Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1888-03-12
The Guiding Principles in Randalps Tarii



of its terms and scope, he makes the fol-
lowing statement:
The bill repeals the internal tax on to-
bacco and fruit brandies. 1t also repeals
the Incense tax on wholesale and retail
lquor-dealers, leaving them, as recon-
mended by Jefferson, so that Estate au-
thorltes might adopt tiem.n 1t makes al
cohol used in the arts free, and reduces the
tax on whisky to fifty cents per gallon.
The bill Is careful and complete revis-
ion of the whole tariff system. 1t carries
to the free list large number of articles
now paying duties and which enter into
consumption either as raw material or
otherwise, and in the production of which
there is no injurious competition between
this and other countries. In the revision
OF the tariff the aim has been to intelli-
gently apply consistent principles to all
branches of industry, and in so doing our
industrial system has been considered as a
whole, and differing from other industrial
systems in the important fact that
LABOR IN THIS COUNTRY
Receives larger share of the annual
products of labor and capital combined
than in any other country This import
ant advantage to the labor interests of the
United States the bill aims to preserve
throughout the whole. At the same time,
in fairness to all interests as stated in
the Chicago platform, to reduce and equal
lze" the duties on imports. The principlee
applied to revision of the tariff IN this
bill are:
FEATURES OF THE BILL.
First-That the difference in the cost OF
producing commodities in this and other
countries where there is no climatic or other
natural causes why they cannot be pro-
dueed abundantly, has in this country been
studied and everywhere adhered to as the
cardinal principle to be enforced in any
revision of the tariff.
In such scheme all the industries, OF
course, should stand on an equal footing.
and IN no instance should the powers OF
the Government be used to elevate one
above another. In other words, our in
dustrlal system must be considered as a
whole, in which all who participate in il
share its benefits, whether they are en-
gagged IN one industry or in another. One
principle of great importance has been
Kept constantly i'll view, and that is, that
line which marks the difference in the cost
OF producing commodities here and abroad
in other words, the line OF fair competi-
TOMS always and necessarily above the
point OF maximum revenue. Consequently,
to reduce the duties on any commodity be-
low the line OF difference in cost, which, as
stated, is the line of even competition,
until the line of maximum revenue is
passed, necessarily increases the revenues.
On the contrary, to raise duties from the
line of maximum revenue, by lessening i'm
portations, reduces revenues.
This principle has been kept in view
throughout the bill in the adjustment of
duties. To determine Just where the line
OF difference in cost falls is, OF course. in
many instances, difficult, but it may be
safely assumed that when importations in
any line of commodities are large and in
creasing, and no good reason appearing
why the things cannot as well be produced
here, that such duties are below the cost
llne and that the advantage is with the
foreign producer. If the production in the
same line is diminished, or suspended
altogether, ia this country, it becomes proof
positive that the advantage is too great to
be overcome without a readiustment of the
duties.
In such cases (embracing, however, but
few articles) there has been no hesitancy in
preparing this bill to raise duties so as to
permit these industries to take their place
abreast with others in the country where
1mportations are light and increasing. 1t
may consistently be assumed that the du-
ties are quite high enough, and in MANY
cases may be safely reduced, and in case
the industry is of such nature as to permit
trusts and combinations of any kind to
raise prices above the level of prices
or profits in other industries, then it
becomes important that the cost line
should be closely adhered TO, and that has
been the aim in this bill in regard to indus
tries where trusts or combinations are sup
fn har- ~, IA
portant, of course, to apply this rule rigidly
where prices are regulated through free
competition. In such cases, under we'll
known economic principles, the tendency is
always to general level in profits, wages
and prices in any industrial system.
In working out the details of the bill un-
der these principles, the aim has been to
pare closely and adjust carefully the differ
ent schedules, with the object always in
view to lower the duties wherever possible
and reduce the revenues, being careful, at
the same time, to hurt no established in
dustry.
THE ESTIMATED REDUCTIONS
Uuder this bill will be: On internal taxa
ton repealed, $4,000 600; estimated reduc-
ton on tariff schedules, $25, ,00O,0 900. The
rates will not suit many engaged in manu-
factures, but are deemed fair and proper
response to the demand for reduced rates
in our tariff laws.
The bill is fully twice as long as Mills
bill, and relates to many subjects.
The following are some of the more i'm
portant provisions:
The taxes on manufactured tobacco,
snuff, cigars, cheroots and cigarettes, and
the special tax required by law to be paid
by the manufacturers of and dealers in leaf
tobacco; retail dealers in leaf tobacco :;
dealers in manufactured tobacco; peddlers
of tobacco, snuff and cigars, and the man.
ufacturers of snuff and cigars are repealed
after July 1st, and all stamps issued shall
be redeemed.
All laws imposing an internal revenue
tax upon spirits distilled from apples.
peaches or other fruits are repealed from
the 1st day of July.
Ali laws which impose any special taxes
upon manufacturers of stills, wholesale
and retail liquor dealers, and wholesale and
retail dealers in malt liquors, are repealed
from the 1st of July.
The Secretary of the Treasury shall grant
permission to any firms, individual or cor
poration to withdraw from bond alcohol
Tor any spirits containing alcohol) subject
to internal revenue tax in specified quanti-
ties of not less than 800 proof gallons,
without payment of internal revenue tax
on the same, or on the spirits from which
it may have been distilled, for the sole pur-
pose of use in such industrial pursuits as
shall be specified in the permits.
Penalties are provided for a violation of
the above provisions where the intention is
to defraud.
Weiss beer containing less than q per
cent. of alcohol shall not be subject 10 in
ternal revenue tax.
The tax on distilled spirits shall be fifty
cents gallon, and rebates are allowed on
that which has paidsthe present tax, out of
the Treasury.
There are many reductions in the chem
icals section. The chief earthenware and
glassware changes are in nearly every in
stance reductions. On metals the chief
changes are as follows: Copper ores, II
cents on each pound of fine copper; old
copper and clippings for manufacture, 9
cents; composition metal and ingots, plates
or bars, p cents.
Iron ore is 20 cents per ten, as at present,
but new provision is added forbidding
deductions in the duty ON account of
moisture. Pig iron is unchanged. Bar
iron, rolled or hammered, comprising flats
not less than one inch wide nor less than
three-eighths or an inch thick, $40 of l
cent per pound: comprising round iron not
less than three-fourths of one inch in
diameter, and square iron not less than
three-fourths of one inch square, 9.l0 of
cent round iron less than three-fourths
OF one inch, and not less than seven-six-
teenths of one inch in diameter, and