Iron County register. [volume] (Ironton, Iron County, Mo.) 1867-1965, 1888-08-16
OUR INFANT INDUSTRIES.

OUR INFANT INDUSTRIES.
How Their Excessive Profits Are Divided
Between Capital and Labor.
The champions Of an eternal war
sariff have departed widely from the
doctrines of the early apostles OF pro-
tectionism. Henry Clay. in his time,
enjoyed the distinctions of being called
the great apostle of the american
| system" It was false title; for the
so-called American system was simply
the British, the French, the Spanish,
the common mercantile SYSTEM" SO
called, of the old world, transplanted
| TO the new. But neither Clay nor any
other apostle of that system in his day.
nor in any epoch before our civil war,
| advocated a tariff for protection as the
| permanent policy of the Republic.
They wished to protect our .sinfant in
dustries," they said; to encourage,
nurse and coddle our young and strug-
Cling manufactures, until they should
become strong enough to stand alone
This was their position, pretentiously
/ oO 11J oUOs duA 10y onu tAAAo ulAOy pAO
fessed no wish to go. They laid it
down as an article of their creed, as a
fixed basis of their gospel, that the
tariff bounties they would compel con-
sumers to pay over to our 'syoung in
d1Istries" were to be withdrawn as
soon as these industries had become
established.
ha1 Dn1rVd he cfe2h oh n10
What would be the test of their adult
strength and vigor which would en-
able them to stand without the mater
nal support of bounties drawn from
the earnings of the people by Govern
ment partiality and legislative decreeP
These questions, often asked, have
never been answered. 1t is time to
ask them again.
But. first, let us look at some facts.
The facts touching our industries
which are furnished by the census re-
ports are the most accurate and trust
worthy, as well as instructive, within
our reach. They inform US that, in
the year 1880, there were embarked in
manufacturing enterprises as follows:
Workmen employed ............--. 2,73S $50
Total wages paid IN one year. 9a7,019,874
Average yearly wages. 346 1S
Value of product, one year .. IS, 1863, 667, 700
Cost OF materials used $500. 1884 $40. 029
Gain produced by labor. 81 975 327, SIT
OF which the workmen received. 947,91s,e74
Leaving the employers profit 81, 600 4os O03
This sum ($1, 900, 4OS, OO3) was the
manufacturers profit on the capital
invested ($2, 700, 223, 506). What was
the value to him of the tariff "pro-
tection?" Ten per cent. profit on the
capital invested is regarded as fair
compensation. Ten per cent. profit on
capital of 50, 700, 223, SOC is 1927, oO2,-
235. Deducting this fair profit from
the actual profit gained by the manu-
facturer gives a remainder of $685.
4O5, 768,, which is the sum that was
transferred to the Golfers of the manu-
facturers from the earnings of the peo-
pie by the protective tariff. In other
words, protection" gave to the manu-
facturers a sum above the fair profit
on their capital almost equal to one
half of the amount of the capital it
self-this in one year-while the work
men receive IN the same year the
average wage of $346. Is each.
It is, herein demonstrated that the
wages of the workmen could be doubled
and yet leave fair compensation to
the, employers for their capital en-
banked in the business. It is shown
that the tariff which has given $685.
4O5, 768 to the employer above his fair
profit has added nothing to the gains
of his workmen. The facts prove,
also, that this excessive profit of the
capitalist is drawn from the earnings
of this people, who are compelled to
pay this egregious profit to our Gin
FAINT industries by the protection tar
ifflaws.
Here the question comes forward
again:: When will these Infant indus
tries" become adult industries? When
will they be able to stand without the
prop of succor from other mems earn
ingsp II profit of more than one bill
lion a year on a capital investment, of
two and two-thirds billions, or of more
than nine hundred millions above what
would be a fair profit, is not a. test of
their ability to stand alone, what profit
will furnish such a test? Must the
protection prop be maintained until
the profit on capital amounts to one
hundred, two hundred, three hundred
or four hundred per cent before these
struggling industries will cease to be
sucking industries, or consent to be
weaned? What is the point in this ar
bitrary appropriation of other peo-
Piles earnings to these insatiate, in
fants where the weaving will begin2-s
Chicago Globe.