Wichita eagle. [volume] (Wichita, Kan.) 1886-1890, 1888-05-20
THB LAST SPEECHES.
Continued from First Page.

since November an average monthly ac-
emulation of more than 81 200, 900.
| been taken by law from the commercial
pursuits of the people at time when it
cution Of their business. and
under circumstances which afford no
justification whatever for the enactment.
The question this congress must decide, is:
whether this policy shall be longer con-
tinued here in this country where the peo-
pie are supposed to govern in their own
right and their own interests. lean imag-
inc no financial condition more dangerous
to the integrity of legislation and the pros
perity of the people than that which re-
suits from an accumulation of large sur
plus in the public treasury. Even if it
was possible for such an accumulation as
we now have to come into our public treas
ury without the imposition of any
tax it would still Pc great
misfortune, because its inev-
liable effect is to encourage useless and ex-
travagant appropriations of public money,
in violation of these principles of public
economy, which have been found to be alb
soiutely essential to the preservation of a
popular form of government, and the con-
stitutional limitations on its powers. 1t is
safe to say that SO long as this policy con-
tinues. largesses and bounties for the pro-
motion of purely plIvate enterprises will be
demanded and new fields for the exercise
of legislative labor, new objects for the ap-
preparation OF the public: money will be
discovered. But it is said we still have
outstanding vast public debt and that no
great danger can befall the country if the
present rates of taxation are con-
tinued and the surplus applied to the
purchase of bonds. / believe that so long
as we actually have surplus it's applica-
ton to the extinguishment of the public
IL lf sc.f hax h.. 81 l.
of 1t; but totally dissent from the propo-
sition that it is either wise or just to pur-
sue fiscal policy that taxes the people
merely for the purpose of raising revenue
to be used in the purchase at a premium
of the unmatured bonds of the govern
ment, except so far as may be necessary to
comply with the requirements of the sink
satisfied that if the revenue could
be properly reduced it would not
be wise to suspend the opera
ton of the law, to some extent, at
least, for some short period of time. Dur
ing the last month the secretary of the
treasury has purchased of per cent bonds
sl3, 900, on which interest had accrued
to the amount of S5,3l7,200. For these
bonds with the accrued interest he was
compelled to pay and did pay the sum of
S17 ,046, 900, or 81, $50, S38 over and above the
principal and accrued interest, paying q
premium of 2615 per cent. During the
same time and under the same authority
he purchased Sl2, 404, 005 of Al per cent
bonds, on which interest had accrued to
the amount of S10S000. For these bonds
he paid s13, $4,000 or SS67, 900 in excess of
the principal and interest, or a premium
of Z per cent. This is the situation into
which the government has been
forced by the failure of congress
in the past to take proper pro
vision for the reduction of
the revenue Millions of dollars are taken
by the hands of the people who earn their
money by their labor and by their skill in
the prosecution of their business to be paid
over to the bondholders in excess of the
legal obligation of the bonds. If congress
adjourns without applying the remedy,
this unjust process must go on indefinitely.
In the presence of such a situation we can
not afford to quarrel over details A re-
ductiOn of the revenue notes increases tax
alton, as some propose, but by reducing
taxation in such measure as to afford the
largest measure Of relief to the
people and their industries should be
the great and controlling object
to which everything else should be subor-
dinated. | do not mean that any industry,
however small and insignificant, should
not be carefully considered in a friendly
spirit. But do mean that the general in
terests of the many should not be subor
dinated to the special interests of the few
This is purely practical question. It's
consideration necessarily involves dis
cusSlOn to some extent of the principle on
which the power of taxation is exercised
There is a fundamental and irreconciliable
difference of opinion between those Iwho
believe that the power of taxation should
be exercised only for public
purposes and that the burdens of taxation
should be. distributed equally among
all the people according to their ability to
bear them and those who believe the right
and duty of the government to encourage
private interests by the imposition of
higher rates than the needs of the govern
ment require. No man in public life would
venture to advocate excessive taxation
merely for the purpose of raising an ex-
cessive revenue. But when the rates are
so adjusted or the object of taxation SO
selected as to give one section of the coun-
try or one class of industries advantages
or supposed advantages over another sec
ton or another class, we find a large num-
Der of able and influential men in
public life who advocate the system, or
at least excuse it. This is the
sole cause of the difficulty which we are
encountering in our efforts to relieve the
people and reduce the surplus 1t is the
sole cause of the unfortunate delay which
has occurred in the reduction of the rev.
enue, and if the present measure shall fail,
and if disaster in any form shall come
upon the country and the industrial in
terests of the country by reason of over
taxation and an accumulation of money
in the treasury, this vicious feature in our
system will be responsible for it. When
ever we propose to reduce the burdens of
taxation on the people, whenever we pro-
pose to secure to each individual cit
izen the full fruits Of his own toll,
Subject only to the requirements of
the government; whenever we propose to
remove restrictions so that there may be
freer production and freer exchange, the
alarm is sounded and all the courts of
are assembled to hear the her
aids proclaim the immediate and ire
ruin of the country We have
heard it over and over again during this
year. 1t has been repeated over and over
again IN this hall, and gentlemen from
New England, especially, seem alarmed as
tries in case the bin should become a law.
Gentlemen from New England predicted
in 1916 that the duties fixed by the law
of that date would ruin their
textile industries. In 1857 all of
the New England members voted
for still further reduction of 20 per cent.
from what they had called the ruinouslv
low tariff of 1916
In the free trade period, as the Repub-
licans called the decade from 1850 to $50.
the wool manufactured products increased
A. per cent, and labor 81 per cent. LAP
plausel. The increased product in New
was % per cent. In hosiery the
product increased 40 per cent. In cotton |
the product in New England increased 81
per cent In boots and shoes. |
upon which the duty had been
Is per cent. The increase in New
was So per cent; the product in |
$50 In New England was more than the |
entire product of the union in 1880. This !
was what the Republicans from New En- |
gland had seen undar q low tariff