Courier Democrat. (Langdon, N.D.) 1891-1920, 1905-10-05
NEW ECONOMIC THEORY
Mr.. Shaw's Argument For Con-
tinued Protection.
LIBEL ON AMERICAN INGENUITY,
High Prices Have Reduced Wages by
Capital-The Cost of Living Must Be
Reduced by Revising the Tariff
~Schedules


The enormous OvercapitaliZation OF
the trusts and combines renders it n
essary for them to continue to exact
high prices for their products or be UNI
able to pay dividends on their fictitious
capital. The protection the tariff gives
them makes the high prices possible, as
it prevents competition from abroad.
so that the rus have il monopoly Of
the home market. TO make the Amer
ica3 people pay these high prices tie
tariff must be preserved intact. not to
produce revenue for the government.
but to shelter the trusts. Secretary
SHAW is defending this policy Of trust
protection and high prices Oh the
ground that Cheap products of labor
mean cheap labor" which is Il new
theory in economics that the protec-
tionists have invented to hold working
men to the support Of the Republican
party in it's league with the combines
and corporations.
Mr.. Shaw, being secretary of the
treasury, is supposed to speak for the
administration on such economic sub
jects as tariff and so, al
though his cheap doctrines, are alb
surd and his statements fallacious, vet
as President Roosevelt allows him to
continue on the stump it must be sup
posed that sounding the praises of high
prices is Endorsed by the administra-
ton.
1t is not true that Cheap products Of
labor mean cheap labor" says the New
York World, nor vas hat libel upon
American ingenuity wont to be uttered
in the earlier days Of tariff argument.
1t used to be said that competition,
coupled with high wages, kept products
of the machine. Of late the trust
makers have learned the trick Of i'm
proving the machine, raising the price
and pocketing the %stupendous profit of
progress.
The portion Of labor in American pro-
duction has generally increased within
the past few years when measured in
dollars and cents. 1t has not increased
when measured by meat and rent and
clothing. 1t has actually declined by
comparison with the profits Of capital.
The Republican party has an unri-
vailed opportunity for public service in
reducing the cost Of living by revision
Of the tariff, and this service it is, by
it's reiterated pledges, bound to render.
It is bound to reduce tariff taxation
which has proved unnecessary and bur
densome. 1t is bound to seek such
reciprocal arrangements for freer trade
with other nations as Germany is just
o anxious to make.
Nor can the question be lodged. 1t
Is unacceptable. 1t is pressed by the
woman with the market basket. 1t is
urged by the growing deficit.
There are not so many ways in which
the governments expenditure can be
made to match it's income. This can
be done by cutting down expenditure,
and the only place where many mil
lions can be spared is in Jul mounting
bills for warlike preparation. 1t can
be done by tariff reduction which shall
stimulate foreign trade and so swell
the custom house receipts. There is
no other way.
1t may be a distressing choice for the
stand patters, but they cannot evade it
by abusing cheapness, which IS the
universal demand of every citizen when
he spends his wages.