New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-02-24
THE QUESTION or RECENUE.

TO some jealous advocates of wisconsin
arithmetic seems to be lost art. Even Inc
New-York Herald in urging with passionate
oarncstness the passage Of the Tariff bill with
ont the income tax says that the measure even
then would yield revenue enough. little con-
sideration would surely have led to different
statement The official estimate made by Fro
fessor Wilson's committee in the House, based
ON tho lamentations of the fiscal year 1S''3,
was that the new tariff would cut down the
customs revenue S757O77S4. The income tax
and the 10 per cent tax whlskcy were the
uttcrly Inadequate addition which the House
bill proposcd in place of this reduction of rcve-
me No intelligent journal will seriously as
sert that the present revenue diminished by
S75 900 600 would be enough for the necessary
expenses Of government under existing laws or
flat the increase Of importatons under II"
Wilson bill would be great enough To yield
sos 600 900. instead Of S122, So $3.50, estimated
bv Professor Wilson's committee on the basis
of last years importatOns.
The fact cannot be safely left out OF account
that the great depression of industry, and the
reduction in wages of labor and the conse-
ouent decrease in purchasing power Of the
people which fear of the Wilson bill has caused.
would probably be much increased by its pas
sage and enforcement. This great force oper-
atcs 10 diminish imports. in proportion To the
closing of American works and the reduction
of wages for American workers. In February
the decrease has appeared to be 40 per cent
or more Ii is an assumption for which there
is no warrant that this decrease in the gen
eral purchasing power Of the people would be
less after the Wilson bill had passed than 1t
is now. If we suppose then, that the people
would only be able to purchase about 500 worth
of goods where they formerly purchased 500
worth, but that n larger proportion or goods
bought by them would come from abroad be-
cause of lower prices, it only remains TO rencm-
Der that the closing Of mines and the rcduc-
ton Of wages must go further and so the de-
crease in purchasing power must be greater II
importations of goods now produced by Amerl-
can labor should greatly increase.
With these considerations in mind. no one
can reasonably expect larger revenue from
the Wilson customs duties than the trainers OF
the bill estimated, and if the income tax should
be cut off there would be Il deficit of about
$4,000. OOO unless the added tax on whiskcy
should yield something the first year If the
10 cents per gallon increase were collected Ill
that year, the addition 10 revenue would be only
about 1OOOO.O 900. CandOr must, therefore, com
pei the admission that, in seeking other sources
of revenue in place Of the income tax. Senators
are merely trying TO provide for the necessary
expenses of government. If they should pass
the bill as it came from the House, with the
income tax omitted. they would be deliberately
voting for National bankruptcy. The House bill
was not a tariff for revenue. even with the I'M
movable income tax added. but n tariff for
deficit Whatever members may have expect
ed they could not reasonably have expected
that the income tax and the 10 per cent addi-
tonal tax on whiskcy would yield S'5,Oo0,OOo,
which the rest of the bill would take of In
the fiscal year 1893 the surplus officially report
cd was only S2,3f1,G1I, without any deduction
for the sinking fund, and the added interest
on the bonds issued already this year would
exceed that amount
If Senators undertake TO get rid Of the income
tax they are compelled 10 put Oh other taxes
which will bear directly upon people who have
aot large incomes. The Senate may well hcSi-
late. for economic as well rs political reasons.
before putting a tax on sugar which Will i'll
crease the expenses Of every workngmans
family in the country. II may well hesitate
for political reasons before il decides 10 lcgis-
late for the benefit Of the Whiskcy Trust, max
Ing the millions pay a heavier tax 10 that mo
nopoy, and for years to come a tax Of which
the Government would get only part. The
alternative between these faxes. an income tax
or National bankruptcy. is one which may well
occupy the minds of Senators some time. They
ought to be ccnSurcd. not because they hesitate
over such choice. but because they insist upon
passing the Wilson bill at ALL and deprvng
industries of the protection which n most ad
vantagcous mode Of raising the needed revenue
now gives.