The record-union., 1894-08-09
ply equally to that consumed with tina
exnortad

PAy S4udAAy W tiidb COuSul10u Will suat
exported.
Our fellow-citizen is to be commended
for his ingenuity, his patriotism and his
energy. That he succeeded in securing
the Endorsement of this proposition by
the Republican State Convention is an
illustration Of what industry and en-
thusiasm may accomplish. We regret
our inability to agree with our neighhor
and with this particular plank in the
very admirable platform of the Repub-
lican party. Beyond this, it would have
afforded Us the highest happiness to have
witnessed the discovery of method
whereby purely artificial factor in COM
merce would work out a permanent
economic advantage.
But the fallacy underlying this propo-
sition is too plain to permit of such
pleasing self-delusion. Economy in the
production of an article in its final mar
ket at first inures to the benefit of the
producer; but this condition is very
ephemerous. Competition between pro-
ducers forces them to give to the con-
sumner all the advantages of production,
whether that production relates to the
methods of planting, of harvesting or the
decreased cost Of transportation.
1t is not contended by the protector of
this plan that any value will be created
by the proposition. 1t is simply con-
tended that the expenditure of dollar by
the Government would increase the cost
to the home consumer three dollars.
What the producer would gain the con-
ducer and the consumer are Americans,
one class of the commonwealth would
lose what would be gained by the other;
and therefore the profit and loss would
be equal.
In the final market of the world. that
which is produced cheapest in that
market is first taken. If the supply for a
year can be met out of the cheapest arti
Gle, then all points where the cost Of pro-
duction is greater are left out, and the
years product is held over. The init
macy of communication between all
parts of the world, the low rate of trans
portation from the most distant point of
production to the European market
which controls the quotation, make all of
the conditions under which any staple
product is produced present in its final
market. The cheap labor of India ac-
companies the wheat of that country to
the market of Liverpool. No tariff device
ever invented can keep out of this coun-
try the effect Of cheap labor in all other
countries. Competition gives consumer
the benefit of the cheap labor of India as
well as the benefit of the cheapeni ing of
production by labor aiding machinery in
America For little while only econ
omy in production inures to the benefit
of the producer. This is the unmistak-
able testimony of history.
If the wheat of the world could be pro-
duced for one-half its present cost, one
half its present average price would be
the result The only advantage TO be
gained by cheapening the cost of pro-
ducing the agricultural staples in their
final markets is first a temporary ad-
vantage as to price, and second perna-
nent change as to competition. The pay
ment by the Government of part of the
cost of transporting American products
to foreign markets would give the trans
porter an advantage in these markets.
The American product would come into
the market at lower price. 1t could
try, and therefore in many instances the
American product would be sold instead
of carried over for year of greater
scarcity, but the consumer of the product
would get the benefit of the cheapened
production.
1t follows, then, that the proposition to
take the money from the Treasury of the
United States and pay a portion of the
freight charged upon staple agricultural
products between American and Euro
pean seaports will have the ultimate
effect of cheapening the American
products in the European markets with
out permanently advancing their price at
home.