The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1893-12-27
AN EDUCATIONAL EFFECT.

We have said heretofore that the Will
son tariff bill would have a great edu-
cational effect on the country after it be
came a law. but it appears from the re-
port of the minority of the committee
that it has had a great educational effect
already. The line of the minority's as
sault on the bill is an entire departure
from the established theories Of protec-
ton, and in many respects an adoption
of free trade principles Take for eX-
ample the following explanation of the
effect Of tariff On wages. or, as the
minority calls it. 1.-THE yearly distribu-
ton of the yearly gain
This has not been all owing to the
tariff. but the tariff has been the foun-
| dation Of it. Labor organizations have
| played a great and useful part in this
| distribution. Men in general who EN-
/ plOy labor are no more naturally dis
| posed to pay high wages under tariff
| than those who exploit the labOring man
! under free trade. and the tariff, by Civ
| ing steady employment under the in
| fiuence of a sure market by establishing
| the organization Of industry under the
| factory system. has given to organized
| fund Of which il has demanded distri-
| bution-a fund great that it could
| never have been equaled or even been
| approached in the comparatively Isolated
| life which the unprotected industries
| taken alone would have given us as a
people.
That is a very fair statement Of dem
| ocratic doctrine. 1t would be Endorsed,
with but slight alteration. by any free
trader The effect Of a tariff is TO ac-
cumulate vast fund Of profits in the
hands of the manufacturer or other tariff
beneficiary. The manufacturer is no
more disposed to pay high wages" when
he makes great profits under a tariff
than when he makes reasonable profits
under free trade. He pays as little for
labor as he can All that the employees
get from him above the ordinary price
caused by supply and demand is what
is wrung from him by organized labor
Organized labor is not a tariff product
Labor is nowhere better organized than
in England. The only thing that any
free trader would question in this state
ment is the steady employment under
the influence of a sure market" and no
intelligent worlxingman would admit that
The whole tariff period in America has
been one of intermittent industry We
have had over and over what protec-
tionists call "overproduction," and fac
tories have been shut down on account
of it, and great trusts have been formed
to control and restrict production. The
Limitation of the market because export
is cut off By the increased price of raw
materials and fuel has limited produc-
ton and prevented steady employment,
and I'm these intervals of idleness work
ingmen lose far more than they ever
gain by forcing partial distribution Of
tariff spoils Indeed. the minority report
comedies this very thing as follows:
Without being guilty of that attempt
to press the question into a nut shell,
which is the bane of economic discussion,
It may be briefly said that every product
which goes TO market must meet every
other like product on equal terms. If in
the United States there are higher wages
and a higher cost of capital there must
be such barriers against goods from
abroad as VIII equaliZe these higher
costs, or the products Of the United
States cannot be sold except at a loss.
Sales at a loss cannot last long.
The manufacturers of the United
States must operate behind barriers.
They cannot compete in the markets of
the world. They are confined to the
home market. and as soon as they have
provided for its needs they must shut
down and throw their employees out of
work. We submit to any workingman
that at the present time this country
is suffering from "overproduction," or
more properly from a limited market.
The only factories that are closed are
those for whose products there is no
present demand. We hear on all sides
that factories start up on orders that
will run" to Jan. 1. or to some other