The record-union., 1891-12-03
HIGH PROTECTION soPHIsTRY.

HIGH PROTECTION soPHIsTRY.
The Chronicle is par excellence the
organ of high protection on this coast.
The RECoRD-UNIoN ventured the sug-
gestion that if there is any sound basis
for high protection to infant industries,
a high freight rate on manufactured
wares, with low freight rate on raw
material, would promote manufactures in
California. The Chronicle, discussing
this subject, says:
The analogy is more fanciful than real. The
UNION forgets that the protective tariff levied
by the General Government is simply nee
essary tax, directed by what is deemed to be a
method most beneficial TO the country; while
the high freight rates extorted by the railroad
is simply money hlched from the people for
the benefit of few individuals comprising
The Southern Pacific corporation.
This is simply begging the whole ques-
ton. We did not for moment propose
high rate for the benefit of the Southern
Pacific Company, nor for the benefit of
any railroad. We were discussing pub
lie question from its abstract aspects. A
protective tariff levied by the General
Government simply bars foreign compe-
tition, and likewise high freight rate on
manufactured goods to California would
bar domestic competition. The tariff en-
ables the domestic producer to raise the
price of his goods. That is what it is
designed to do, and that is why the manu-
facturer is in favor of it, 1t places the
foreign producer at disadvantage in the
domestic market. Now freight rates
would do the very same thing. There
fore, when the Chronicle pretends to be
in favor of high protective tariff in the
interest of the development of infant in
dustries in Pennsylvania and New Eng
land, and is opposed to a protective
freight tariff for the benefit of the devel-
opment of the infant industries of Cali
fornia, it simply proves it's utter inability
to reason in a straight line. But the
Chronicle admits that the tariff is a tax
levied by the General Government. This
is rank heresy from a high protection
standpoint. II has been contended by
high protectionists everywhere that the
Government levies no tax upon the peo-
pie, but upon the foreign manufacturer.
Aside from this, however, if California
were manufacturing State, it would
not be necessary to import manu-
factured articles and wares, and,
therefore the Southern Pacific Com
pany and all other transcontinental
railroads would lose the freight. The
Chronicles opposition to California infant
industries is therefore decidedly in the
interest Of foreign manufactures, that is,
foreign to this State, and is decidedly in
the interests of the railroads themselves.
We have proposed and submit that the
proposition is entirely consistent with
the position of the advocate of high pro-
lection: low freight rate on raw prod
nets both East and West-bound: low
freight rate on all exported California
goods, and high freight rate on all man
ufactured wares, agricultural imple-
Inents. steam engines, furniture, wooden
fabrics, manufactures of leather, foot
wear, etc.; and if the contention be true
that protective tariff stimulates manu-
featuring industries, it is equally true
that high freight rate would have ex-
actly the same effect. Whoever is op-
posed to this position is simply tool of
the railroad and an enemy of the people.
1t is to the interest of the railroad to have
placed at the widest intervals, so that
transportation will ensue The RECORD
UNION is in favor of having the con-
sumner and the producer side by side.
The railroad organs at the Bay,
such as the Chronicle and the
Call. would naturally be expected to OPP
pose this position. Their masters, the
railroad, are doubtless opposed to it. In
justice to the Call, however, it may be
said that it has manifested some degree at
least of independence of railroad inf1u-
ence by decl airing that there is much in
the suggestion Of the REcoRD-UNIoN.
The Call says doubtless a freight
schedule might be made out which would
help the import industries of this State"
The Cali, like the Chronicle, is a high
protection paper, and is evidently striv-
ing to maintain some little reputation for
consistency of opinion. 1t manifests a
disposition to let the people of California
have some of the benefits of protection.
THE manufactures of California are in
the most primitive state of development.
The term 'infant industries" will apply
to them with descriptive force. They are
not only infantile in their development,
but are embryotic. Protection for the
benefit of infant industries has resulted
uniformly in protecting existing
establishments rather than creating
new ones. Vast capital embarked in
manufactures at the East combines with
the railroads, it is charged, to break down
the infant industries of the Western
States. The manufacturer conquers his
trade territory in this way. Protection
does not protect infant industries in
young communities, and thus the new,
sparsely settled territory of the United
States remains the conquered provinces
of the older commonwealth. We again
repeat, that if tariff scheduleNis worth
anything to the infant industries of the
country, a freight schedule, not designed