The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-06-07
Babcock's ELL, which Proposes Plac-
ing Trust-Made Articles on the
Free List, Not Favored.
TESTIMONY OF DIR. GUNT0N
WHO COMBATED MIR. ATkINSON'S
FREER TRADE ARGUMENTS.
Tariff Revision Favored by Manufac-
turers Who VIII Meet Next Time
in indianapolis.

WASHINGTON, June 6.-The industrial
commission al its session to-day considered
the tariff question with incidental reference
TO trusts, the witnesses being Congressman
Robert w. TayIer. of Ohio, and Dr. George
G. Gunten. president of the New York In
stitute of Social Economics. Mr.. Tayler
took the position that any discussion III
Congress of the tariff at this time would
have damaging effect on the country He
said the Dingley law was the most equi-
table tariff law the United States had ever
had. He took a decided position against
trusts. and said they are not fostered by
the protective tariff. He also said he be-
lieved in the principle of reciprocity. but
that he did not indorse any of the recently
negotiated reciprocity treaties.
Mr.. Tayler announced the general prin-
ciple that the history of the country for
the past few years and the present condi-
tions demand there should not be the
slightest relaxing of the tariff principle as
now embodied in the Dingley law. The re-
lation or the tariff TO trusts. he said, is only
incidental. The Dingley law embodies. he
said. the idea that the American civiliza-
ton As on a higher plane than any other
and requires a higher reward for its labor
TO maintain that excellence. Whenever the
labor cost is greater than elsewhere it is
necessary there should be an equalizing in
fiunce such as the Dingley law. Primarily,
therefore, the protective tarln law was IN
the interest of labor. Even the farmer, he
said, gets a reciprocal Denefit.
How is the farmer benefited by the tariff
on steely' asked Colonel Livingston
In the rrst place, replied Jne witnes..
there is not much tariff on iron and steel,
except. possibly, on tin plate We pay out
in wages not less than $30,Oo0Oc0. That
American people at home is increased TO
that extent, and / think the effect OF that
increased consumption is sufficient 70 re-
coup the farmer for any supposed increa Sc
OF the cost 10 him OF iron and steel articles
which he may purchase.
Mr.. Tayler announced himself as opposed
to the principle involved in the trusts, be-
cause, he said, he considered human nature
too weak to intrust in few people such a
power as Is involved in trusts He thought
abuses were certain, and there would be
what he called governmental socialism or
governmental ownership OF the articles
controlled by the trusts.
"Do you know of any combine that ac-
tually controls any industry" Mr.. Clarke
asked.
Mr.. Tayler said he did not.
lis not the United States Steel Corpora
tion on the border of attaining absolute
control?" asked Colonel Livingston.
II cannot answer that question either yes
or no, replied the witness, but there are
many large iron and steel concerns not In
the combination. Iron ore and coal are
widely distributed, and L do not believe
that any one will ever get absolute control
OF the supply.
Mr.. Tayier said that. distrustful as he
was of the trusts, he had no remedy to
suggest. He did not accept the theory that
the trusts alone could be trusted 10 reduce
the cost of commodities. InStancing the
United States Steel Company, he said that
its securities amount to Sl,5OOO0.OOO. while
the cost had not been cne-third that
amount. He had no doubt that the holders
OF those securities would demand returns
upon them. He said he would oppose the
Babcock bill placing iron products on the
free list because the result would be TO de-
stroy independent effort While 1t would
not especially injure the trusts, with
them the only effect would be to reduce
labor. on general principles he thought a
discussion Of the tariff al this time would
be unwise and undesirable. He did not con-
slider trusts the outgrowth OF protection.
but conceded that incidentally some trusts
might be benefited by protection. ..just as
the sun may cause weeds TO grow"
Dr. Gunton devoted himself especially 10
replying TO an argument recently made be-
fore the commission by Mr.. Edward Atkin-
son for freer trade DR. Gunton said that
the freedom contended for bv opponents of
the tariff is analogous TO the freedom Of
savages. a freedom which. II indulged in
too freely, not only brings injury 10 others
but ruin 10 himself
Speaking OF the strike of the machinists
Or Gunton said IL was perfectly right. as
ne believed that labor was justified in or
ganizing a capital for the protection of its
interests. He said however. that the ma
chinists were blamewOrthy in that thev
had agreed 10 arbitrate and then had failed
20 live up 10 their agreement. He favored
compulsory education and a law limiting
the hours of labor. Referring TO Mr.. Atkin-
SON DR. Gunton said that his views were
all born OF theory. and that when the opin-
ion got abroad that theories akin to Mr.
Atkinson's were about 10 be enacted into
law there came near being general bank
ruptcy.