The Iola register., 1891-10-02
AN ARGUMENT FOR PROTECTION.
Hew Protection Lowers Prices While II
Increases Profits and Wages.

Hcw Protection Lowers Prices While It
Increases Proflts and Wages.
Large numbers OF American people,
no doubt, are unable to conceive how
a protective tariff, placed on necessities
OF life, which can be economically pro-
duced in this country, and which they
have to buy, can benefit the home pro-
ducer of the goods without making
these goods cost more to them as con-
sumers.
Hence these people lend willing ear
to the declarations of advocates of the
free trade tariff system that a protec-
tive tariff is imposed on the given COM
modify to increase its price. Hence
they at once accept arguments based
upon the supposition that if, say. so per
cent of tariff is imposed on an article, it
costs them 80 per cent more. And
hence they are all the while looking
forward to lowering the tariff, so as to
get the goods cheaper.
Take the farmers of the west for ex-
ample, intelligent, well educated and
well read, and it will be found that
large numbers of them honestly believe
that if we have lower duties on cloth,
or knit goods, they would get cheaper
clothes, and that the same would be
true of other necessities that they
would have to buy. When these men
turn to prOtectionists for an explana-
tion they are usually given the bare
statistics. which show that since our
protective system was fairly established
the goods in question have gone down
in price 30 to 60 per cent. But this
does not satisfy them. They reply.
"YOur statistics may be all right. but
that does not explain just how protec-
tion did it. and until you explain that |
have the right to think that it was not
protection. but something else. that
brought down the price. have the
right to believe that if it We're not for
protection l should get the goods
cheaper still.
Now, confess thatI have a fellow
feeling with these doubling ques-
tiOns. | do not blame them
for wanting to know Just
how protection can help the American
producer, the manufacturer. Just how it
can put more money in his pocket for
making the goods, without taking it
out of their pockets when they buy
these same goods. 1t is true that great
masses of our people are satisfied to
rely upon the statistics without further
explanation. When the fact is shown
to them that even on those classes of
necessary goods, on which the NlcKin-
ley bill increased the duties. the price
has not advanced. but on the contrary,
in many cases. is lower than before the
bill was passed. they are content to ac-
cept the fact and be satisfied.
IN1l- hi 10 | anny.eaiafa tha foith pf
these men. must repeat that my SYM
pathy is with those who still doubt l
think that they are fairly entitled to
know Just how protection does this
thing, and. further. that the confidence
of every believer in that system would
be greatly strengthened by having this
clearly explained, as l will undertake
10 do.
First, then. as to articles OF necessi-
~. such as are consumed daily by the
great mass of the people, protection is
not applied TO them in order to in
crease the price OF them to the final
consumer, and he who asserts that it is,
either does not understand its workings
or intends to deceive. Protection is,
or the contrary. applied to these arti-
cles TO reserve the home market to the
always has the effect to cheaper such
goods. Let it be borne in mind that |
am not talking about luxuries, or lux
uriOuS articles of food or wear. but of
necessities which we are capable. now
or in the near future, Of economically
producing. -.
How does protection accomplish this
result?
hn ri, La "a, Al
or four very simple economic principles |
relating to the manufacture and pro- |
ductiOn OF goods that are accented as |
true by all mankind, because the expe-
rience OF every manufacturer has DEM |
onstrated them to be true over and over |
again.
The first of these laws OF production
is that goods can be manufactured |
cheaper in larger quantities in the
same establishment by the aid of steam
and machinery than in smaller quanti-
ties. Thus, the larger cotton factory or
wOOlen mill or iron furnace can be made
to produce cottOns or woolens or pig
iron much cheaper, yard for yard or
pound for pound, than the smaller one,
but it can also be made to produce
these same goods at dearer cost than
tic tSldDllS0UleDI. L. |
The second of these laws of produc-
tion Is, that in order to enable such lar
ger establishment to so make these
goods cheaper it must be kept going as
nearly all the time, day after day, week
after week and year after year, as posi-
Die. This is so because the loss by de-
interest, taxes, repairs and :
of skilled workers, ETC., l
would ada largely to the cost of each (
Yard or pound of goods made if frequent
'r partial stoppages were compelled,
md make them cost dearcr than in the
smaller establishment. {
The third of these laws of production
: that in order to keep such large es. S
Adjustments going economically we !
must have certain and stable market
or the goods, substantially as fast as 4
hey are made, at a fair price, so as to
over the expenses OF manufacture and
eturn some profit on the capital in
ested. No production can be continu-
us, year by year indefinitely at loss.
The fourth of these laws of produc-
ion is that the more certain the
market and the more certain the sale of =
be goods, year after year. the smaller
he rate OF profit per yard or pound of
oods produced will be which the man
facturer can afford to reserve to guard
imself against probable loss by failure
his market. and consequent stoppage
r curtalllng OF his business. II busi-
ess was as certain in its returns as
oyernment bonds, its profits would
nix to the same rate as their rate of
lterest.
These four laws relating to produc-
on work with the certainty and uni A
'rmi;y OF the law of gravitation. in il
eguiating its economy. Bearing them
mind let us sunnoSe q simnle eyani