The Montgomery advertiser., 1908-12-22
MIR. CARNEGIE
 AS A WITNESS
toeatlaaea fro,n Pa.. n...,

that an income tax makes a nation of liars. Of all the demorailzinR taxes that q nation can impose upon the people, the Income tax Is the worst" You agree with Gladstone In that?" interjected Chairman Payne. II do, the steel niegnate replied. So do T." said the Chairman If you want to do harm with money give It away to those people who viii not struggle for theInselves," was one of the numerous epigrans brIghteninz MT Carnegie's unique testimony. That applies to the tariR on steel" he ada
 T think the man who can make ss or tt more profit than lazy. inert corporation management. should be- all lowed that pront for his country's good" was an opinion expressed by Mr. Carnegie when being questioned with regard to what hs considers reasonable proat.
 Dealing largely in generalities. Mir. Carnegie said he wanted 1t understood that his statements represented his opinions solely. He said that he came before the Committee because he tnought It his duty as an American citizen. T did not volunteer it," he said.
 Pressed with questions from all sides MT Carnegie arose from his seat and dramatieally declared that me was a protectionist."
 T desire" he said. "to furnish to the consumer a cheaper supply and a more | regular supply than he could xet abroad, and if after forty years ex- periencs we cannot develop steel with that condition. our protective policy in that instance would have been a fail- ure instead of the triumphant success it has been"
 Pointing his anger at the Committee and raising his voice to It's highest pitch, he declared that the steel fn- dustry was now in the position where t can say: Take your protection. We are now men and we can beat the world in the manufacture of steel"
 There Is no reason for the tariff on steel" he again emphasized. You would not <oddie the industry with protection"
 A recess at this point was ordered MT. Carnegie inquiring If the Commit tee was through with dim.
 No" came . chorus of voices.
 This Is cruel" remarked tho steel niagnate as he retired from the room.
 Sereno E.. Payne. chalrinan of inc committee, took an active part In the examination of the witness when Mir Carnegie resumed the stand at 3 o'clock
 Mir, Payne had before him the last report ot the United States Steel Cor poration and after endeavorinK with out success to get some definite Infor- nation from Mir. Carnegie with regard to the deduction to be made from the report. askeds
 Were the profits in 1907 generally higher in all countries. and the pro- ductieh greater?"
 ''Yes.s assentsd Mir. carnegie.
 Duty is PrOhfbitive.
 Does any foreign country send rails hereg' asked the witness of Mir. Payne.
 NO. don't think so," responded Mir Carnegie, "the duty is prohibitive now, 60 to speak
 The chairman took up certain phases of the testimony of other steel mag mates, asking Mir. Carnegie with re- gard to the statements made. He could get little definite Information from Mr Carnegie who disclairned knowiedge ef certain of the phases dia- cussed
 Chairman Payne said that Mr. scflwab put the cost of producing pig Iron at between s14 and SIS as compared with s7 of eS in 1890. What impressed him about his testimony. he said, was that the hgufeb were so neatly equal to those compiled by the Bureau of Cor porations from the books of the steel corporation.
 'Mr. Chairman, you have a maze of figures. and you will never arrive at results.7 said Mr. Carnegie.
 HIS solicitude for his weaker breth- zen is sublime" said Mir. Carnegie, re- ferring to Judge Gary's contention that the smaller steel manufacturers could not stand for the abolition of the duty on steel.
 Mir. Carnegie said that the tnanu- facturers of Wales could make a ton of tin plate c shade cheaper than 1t could be made here and in reply to a question from MT. Longworth said that the cost of manufacturing steel is greater in Great Britain than here. He said that the committee should send experts familiar with the steel industry to the large mills of Europe to study the question of comparative labor cost
 "They will be received by the for eikn manufacturers with open arms" he said"
 that confronts the committee at this ! time," said Representative Longworth. "It Is understood that the President elect will call a special session of Congress for the purpose of drafting tariff bili and we must prepare a bill for them to pass on. We have no time to send experts to Europe. What we want to knOW Ab WHAN duthOFtty De- sides the testimony given by you and Judge Gary-who I don't think went as far as you do---have for taking the duty of of steel"
 Mir Carnegie pointed out that there Is practically no foreign made steel imported Into this country.
 "Other parties are not shipping here because they have an international agreement as your consuls say" he said.
 auestiOnea AbOzt CombanatfoB.
 Representative Hill Of Connecticut was desirous of learning more ot al- legged International agreements be- tween German, English and American steel manufacturers. He also wanted to know about the agreement between the steel interests and the railroad companies as to the price of steel ratls.
 Mir. Carnegie gave little testimony of value with regard to either the supposed international combination or the agreement with the railroads.
 q do not know but l have heard 1t stated that there is such combine tion." continued Mir. Carnegie. You have heard 1t from Mr. Miles, who ap- peared before your committee. think 1t is highly probable"
 dIf the prices of steel were fixed by this combination in London would that affect competition hereT" was the next question.
 'Tt would of course prevent competI- ton here" replied Mir. Carnegie.
 DO you know of any combination to fix the price Of tin plate interna- tionally?'' asked Mfr. Hill
 arao x,o, know of any combination to