Evening star. [volume] (Washington, D.C.) 1854-1972, 1889-02-15
THE SENATE TARIFF BILL
Reported Back by the House Ways and
Means COMMITTEES.

IT rs DECLARED UNCONSTITUTIONAL AND RES
oLuTIoN orrRRED THAT IT BIZ RETURNED TO
THE SENATE OK THAT AccouNr-rHx BILL
CRITICISED IN IT'S METHODS AND NATTER.
The ways and means committee TODAY
reported to the House upon the Senate tariff
bill. The report accompanies Q resolution
declaring that the Senate bill is unconstitu-
tional, and directing that the clerk of the
House return the bill to the Senate calling
attention to the fact. The report, after
briefly stating the history Of the two bills,
says, ''this brings us face to face
with most important constitutional aues-
ton" The first clause of the seventh section of
the Constitution is quoted, providing that bills
raising revenue shall originate in the
House. "Prior to the adoption of the
had to depend for funds upon acquisitions on
the states, with no means of enforcing these
demands. BY the Constitution the Govern
ment of the United States was for the first
time authorized to levy and collect taxes from
the people by its own agencies. And by the
plan OF government devised by the convention,
the small states were to have in the Senate
equal power with the large states
"A sharp difference at once arose in the con-
vention as to whether the Senate thus consti-
tuted should have equal power with the House
Of Representatives in the imposition Of taxes,
1t was finally settled by the adoption of the
clause under consideration, in accordance with
the partition OF power which had been estab-
lished for centuries and which is still main
tanned between the commons and the house OF
principles, our distribution of political power
Is taken. 1t was prerogative reserved
TO THE PEOPLE WHO PAY THE TAXES.
"The members of the Senate are chosen by
the states in their political capacity, and hold
their Offices for the term of six years, while the
members Of the House are chosen directly by
the Taxpayers every two years upon the basis
OF population. Charters Of popular rights have
always been literally construed in favor Of the
people, and ought to be firmly maintained
Nothing in the present circumstances of the
justify departure from this rule
Members of the Senate once insisted
that that body had the power to
originate bills reducing or abolishing taxes;
but after many long debates the Senate, in
1874, itself resolved, with only four Dissenting
votes, that such bill was bill raising reve-
nue., and therefore obnoxious to the Constitu-
ton. This precedent is cited to show that the
Senate when composed of men certainly not
inferior to those who now comprise that honor
able body, applied this rule of liberal construc-
ton"
Precedents in the Forty-frst, Forty-second,
and Forty-seventh Congresses are also cited to
sustain this position.
The report then proceeds to
cRITICIsE THE SENATE BILL,
asserting that the House bill was framed upon
the principle that taxes are burdens borne by
the people for the necessary support of the
government; that they should at all times be
limited by the just requirements of an honest
and efficient administration; while s'the prin-
ciple upon which the Senate substitute is
framed is that duties are levied primarily to
raise revenue for certain favored classes of
citizens, and incidentally for revenue for the
government"
finance committee have reduced the duties on
sugar, as they claim, $27, 759, 783 IS. Nine
tenths OF the sugar consumed in the United
States is imported, and nine-tenths of the
whole amount paid by the people in conse-
quence OF the increased price to both the for
goes into the Treasury, and the other tenth
goes into the pocket of the owner of
domestic sugar. The existing rates on sugar
bring to the government about ifty-six mil
lions OF dollars, and to the pocket of domestic
sugar owners about six millions. The duties
on manufactures of wool, cotton, iron, and
steel bring to the government about sixty-two
millions OF revenue, but to the pockets Of the
manufacturers of these articles more than five
hundred millions, because nine-tenths of the
are produced at home and one-tenth imported
THE WHOLE VALUE OF THE IMPORTS
OF these articles during the fiscal year was in
round numbers S127, 900 600, while the value of
the domestic product will exceed e. 4O0, 900, 900.
The imposition Of the duty raises the price of
the imported product, and likewise the price
OF the domestic product 1t is the increased
price that is called protection. To the extent
OF the increased price the domestic producer is
protected against competition with the foreign
producer. AS the increased price Of sugar gave
80 little protection it must first Co. and as the
increased price on manufactures of cotton
wool, iron, and steel give such large protection
1t must be retained.
The committee advanced the rates on man.
fractures OF cotton, wool, iron and steel to
prohibit importation and to compel the people
to buy from the domestic manufacturers at
combination prices or 60 without.
The finance committee boldly assail the
whole policy OF reducing taxes. They tell US
that the acts of July IA, 1870, and May / and
june ., 1877 which made reductions of rates
resulted in increase Of revenues. That while
it was estimated that reduction of S57, 227, $40
would be made in the revenues it turned out
that the reduction Of rates increased the reve-
nues 1854, 1873. The imports of 1872 increased
more than one hundred million over 1871, and
1t was one OF the most prosperous years we
have had for a quarter of a century. The
same effect was produced by the tariff OF 1916,
which largely reduced the rates of the act Of
1912.
''The period mentioned by the committee is
an unfortunate one for the committees argu-
ment. From 1869 to 1873 prices were rising
and importation was increasing year by year.
In 1869 our net imports amounted to 1874 mill
ions, in 1870 426 millions, in 1871 500 millions,
IN 1872 $50 millions, and in 1873 663 millions
This was period Of great prosperity in all
departments OF our national industry. But a
change long to be remembered occurred in
1873 From that year till 1879 prices were fall
ing and importations were decreasing. In 1874
importations had fallen from 663 millions in
1873 to 567 millions; to SAG millions in 1876: to
464 millions in 1876; to 439 millions in 1877; to
43S millions in 1878.
IF restricted importations keeps the home
market for the home producer and gives en-
ployment to home labor, this ought to have
been a period Of great industrial prosperity
But it is recalled with shudder and remem-
bered as the very darkest in our history Con-
sumption OF the products of labor was decreas-
ing, production was decreasing, wages were
falling, factories were closed, machinery was
idle and industrial paralysis was seen in
EVERY DEPARTMENT OF LABOR.
SIT was during this period that the silver
commission, in their report, drawn by Senator
Jones, of Nevada, said there were in this coun-
try three millions of laborers out Of employ
ment. II one-third of that number were out Of
work for five years 1t would be an appalling
condition of things. 1t was during this period
that starving workmen out of employment set
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