Fort Worth weekly gazette. [volume] (Fort Worth, Tex.) 1882-1891, 1888-02-03
WHO PAY THE TAXI
High Tariff Benefits the Few at the Ex-
pense OF the Many.
Chicago Herald.

OnlCdg0 Herald.
II protectionists were honest they
would admit that high tariff benefits
certain interests at the cost of the whole
body of consumers. But they are crafty
and sJphisticaI. So plain 8 statement
of their case would defeat their purpose.
That which is essentially selfish sys-
ten, compelling the many to enrich the
few, rests upon b1sis Of Gtrocious
falsehood. A faVorite statement with
protection apologists Is denial of the
truism that s consumer pays all taxes
upon products. Senator Frye made such
denial The other day. He refrained from
! going as far as Senator Logan went when
he assured western audience that Brit
ish manufacturers paid the custom house
tax at New York upon all the goods they
sent into this country, and wers COM
| PEELED thereby most uawillingly to con-
tribute to the betrayal Of the expense of
this government.
The Commissioner OF Internal Revenue
has just reported to the Senate that from
the adoption of the internal tax policy IN
1862 until June last the government col
lected IS tax upon spirits and fermented
liquors 81, S4S, 626, 089. Who paid this
enormous amount during all these years?
The distiller and the brewer? The gov
eminent collected it from these manu-
fscturers, but who paid il? Taken from
he distiller and the brewer 1t was added
to the price Of liquors, and the tax came
out Of the pockets of the consumers, the
men who pour the stuff into their
stomachs. During all these. twenty five
years many heavy taxpayer for whisky
went to his grave because, tax or no tax,
he would indulge an awful craving for
liquor.
When during the war the government ex-
acted from street car companies q special
tax of cent for every passenger carried,
who paid the taxi The companies out OF
their profits? The companies collected
1t from their passengers. What does q
landlord do regarding the tax levied
locally upon real estate? He passes it on
to the tenant who is the real taxpayer
So with every tax. The ultimate payer is
the consumer.
An American merchant purchases at
Manchester OF Sheffield an invoice of
English made goods. He pays the mar
ket price. When the consignment reaches
the New York custom house the American
importer pays the tariff because the go7-
eminent, having the whip handle, will
not await the slow, uncertain and
unsatisfactory process OF col
lection from the ultimate pur-
chaser for use, but lays its hands
upon the goods at the port of entry de-
handing its tribute. What does the mer-
chant do? He determines the selling
price by adding to the cost of the goods
in Manchester or Sheffield the cost OF
transportation, the Custom House tax,
sll expenses, including the brokerage and
insurance, and upon the whole sum fig
ures his own percentage Of profit, adding
this to the selling price. The goods are
passed on. Is il not plain as a pikestaff
that the man who f1ally buys for use
some small portion OF this original con-
Segment toots the tax bill?
But suppose the consumer buys goods
OF home mar ufac lure; how can the tariff
affect him disadvatsgeously? The an
sTer is found in the very reason why
high tariff is levied. In the shelter of the
custom houses the home producer of salt,
or Woolens, or lumber, or any other
highly protected article makes So Hrtif-
cisl price which is not broken down be-
cause foreign competition is restricted
by the tariff. The price thus raised is
passed on to the ultimate purchaser OF
these products, who in such case lacks
the poor satisfaction OF contributing TO
the .overgrown surplus In the Na-
tionsl Treasury, for the extra price ex-
acted from him swells the profits of man
ufacturers grown immensely rich through
such unTarranted favoritism of law. But
may not the keenness of home competi-
ton break down this price? II it does,
why have protective tariff? But lest it
might, associations, trusts, compac!s
among producers are organized in order
that the wolves travelling in packs may
make greater certainty of their mutton.
When a Senator of the United States
rises to assert that the consumer does
not pay the tax it is desirable to recur to
thaan fundamentals