Barton County democrat. [volume] (Great Bend, Kan.) 1885-1915, 1889-09-12
PROTECTION AND TRUSTS.

Monop0listic Combinations Made Possible
Only by q High Tariff.
We have often stated the argument
against Industrial trusts, and one of
the arguments against q high tariff Is
that it favors their establishment
Trusts are more numerous and power
full than ever, and protection has re-
Gently achieved a signal victory. Dur
ing the campaign the large dependence
of trusts upon protection was plainly
demonstrated, and it will hardly be
commended that if the protective policy
had been defeated at the polls. trusts
would have continued to- multiply. ex-
cept upon the belief that there would
be no serious disturbance of the tariff.
The relation of a high tariff to trusts
is evident and simple A high tariff
discourages importations of projected
manufactures. Such encouragement
is supposed to secure the home mar
ket If, then. the existing domestic
producers of protected manufacturers
can agree to combine instead of COM
pete. they can destroy domestic COM
petition. and command the market at
their own prices. In a period of
tendency to the aggregation of capital
this result is quite sure, as experience
proves, to follow high tariff. Such
a tariff is expressly designed to secure
a domestic monopoly. But that mo-
nopoly. once established, will by its
own law tend to its own aggraniize-
ment. Defended from foreign compe-
titlon, it will strike at the domestic
comnetition which remains
This is the actual situation, and it
has naturally alarmed some of the
warmest friends of high tariff. who
see plainly the dangers of trusts.
They see that they destroy the funda-
mental argument for a high protect
i've policy, which is that it tends to
diversity industries, and that diversi-
Fl ed domestic industries are indispen-
sable to a great nation. Consequently.
even if a high tariff inevitably en-
hances the price of articles which it
excludes from importation. the in
crease should be periodically borne
for time. because the increase of pro-
duction and the free and fair COMPETE
ton of domestic industries for the do
nestle market will presently diversity
industries and lessen prices. This is
the great argument of high protect
i've policy. But the natural develop
ment of that policy discredits it. This
is denied By some of its ardent friends.
But it is obvious. The very fact Of
the rapid rise of trusts illustrates it.
Undoubtedly wise and humane view
of a high tariff regards it not as de-
VII Of 70
but as a National benefit. 1t is a
theory that a nation may well pay a
high price for its Industrial independ-
ence of the rest of the world, and
that patriotism should persuade its
citizens to pay, at least for time.
higher prices for certain commodities
than other nations pay, in order to Sc
cure the immense advantages of indus
trial independence. This is the most
engaging, because not wholly a mer-
cenary argument for high tariff.
But it is sentimental, not practical.
In practice. just in the degree that a
high tariff tends to secure that indie
pendence, the independence is abused
to the selfish interests of class. The
abuse is expressed in the word trusts.
Are they patriotic? Are they formed
for the public benefit or for private
advantage7 Are the prices which,
like all monopolies, they can com
mand. the price of greater National
independence or tribute paid to mo-
nopolists? Yet are they not in this
country the simple, natural and in
evitable result of the industrial stu.
alton produced by high tariff? Is it
supposed that except for such a tariff
they would be generally organized?
The natural corrective is foreign COM
PETITION If it be argued that such
competition would merely tend to in
ternational trusts with the same ends
in view, that is only to say that the
evil would become SO vast that it
would be prohibited as against public
policy. Laws to prevent combine
tons to raise prices are proper and
familiar. But the discussion of the
subject Of trusts will inevitably deepen
the conviction that a high tariff, by
its necessary results. produces the eff
fects of such a comblnatiou.-Ha
Weekly (Ind- }.