St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1893-06-27
TARIFF REFORM PLAN.
Edward Atkinson, the Boston
Economist, Makes His
Public.
It May Be Necessary to Defer
the Changes Some
Time.
Present Disadvantages OF
Manufacturers Must Be
Done Away With.
Double the Tax on Beer One
Way to Provide a
Revenue.

Revenue.
BosToN. June 26.-Edward Atkinson
has made public his plan for the reform
of the tariff. The task is one to be UNI
dertaken, he says. as soon as the none
tary question can be settled. In deal
ing with the reduction of the tariff. re-
gard must be given. Mr.. Atkinson says,
first to making such adequate additions
to the free list as may do away with the
present disadvantages under when our
domestic manufactures and mechanic
arts have so long suffered in the rela-
tive costs of their materials, and, Sec
ond. to establish such lesser rates OF
duty OH finished prt ducts of voluntary
use as to increase rather than diminish
revenue.
AS to the time required to bring about
reform Mr.. Atkinson says that the de-
mands upon congress may make it nee
essary to defer for some months any
great changes that might imperil the
present revenue. IE the year 1895 the
obligations for pensions falls OF about
one-third or one-quarter. 1t would.
therefore, be desirable that any great
changes in the existing system of col
lectlng revenue should be deferred
until the last part of the year 1894 OF
subsequently to the fiscal year ending
June 30, 1894, for which year provision
will be made at the ensuing session Of
congress, because in that fiscal year our
maximum expenditure will eliminate.
In the meantime the probable excess or
revenue under existing laws will make
it safe to abate duties on all imported
crude and raw materials at very early
date in the year 1894.
Free Raw Materials.
1t may be assumed that the present
congress would not take fiGal action
upon we'll defined and consistent tar
if act before Jan. l, 1894. This act may
put wool, dye stuffs, ores, coal and other
crude or so-called "raw materials on
the free list, this change to take effe ct
in the early part of the year 1894. There
should then he an interval of at least
six months before the reductions Of
duties on finished goods take effect, IN
order to give the consumers of raw ma
terial an opportunity to work off exist
ing stocks without disaster. This would
bring the revenue tariff into complete
operation in the latter part of the year
1894 If congress at the coming extra
session would empower the secretary of
the treasury to liquidate the
first payments allowed on pension
claims by the issue of pension
notes bearing low rate OF interest,
payable on the call Of the treasurer, the
only uncertain element would be re-
moved, and the adjustment of the
revenue to prospective expenditures
could then be made in more prompt
and effective manner. This would cre-
ate merely temporary loan, subject to
payment at the will of the treasury.
Such notes would correspond with the
excheQuer bills which are issued by the
British treasury and to the frequent
borrowings OF our own cities and towns
in anticipation of taxes assessed but not
paid in. There Is another very simple
way of bridging over this interval that
would give absolute assurance of an
if not surplus. revenue.
Double the Tax ON Beer.
In the last fiscal year the consump-
ton of beer amounted to nearly 32,000,-
900 barrels of thirty-one gallons each,
on which the present tax is 81 q barrel,
less per cent discount when stamps
are bought in large quantities. Ii this
discount were not given. the gain In
revenue would he about $1,500,000, but
why should not the. tax on beer be
doubled at once, so as 10 cover the last
increment of first payment of pensions,
from June so TO Dec. 81, 1894, and there
after kept at 50 for perhaps two or
three years, in order to cover the posi-
biIity of reduction of customs revenue
in the transition period. The tax
on beer is least costly in collection.
1t is safe from evasion. 1t bears
a very low percentage to the
price to consumers, and even at double
the present rate it would not become
any appreciable burden upon them.
The present tax does not exceed 4 per
cent OH half-pint of beer when re-
tailed at five cents a glass. about one
fifth of a cent glass. IT the tax were
doubled it would not exceed per cent,
or less than half a cent on each half
pint of beer. The additional revenue
would be from SS0,000,000 to $50, 000.0 600
in 1S94-9 5. For two months Mr.. Atkin-'
son has prepared a table to show that
since specie payments were resumed i'll
1879 the revenue from liquors and to-
baccO, domestic and imported, has in
creased yearly, having averaged $3.50
per head of population from 1879 to 1882
and now being more. Normal eXpendi-@
t9kAAes bAAGAyernment for the same
= the interest, ETC.,
nave amounted to 81. 10 per head.
Army Sustained by Tobacco.
Internal revenue from spirits has sus-
tanned the civil service; from tobacco
the army has been sustained and reve-
nue. from beer has more than supported
the navy. The customs revenues from
spirits, wines and tobacco have more
than covered all average expenditures
for rivers and harbors, and until very
recently also the construction of vessels
added thereto. Upon this experience
for fourteen years. sustained by the
figures by nine months revenue i'll the
present fiscal year, a rule may be
predicated in the following terms:
The normal cost of government, in
Guiding average appropriations for
rivers, harbors, public works and naval
construction, is diminishing per head.
The revenues from liquors and tobacco
are increasing per head. These specific
sources of revenue may therefore be set
apart for the purpose of meeting all