The weekly register. [volume] (Point Pleasant, Va. [W. Va.]) 1862-1909, 1891-10-28
An Easy Tariff Lesson.

1t is laying and collecting reve-
nues for the government.
What else is it?
A necessary evil, which we must
all bear for the sake of the govern
ment. Whatever revenue is neces-
sary to properly administer tho
government is just and proper.
Every dollar collected beyond the
needs of the government is simply
robbery ofthe people, "a robbery com
mitted to further some sinister job
or purpose.
How are taxes collected?
Directly aud Indirectly. The
bulk OF our local and state revenues
are collected indirect, by means of
the tariff laws.
But Major Mckinley and the
other Republican leaders says that
the tariff is not a tax.
They are mistaken-purposely
mistaken.
But they say the foreign manu-
facturer, and not the American con-
sumer, pays the tariff.
They know better. They know
that such is not the case.
Can you show me how the con-
sumner pays the tariff?
The foreign manufacturer sells
his goods to the American importer
who pays the tariff duties at the
custom house in New York. This
he adds to the cost, and gets it back
from the wholesale dealer. The
wholesaler gets it back from the re-
tail dealer, and the retailer gets it
back from his customers who buy
and consume the goods.
Give me a practical illustration
of this, will you?
Let us suppose, then, that an
English manufacturer makes 80
yards of wooden goods which you
finally purchase for your domestic
use.
Yes.
The American importer buys it
from him for so cents u yard and
brings it to New York. The 80
yards cost him SIS. The specific
and ad volorem duties, let US say,
amount to sc per cent. which is
$40 which he adds to the SIS,
making e22.4O he paid. To this We
will say he adds 10 per cent. for
profit, and cost at which he sells it
TO the wholesaler is s2464
Yes.
Tue wholesaler we will say,
makes 10 per cent. profit, so he sells
it to the retailer S27.1O.
Yes.
The retailer, let us assume, max es
10 per cent. profit, which he ad is
to tho cost price to himself, and that
makes the 30 yards you buy cost
s40.16. In other words, you pay
fraction over twice as mnch per
yard as the manufacturer sold it for
$40 of wi ich was paid as tariff tax
with ten per cent. on it TO the i'm
porter and wholesaler and ten per
cent. on it to the retailer as profits
on their Investments. In other
words you have been taxed s1O.24
for the privilege of buying 30 yarls
of goods
Sure enough, that looks as though
I pay the tax, but can you give me
some other illustration?
Let US suppose that the govorn-
ment did not collect the tariff at
custom houses, but at tho retail
stores where the goods were sold.
Ali that's the idea. That will
show who pays the tax.
In that event the importer would
buy the goods at so cents a yard
SIS for the piece. To cover freights
and profit, he would add 10 per
cent. and then it would cost the
wholesale dealer S16.5O. He would
add his 10 per cent. profits and it
would cost the retailer SSH, TO
which he would add his Is per cent.
and it would cost S20.93.
1 see; 1 would save nearly SO.
Hold on; you haven't settled with
him?
He is collecting the tariff. AS
you go out he asks you what you
have and you show him the goods.
He examines them and tells you
that they are dutiable at the rate of
sc per cent. on their original cost or
vaIne, at the factory, and that there
is consequently due from you $40,
which you must pay before you can
take the goods home with you.
Now understand the thing. l
can see through it. And yet I and
l.: