Butler citizen. [volume] (Butler, Pa.) 1877-1922, 1888-07-27
Tariff Theories.

sneakers have assured their audi
ences, in this part of the country,
that the Democracy ia not for free
trade, but for a revenue tariff, that 1t
may be worth while to point out the
reason why Republicans charge that
the Democrats, by advocating tariff
for revenue only, are virtually free
traders. A tariff for revenue only,
which the Democrats advocate, is a
tariff on such articles as are not pro-
duced in this country, like tea and
coffee, the revenue from which goes
entirely to the government. A tar
iff for protection is laid on such ar
ticles as are produced in this country,
and is so laid in order that such ar
ticles may be produced here. The
self-styled "reyenue reformers, there
fore, are free traders go far as it con-
Germs articles that are produced IN
this country. They argue that each
country should restrict itself to the
production of only those things that
it can produce at least cost, and that
thus each country, by devoting itself
exclusively to raising or producing
what it is best fitted for, can ex-
change its products to an advantage
with those of other countries. They
would have US, for instance, grow
hay ard wheat and tobacco and corn
and cotton, and let England do our
manufacturing, arguing that as the
cost of production for manufactures
in England is lower than in this
country, we can get our manufac' ures
from her at smaller expenditure OF
effort, by exchanging our corn and
cotton and the rest for her iron and
steel and other goods, than we can
by making them at home.
This is very pretty theory, but
let US see how it has worked in prac-
tice. Our tariff was made protective
in 1912, after the panic of 1881 had
frightened people. and new industries
spraDg up on all sides. But in lS46
it was lowered. 1t cost about $50
per ton to produce steel rails here,
whereas we could get them from
England at $40 per ton. Therefore,
it was argued, it is much better to
let England make our steel rails.
For short time this worked well
enough for the people that bought
rails, although it was pretty hard on
the workingmen here who bad been
engaged in making them and were
thrown out of employment by the
cessation of the industry. But when
| England got market here she did what
seller will always do who has q
buyer at his mercy; she advanced the
price, and our buyers had to pay $50
and then $780, and finally S75 per ton
for steel rails which were not so good
as those that had been produced here
for $50 per ton So not only were
the workmen thrown cut of employ
ment. but the people who bought
steel rails paid great deal more for
them in the end than they would
have paid for them here
This country is big one, and
there are so mary manufacturers
here that their competition keeps
prices down to the very lowest point
consistent with the making of any
profit. Many kinds of goods are
produced here now at as low. cost,
owing to our improved machinery
and the superior effectiveness of our
workingmen, as they are in England.
But suppose they cost a little more
If the tariff is taken off or lowered
to such point, as it would be in
many cases by the Mills bill, that
the English manufacturers could un-
der-sell ours. then our manufacturers
would have to shut down and their
employees would be thrown out of
work. The wages they formerly
spent would be lost to the storekeep-
ers of whom they formerly bought
their supplies, and the prices of
those supplies would necessarily 60
up. Then when tie English manu-
facuturers lad secured the market,
they would, of course, put up their
prices, and people here who bought
goods would have to pay more for
them than they now pay under our
protective tariff; so there would be a
double loss and no gain.
The wages of workingmen are
from 80 to go per cent. higher in this
country, under a protective tariff,
than they are in England, under free
ira de. Here is table showing COM
parative wages in various industries :
| limited