The Jasper weekly courier. [volume] (Jasper, Ind.) 1858-1922, 1889-05-17


Z 1sesaarsnbls Admission Made by the
Sron and stsei Association
II IL an incxplicable anomaly that
capitalists who have invested In man
ifacturcs OF iron and steel have not
ong ago discovered that the high tariff
instead OF comforting lasting benefits
upon them works 10 their decided in
Jury In tho end. While It's immediate
affect IL TO enhance the prices OF their
products il operates finally to cause
an overproduction through ito stlmu-
lation OF the investment OF capital In
new plants, the investors in which arc
eager to share the temporary proitA
Thus the time soon arrives when the
iron and steel men must either manu-
facture at loss or suspend production
until the glut in the market shall have
been relieved. The loss sustained by
investors on account OF oyerproduciion
soon eats up the profits made before
competition became abnormal II IS
practical illustration OF the allegory OF
pharaoh's lean kline eating up the fat
( ones.
The American Iron and Steel Assoc
citation in its annual report just pub
lishcd makes the following remarka-
BILE statements: lin 1888" II says.
there was no appreciate check to the
general impetus which had been given
Ia the European iron and steel indus
tries in 1857. Without = single ax-
ception every leading iron-making
country in Europe increased its pro-
duction OF iron aud steel in that year
and sold its products at increased
prices. II Is noteworthy and rcmark-
sblc that this healthy condition Of the
European iron trade existed during q
year when our own iron and steel in
dustries were suffering from serious
rcactionary influences. and when our
imports Of European iron and steel
year." The american Iron and
Steel Association has always been
and presumably ID now the advocate
Of . high protective tariff. How It
can reconcile tho condition which
it describes in tie foregoing para
graph with its pet theory OF the benef-
cence Of protection. 10 simply incon-
ceivable The admission that the
suffering Of the iron and steel indus
tries OF the United States from seri-
Gus reactionary influences" in 1855
was not due TO imports OF European
iron and steel. is clear and explicit.
The association declares that 1t Is
noteworthy that these SERIOUS reac-
tionary influences" were felt at u time
when our imports OF European iron
and steel were much less than in the
preceding year. This Is an unquali-
lied confession that importation OF
foreign iron and steel could not have
had any thing to do with the "reac-
tionarv influences" TO which the asso-
citation refers. What. then. is the cause
: or The depression in the iron and steel
tradc2
European iron and steel manufact-
urers are not coddied by high pro-
tectivc tariffs. yet it j. admitted by the
American Iron and Stool Association
that every leading iron-maklng coun'
, try in Europe not only increased IL
production but sold its products at in
creased prices. while the highly pro
tected American iron and steel indus
tries were suffering from serious rcac
, tionary influences when our imports Q
European iron and STEEL were mucl
! less than in the preceding year
European manufacturers Of iron ant
,, steel did not sell IN our markets a
! Largely Us before. yet they Increases
their production and their profits
: They did not sell in their own mar
I kets only. but in the neutral mark d
= OF the world. American manufac'
I. urers har.ng deliberately limited them
seircs to the home market through n
policy Of protection and having Pre-
duced Il large surplus. beccuse Of n
unnatural stimulus Of protection. wer
obliged to suffer FROM rcactionar
influences OF an abnormal and ruiz
}, Gus competition. They ccud not r.
licve themselves OF those fatal \
e Auences BY competing in foreign ma
u kcts. for tho log-roiling tariff ha
raised the cost OF production to
J. point at which 1t was impossible Il
II them TO sell in foreign market e.
~ ceot at loss. 1t is high time III;
the mere pride OF opinion whic
% holds many iron and steel manuiac
u,srs to the fatful fallacy Of prote'
ton should yield 70 the practic'
demonstration Of economic facts sue
Us TINT pi csented in the paragrar
!. copied above from the annual repo
y. !. OF the American Iron and Steel ASS
citation. Harrisburg Pa) Patriot.
en- 80 .. ra,a