New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-07-25
THE PENDING BILL.

THE PENDING DILL.
The Mills bill, according to Mr.. Mills's clos
ing speech, is expected to reduce the revenue
S2O,OOO,O 900 by additions to the free list,
$50, 900, 900 by reductions in duties on other
articles, and 1922 ,O00,0 900 by changes in the
Internal Revenue. 1t is easy to see that the
reduction in revenue will not be what Mr..
Mills estimates The bill will to consider
able extent fail to meet the urgent necessity
which the President represented as the one
sufficient reason for its introduction. 1t may
be granted for the moment that the reductions
by additions to the free list are correctly esti-
mated these will be separately examined. They
are characteristic features Of the BILL and are
intended to break down important American
industries for the benefit of foreign producers
or traders. If these accomplish all that is ex-
pected of them, as they will under the con-
structions of an Administration hostile to pro-
lection, the revenue will thereby be reduced
materially. while the imports will be enor-
mously increased.
The changes of duty, however, VIII not have
the effect which Mr.. Mills expects This is
true of almost every class Of articles affected
except one. Because the sugar consumed in
this country is nearly all imported, and the
consumption is not likely to be much increased
by the change of duties the abatement of about
one-ffth in the sugar duty will probably lessen
the revenue by nearly Sll,3OO,OOO without
the certainty of any benefit whatever to con-
sumers For the foreign producers can easily
advance prices enough to compensate for SO
small change of duty. Meanwhile, consumers
in this country are entirely at the mercy OF the
Sugar Trust, which Democratic so-called re-
formers have strictly obeyed in the framing of
their bill. The Trust pays in votes for the
careful preservation Of its monopoly 1t cal
culates to get a profit not smaller but larger
than before, if the bill should pass.
But the reduction of duties on manufactured
products will not answer expectations. The
changes from ad valorem to specific duties by
encouraging undervaluations, will make the
reduction in rates far greater than the bill
nominally proposes to make, and yet will so
increase imports that the revenue of Govern
ment is not likely to be reduced at all as to
these imports For illustration, take the duties
on woolen goods, Of which S44 900, 600 worth
are now imported, and the undervaluations are
already so great that the actual value probably
exceeds $50, 900. The undervaluations
are mainly in the few classes on which there
are now only ad vaorem duties. Under the
proposed bill all wOolens would be subjected
to ad valorem duties only. and consequently
to great differentiation. Past official investl-
cations have made it clear that on the classes
fraudulently undervalued the declared is fully
80 per cent less than the actual value. At the
same rate all the woollens now imported would
be valued at about S3l 900 600, and at 4 0 per
cent the duty would be only S12, Al 600, or
less than , per cent of the actual value
But so great reduction, and the open door
for fraud would beyond question increase i'm
portations enormously. Thousands of Ameri-
can mills can with difficulty compete now be-
cause Of the unfair ruling Of hostile Treas
ury, but would then be obliged to close alto
gether If only third of the woolen pro-
ducers should be driven out of the business
foreign goods would take the place of Ameri-
can goods which now cost 81 90, 100000 or
more. These foreign goods would probably
be undervalued at not more than 81 200, 600,
and the duty on these additional imports alone,
at 0 per cent of the declared value would be
S28 900, 900, or almost as much as the entire
revenue now derived from woollen duties In
effect, there would be an increase of about
81 0, 900, 600 in revenue on these estimates,
and it is in every way probable that more than
a third Of American manufacture would be
stopped.
When it is considered that the same change
to ad valorem duties is to be made as to cotton
goods; that earthenware and glassware are
reduced, with manufactures of metals, as If for
he express purpose of inviting greatly in
creased imports that duties on kid gloves, fans
and feathers, proprietary articles Of toilet and
medicines, are also reduced, as if the Demo-
ratio managers were anxious to lessen the
cost of luxuries of the rich it will readily be
realized that the increase in imports is likely
% enlarge the revenue in spite of the under
and the decrease in rate of duties.