Telegram-herald., 1890-03-04
WHAT DOES FREE- -TRIDE MEANT
IL IL Rot the Total ADolitiss 81 I.psrs
Duties.

Ii is . characteristic Of ths English
language. more than Of any other per
haps. that our words and phrases come
70 have an accepted meaning that Is un-
Ike and sometimes even foreign % their
primitives A deriystiye analysis Of
many o. our words xll show this In =
marked degree. Particularly 10 this so
with compound words, the derived word
often having q far different definition
than the combined meaning Of ths sep
arate words OF which IL Is composed. IN
order. then. u get at the true rneaning
OF word or phrase, we must study Us
character and association and learn It's
true meaning from authoritative sources.
IL will rot do for us. therefore, IN find
ing a proper definition for the compound
word free-trsde. 70 assume that because
the word trade" comes from the French
''traite," which came 70 mean transpor-
tation, or the Latin "tTactare." which
means 10 handle, and because the word
"free" springs from the Anglo-Saxon,
and has come 20 mean exempt from
subsection" that combination OF the
two meanings will give US Il definition
for a combination Of the two words As
well say that the Free Soil party was
made up of theorists of the Henry George
school and advocated free soil for every
one What they really did advocate
was the non-extension Of slavery. And 50
with the word free-trade. Ii has come
TO have particular commercial mean
ing. and this meaning we shall try and
give with the aid Of the best authorities.
In the first place. we find this defni-
ton in Wehster's Dictionary: Commerce
unrestricted by tariff legislation" In
other words, when our tariff is low
enough 10 admit Of unrestricted or un-
limited commerce, then we have free
trade. II is not necessary that all tariff
or customs duties should be abolished TO
bring about Free-trade. These duties
must simply be SO low as not to restrict
or prohibit the entry Of foreign products
at prices lower than our own.
Now, let us take Professor Summers
definition, and none will dispute his au-
thority. This pronounced opponent of
Protection SAYS:
1.-The term 'Free-trade,' although much
discussed, is seldom rightly defined. II
does not mean the abolition of custom
houses, nor does it mean the substitution
of direct for indirect taxation, as a few
American disciples Of the school have
supposed. II means such an adjustment
of taxes on imports as will cause no di-
version of capital from any channel into
which it would otherwise 1ow into any
channel opened or favored by the legis-
lation which enacts the customs. A
country may collect its entire revenue
tirely free trade country, so long as it
does not lay those duties in such way
as to lead any one to undertake any enl-
ployment or make an investment he
would avoid in the absence of such du-
ties Thus the customs duties levied by
England, with very few exceptions, are
not inconsistent with her professions Of
being a country which believes in free
trade"
Next we give definition by one of our
foremost scholars. who is a stanch Pro-
tectionist, Mr.. Charles A. Dana. He
says: "a Free-trader is a revenue re-
former who proposes first Of all TO reduce
the tariff duties on foreign goods and TO
maintain the internal revenue taxes un-
touched. The revision OF the tariff he
would put through the principles Of free
trade with foreign nations uppermost.
By steadily pursuing this policy all
strictly protective duties would be swept
away in the course of about twenty years,
and the country brought substantially 10
internal taxation as its permanent mode
OF revenue. This would be equivalent
10 Free-trade. The man who claims 20 be
Free-trader, yet proposes before max
ing any change in the tariff 10 first re-
duce the internal revenue taxes, is a sort
Of man we have never seen, and OF his
existence there is as yet no evidence"
We could give scores Of such dehni-
tions Of the best authorities. but when
the leading lexicon and one Of the lead
ing advocates OF Free-trsde and Protec-
tion substantially agree, why need we
pile - the corroborative testimony:
We may sum up these as follows: Free
trade is that method If adjusting the
duties which excludes tie principles of
Protection, and which implies or favors
the permanence Of internal taxation as
MO ~ f-,a s.,'---~- - - nation 81 rerenrs
Protection Does Not Enhance Prices.
Protection enables producers 10 sell AZ
lower prices with greater profit. This
comes under the we'll known law that
cost depends largely upon the quantity
Of an article produced. II a man builds
a single family carriage, turns out every
part himself-the woodwork. the iron
work. the leather. going back 10 the pri-
mary sources Of these component parts
Of carriage. the mine, the forest and
the animal. whose skin furnished the
leather--it would probably take the man
a year to complete the work. and a very
costly work it would be. But IL there IL
such large demand for carriages that
thousands q men are engaged in pro-
ducinz them, each one at work on q
special part OF the product in which be
has acquired great skill, and toe best and
most costly mechanical appliances are
used. it is evident that the carriages thus
produced can - sold ~ prices Tar below
the cost 4 a single vehicle. and ret ali
concerned make a profit; whereas ne
single carriage would only b sold a.
great ioSs.
Protection. by restricting competition
70 our own people and keeping the bone
market for the home producer. Increases
i -f -.at-- r