New-York tribune., 1896-12-12
WHAT EXPORTS SIGNIFY.


The Presidents statement regarding domestic
exports as evidence OF the usefulness or the
present tariff was misleading as to call for
sDecjal notice 1t must first be perceived that
with increasing population domestic exports
naturally increase in quantity and faster than
population II the country becomes relatively
more productive and better able 10 compete in
foreign markets. Thus from 1850 to 1870 do
nestle exports rose from $40 TO SD per capita,
and from 1860 10 1892 they rose from $40 to
SIS GO per capita But in the fiscal year 1S96
they were only Sl2 90 per capita. and yet the
President wishes it to be believed that the large
exports OF that year are evidence that lower
duties than those of 1892 are opening to us a
larger foreign demand for our products. The
truth Is that in 1896 the country scarcely did
better in that respect than in 1870, more than
a quarter Of 4 century ago
But neither large exports by themselves nor
large imports necessarily mean prosperity. The
heavy imports may be destructive of prosperity.
The heavy exports may he merely slaughtcring
property to pay debts Exports Of one char
acter mean increasing and possibly abnormal
foreign demand, while exports of another char
actcr mean nothing but prostration OF home in
dustries and inability OF our own people TO
of manufactured products the latter is true, as
II IS only when the home demand Is unnaturally
low and prices here are depressed that such
products are largely forced to sale in foreign
markets. and often at a loss Thus 1t happens
that the only years in which manufactures
have been more than 20 per cent of the total
exports have been years Of panic and disaster.
namely. the fiscal year 1871 when the lowest
.1,.,I aft th, of
fiscal years 1885 and 1856, which included and
followed the panic OF 1891. md the fiscal year
1924, which included the panic OF 1893, with
1895 and 1885, through which the disaster has
been prolonged. In the last two years the pro-
portion has been greater than ever; manufact-
urcd exports have been 1884 per cent OF the
whole in 1895, and 2647 per cent in ls96. Every
one knows how the restricted consumption OF
our own people and the extreme low prices Tor
manufactured products have forced sales OF
many In foreign markets nj an actual loss. Such
exports are not evidence OF National well-being.
The exports are measured in values. and
when prices are unduly depressed by Industrial
prostraton the magnitude OF exports In quan-
titles sometimes indicates the magnitude OF dis
aster Thus in 1891 exports Of ,?Oi,0OO,OoO
pounds Of cotton brought In $40 10000 and in
1890 exports Of 1885 900 pounds brought in
sos 600 600: but in 1895 exports OF 3,5lI 100000
pounds brought In 1901 100000. There can be
no question which Of these years brought
the best results to the country and to the
growers For the last three years about
900. 900 gallons Of oil have been export
ed each year. but the return In value mas
risen from SAL 800 900 in 1894 to So. 1888 i03 In
l-.tA tt,nls i,v q
better price obianabe. AS to most Of the great
staples, the state OF markets abroad goes far
10 determine what quantity this country can
market and whether at living price or not,
and heavy sales when prices are unnaturally
depressed and sales arc forced no more Indicate
prospcrty than the sherfrs sale Of bankrupt
stock.
1t Is the fact that nations. like individuals,
customarily sell at n sacrifice when sales are
forced to meet debts. When this country Is
buying so largely Of foreign goods that part OF
its working force is idle, and It is incurring
heavy Indebtedness which threatens TO drain
the Treasury Of gold. and large loans are re-
quired at losing rates, the fears OF bankers cut
down the sum which can be borrowed to carry
any of the great staples. If failures do not
come. like those in New-Oreans connected with
cotton operations, IncTe ~ always II pOWeTlul
pressure in such conditions TO compel sales
which depress prices and invite foreign buying.
This Is the state Of things which has existed
during much Of the time since the present tariff
was adopted. With industries so Frustrated
and wages so reduced that the people could not
consume as much within 20 per cent as they
did in previous years Of prosperity the reported
imports Of foreign goods have been large, and
the fraudulent undcrvauations have been SO
great that the most competent experts judge the
actual value. which the people have to pay.
about $50 1000 900 year more than the reported
value Hence 1t Is in part that l000O0000 gold
and $59.0OO.OO0 silver have gone abroad with
in the last two fiscal years under this tariff, al
though merchandise exports have exceeded the
nominal value Of imports by Sl1S.000.0O0. 1t
Is not strange that in such conditions low prices
have prevailed and foreigners have been en-
nbled to buy our staples practically at their
own terms. and at such terms have bought
largely. That this Is not n state Of things
which they want continued the people have
decided with emphasis.
-
N. ZOLA AND THE FORTY.
There Ia story--one Of ben Trovato's"-of