Governments kept thousands Of work.
ngmen ut work and added millions to their wealth
at the expense of England. No wonder English
statesmen complained that the bounty system de-
ieated the fair working of free trade, and yet
the English people had their sugar cheaper thah
oyer before or course, it makes all the difference
in the world whose OK is gored, and this time ~
was the English OK.
The United States profted with other Powers
by the improvements in refining. thus bounty
Of only IL cents to % cents per lVo POUNDS ro'
shifted from improvements in manufacture. and
enabled American rciiners 10 increase their exports
from 22, 900 900 pounds in lssl TO 2o5'ooo'ooo
hounds in 1888 An enlightened Democratic
seeing this large export trade
spring up as soon as it ascertaincd the cause re-
luced the return duty on sugar from ~ Genus
% . 81 cents per pound, and thereuron exports
If sugar fell in 1886 10 l6j,000,Ooo pounds, ana
n 1887 TO $4,000. 900 pounds from 253,ooo,ooo
pounds in 1885. Thus many American working
men were deprived of earnings, and the accumuia-
ion of wealth in the country was retarded.
But bountes exports were not the last step
aiken by some Continental Governments TO provide
markets for the labor of their people. Steamship