New-York tribune., 1898-01-11
THE ERROR or FREE TRADERS.

There are still journalists, and some other
people who have not learned how Protection
can benefit an industry without enhancing the
cost Of It's products. Flaring editorials fire.
quently appear derdng the Republican party
for It's failure 10 protect If prices have gone
down, or denounclDg it for rObbing the people
If prices have gone up. Sometimes the malig-
nant mendacity Of these articles Is their most
obtrusvc feature. hut more frequently their al
most inconceivabe ignorance makes them highly
amusing 1t almost passes belief that any man
whose duties compel. him TO observe events az
all can yet bn ignorant that the tariff under
which ,he Production Of steel rails rose from
nothing TO over 2oo0.o00 tons in year did
not prevent. but actually promoted. the re1uc-
lion in price from S174 a ton in 1865 10 SO in
1857. or Of the similar experience in many
other products during thirty years. and in tin
plates even now. People who never can com-
prehcnd that Projection is the shortest and
surest road 10 permanent cheapening Of prod
uc;s for CONSUMERS. and that the profits Of the
rail mill with rails at $40 are greater than they
ever were will rails Al $50 really cannot have
opinions worth hearing or changing
The root of the whole matter IS the fact. IA
miliar 10 everybody in business. that the store
which has an assured and enormous trade can
prosper with profits 50 narrow on each article
sold that !; would bankrupt a concern to do the
same business In small way. A great man
ufacinring concern puts some millions into plant
and machinery before II can turn out a rail or
a box Of plates ard the interest on that capital
alone would 10 $40 n ton If the output sold were
no greater than the entire production of steel
rails by all the mills in this country in 1863.
The cos, Of a great plant lying idle half the
year Is enormous and If II can turn out 100000
tons. and foreign competition makes it impos-
sibie to sell more ;han 10000. the cost OF every
ton Is increased almost beyond accurate calcula-
ton
Tie National system which gives :he advan-
iage in the home market to the home producv
offers TO him a large business If he can do it
within 4 moderate margin Of profit If he sue
ceeds. others undertake the same manufacture
and enter into competition for The profits. natu-
rally pushing down prices for all. The result
Is cheapenng Of the product fo- consumers
even down TO the point where there ceases 10
be living profit for all. that some concerns
have to lie lle until the demand increases
Those able to continue get living profit on
large business. whereas they could have made
no profit al ell on n small business exposed 10
the constant uncertainties Of foreign compe-
it.on. But men ask. How is 1t possible for
an industry to grow under such condt.ons?"
II is made possible by the National policy which
secures better employment and better wages TO
2J,000,00O workers. and thus enables them 10
purchase more than the people IN any other
land. and so increases the demand for clothes
and shoes, food and houses for railways to
move the cattle and the grain and the goods.
for buildings in which to carry on vastly cx-
handing husiness and for tools imDlemepts and
machinery with which to work more chcaply
When the cheapenng Is pushed so far by
whatever cause. that profits fail and works
close, thousands are thrown out OF employment
Because these can no longer buy as much as