New-York tribune., 1891-08-27
rprrrR1DE THEORIES TESTED.


FREE- TRADE THEORIES TESTED.
rbo first month in which all the duties i'm
rosed by the new tariff were in full opefanoh
was the month of July, and the returns OF 1or-
oion commerce for that month have just been
nublishcd. Prior to July 1 the new duties on
lin mates were not in force, and prior to April
tho old duties on sugar were retained lho
briof statement now printed does not show what
mart of the imports in July was dutlable, anu
what part was free of duty, but they suffice 10
nrovo that one Freo-Trade untruth VIII have
to he withdrawn from service for repairs. IL
has been asserted, by all the doctrinares VINO
ncI, up their so-callcd economic sci nee from
british textbooks, that higher duties wouid
necessarily cut down exports of domestic mef-
cbandise. because foreigners could not purchase
from the United States unless this country should
nurchas. from them. Now the exports ana
mports for the month of July in each OF inc
last four years compare as follows;
Imports Imports S2SsiSa 5'SS2 5a2cS2lo !52.s29S
rxco.. ssOs559s s2a,114 472 $i0,52871o sl4157 $50
From this statement it appears that exports
we're not smaller under the higher duties Vi
1891 than they were under the lower duties
in 1890, but larger by Ss,2O9,297. 1t may De
addtd that exports were larger than Ill Vne
same month of any other year for long Ullhe'
30 that the ree-Trade theory about suppression
of exports by increase of duties on imports ap-
paars as unfounded in fact as it is unreasonable
lnstead of an excess of imports, amounting iaS'
wear to S23.114472 for the month OF July, we
have under the new tariff an excess OF oniS
s3.GS5,52S 1t is true this is partly DecduSe
the imports last July were larger than uSuai
through the frantic efforts OF foreign manu-
facturers to get their goods into this country
before the new duties went into effect III
fact the imports we're about S5,sO0,OOO larger
than in the same month of the previous year
which accounts for part of the difference but
much greater part remains. And Wheh Jui!'
1891. is compared with the same month Oh loo'
or 1883. when no such expectation OF a chahBe
of duties expanded the imports, 1t Is seen that
the excess of imports over exports was SID
52S,71O in 1889 and S14,loI,5oo IN tne
previous year. against only S3,6So,o2S this
wear under lower duties.
Last year this country was obliged to export
in July SfO.G64075 gold in excess of gold
impOrts in partial settlement of commercial Oo-
legations. At the same time it sent ABROAD
large amount of silver, of which the net exports
were S1,516,369. But this year the amount
of silver coming in was greater than the amount
going out by S244,40S. In spite OF TINS 1act
the food of gold exports, which the WITHDRAWN
of Russian gold from the banks OF Western
Europe had caused, was arrested in the month
Of July after net exports only about half as
large as those of the same month last year,
namely. 50. .G33.526. There is now good reason
to believe that the movement OF gold this way
will begin before long, because in the month Ol
August the incomplete returns indicate that
merchandise exports have probably eNceeGed
imports. and in the months that are coming this
excess will be much greater.
The Free-Trade dOctrinaires will answer tha'
tbe foreign demand for American bIeadstuil
in July was exceptional. That is not alto
eether true a larger movement has been known
in other years. But If it were true to the
letter. it does not affect the demonstration thai
foreign countries purchase here when they need
what this country has to sell, without the shSht-
| est regard to the question whether this country
happens at the same time to be taking much 0l
| little from them. The absIrdity and fatlty OF
the Freo-Trade theory is as plainly shown by
the large purchases of breadstuffs by Europe n
Il s bv the other enormous purchases OF Amer
can products in the same month"; which were
much larger than usual.