The times. [volume] (Richmond, Va.) 1890-1903, 1900-07-21
THE pnuss1AN DEPARTMENT

Recently there has been a great deal
of discussion. especially in Chicago, as to
the outcome Of the growth Of the depart
,nent stores. The small shop-keeper has
protested that he had no chance against
the attractions of a store covering whole
block, and selling everything from loco
motives 20 canary birds. We quote an
editorial from the Springfield Republican
ON this question, which has recently come
up before the Prussian Diet, and submit
this calm discussion Of the question for
the consideration Of all those who believe
that the freedom of the individual to pur-
chase the best goods al the cheapest
price is perhaps as valuable to society as
is the right of the small store-keeper to
prevent competition which he cannot
meet.
The new law passed by the Prussian
Diet Classics articles Of retail trade in
four groups. The first includes groceries,
liquors, tobacco and smoking materials
generally, and drugs and perfumeries.
The second group embraces dry goo1s and
clothing: the third furniture, house uten-
sis stoves. g-aSs and earthenWare, gar
den tools and the like; and the fourth
group plated ware. jewelry, art goods.
paper goods books, music, arms, cycles,
toys and optical goods
No store dealing III articles belonging to
only one group, no matter how large ITS
business. is specially taxed. NO small
store dealing in articles of two or more
groups is specially taxed. But all stores
dealing in articles belonging to two or
more groups, whose sales equal or exceed
100000 marks about 100000 a year,
must pay a special tax, which increases
as the sales rise above the 100000 mark
limit. The tax is a specific one and not
ad valorem. and is graduated to the gross
amount of business. 1t ranges from about
/ per cent. of the sales at or near the
minimum limit of 10000 marks. to 2 per
cent OF the sales where they reach 1.10o,-
600 marks or over. Should the tax exceed
20 per cent. of the net income Of a depart
ment store. 1t may be reduced iii the dis
erection of the State.
The commercial classes and radical par
ties have opposed the enactment, tooth
and nail, believing that it foreshadows q
general attack upon commercial freedom.
But the reactionaries are jubilant and the
small millers and other small manufac-
turerS are already agitating for the extern
sion OF this principle of state interference
to the large Touring mills and other manu-
tacturing concerns. And why not? 1t
WouiO ne d perfectly cAlSliSlOl VI
the principle. The ministers of State see
the point and do not undertake to defend
the measure as permanent public policy.
DR.. Johannes Won MIGUEL, the PruSsian
minister of finance, says it is designed
merely to give the small tradesmen a
breathing spell, in which they may or
ganize associations for the purchase of
goods OF advantageous terms as the
department stores.
The natural development of the compet
tive Industrial system is troubling the
commercial nations exceedingly. It is the
handspring of their warlike aggressions
abroad, and taxes their ingenuity to keep
the peace a home. Germany far leads the
United States in the applica ton of the
protective spirit, ana in these reactonary
efforts TO save a competitive regime from
itself or from its own natural conse-
que1ices. Such measures will be only as
a mop against the ocean tide. Germany
tried to stop speculation in grain futures
by taxing it. and the experiment has been
a failure The department store legisla-
ton is iii the same line and will also fail