Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1892-03-14
T American Economist. |

The cost of production of manufactured
Of man. The cost Of the original elements
in their natural state, before they are ad-
v.nced in value by labor, is Insignificant.
The raw material OF . $40 900 locomotive
Is worth hu, few dollars.
The raw material Of SOD 900 worth Of
watch spring, is worth hut few cents.
The raw material that enters into some
anished products, as sand, for instance. is
worth absolutely nothiax till labor is ex-
peads in get'ing il.
Mr.. Edward Atkinson, in carefully pre-
pared statement published 10 April, 1887,
demonstrates tbs. Of the total cos. Of pro-
ducing medium .hir.ing, worth 6 IA cents
a ysrc, The proportion paid for labor at
various stages (on the plantation. ia srans-
portstion, in factories, &;.,) was % II per
cent the remaining portion, 50 per cent.
being absorbed in interest. insurance, pro fit,
g.. This estimate is confirmed in a strik-
ing manner By the following statement Of
Hon. A s Hewitt, made at hesriog before
Ihs committee o. vsys aud means Of the
Hou,e Of Representatives. February 2l,
1884,, the subject under discussion being the
precentsgs Of labor cost in tne riau uiac u'e
Of iron. ar. Hewitt said:
1.-The percentage Of labor ibyolv ID in the
p,oductJn of any gwen article depends
upon where you begin 10 estimate the per
centsge. IL you begin With = steel rsil
mill. which uses pig iron, the iator will be
from 20 to 80 per ceu.. This sctual Wages
psid by wire mill viii smoun, to about 20
per cent of the cost. II you inclu,e labor
in the bliss: furnace, that would make it 90
per cent, bat il you go On back to the ore
bsj, and pu. IL ever thiny which was psd
out from the Gre bed, the percentage Of
labor would have beea about 20 per cent
say the amount which l pay cut for labor,
when include every particle Of raw ma
tefisl beginning AZ the grouud-and | am =
miner boh Ct ore and COAL hay. never
with all my anxiety to get it down, got i!
below 20 per cent. on the value of the
d l'shed product.
M Mills. What is the Hoished product
Mr.. Hewitt. A1y fli.hed product. I
make bar iron.
Mr.. Mills. Is. pig iron 8 fl ished prod
uc'?
Mr.. Hewitt. The labor in pig-iron will
DO 80 per cent Of iha cost. I.sctusliy takes
30 per cent of the njs! Of the article for
labor when Y2R include every thing from
the be ginning to the end
Thai which is shown TO be true by the
is;t l!ige Ut testimony Of these two eminent
tariff "reformers' III regard to the msur.
features Of cotton a. i ifol is equally tue
in regsr to every other manufactured prt-
duct. The sd. qlacy Of S rate Of duty for
defer siye pu poses cannot properly be de.
termined by atGartAi9ing the sum paid for
lAb1f in apv enc Of the ma1y operations
necessary 10 transform pa'ursl elements
into fully manufactured products. The
larger earnings ard greater cost Of
l,bor st every sage snd in all oontribu-
tori occups,i1rs should be taken into con-
sders.ion. snd the rates should always be
ca isl to the resulting increased cost OF PFC
duc;ion in this couayy over that sb-osd.
As sill Of our people engsged in every c.
cIpsti1n contribute TO and share in the
benefit, of Pr ftab.e production, so all are
alike vitality interssted in The ms!ntenanca
of policy which secures snd enl1rges the
area OF national industrial success,