Iowa County democrat. [volume] (Mineral Point, Wis.) 1877-1938, 1908-06-04

| trust has for years held the keys to
the tariff situation at Washington is a
| fact known to all who are at all famil-
lar with subsurface conditions at our
national capital.
Not only has this government pet
| gained and held control of the impor-
tant committees of congress and smoth-
cred all tariff bills and suppressed dis
| cussion of the tariff. but it has very
foolishly, as it now finds, blocked the
| passage of bills TO liberaliZe our tariff
| drawback laws.
| In 1903, when Congressman Lover
| ing's very sensible bill to simplify and
! liberaliZe our drawback laws was in
the ways and means committee, it was
| by order OF the steel trust quietly put
| to sleep. The order was given by
| James Gayley first vice president of
the steel trust. The Boston Herald of
| July Is. 1907, contained ten columns
of letters and facts on this subject.
1t was known i'll 1903 that the steel
trust after close figuring estimated
that the drawback bill if passed would
curtRil the trusts profits by 100000,
or One-third of l per cent. This loss
the steel trust would not permit, al
| though 1t did not deny that the bill
would mean millions of dollars to our
exporting manufacturers and would
especially enable them to keep busy
making goods for foreigners when, as
at present, the home demand for goods
| was slack.
The steel trust then, as since, had
| full control over congress and tariff
| legislation. 1t used its power merci-
lessly and to the limit That is one
reason why the manufacturers of i'm
plements, tools, wagons, carriages, au-
| tOmobiles, etc, are now demanding
| tariff reduction and are carrying dirks
| for this tariff dictator. That IS one
reason why the tariff situation at
Washington is getting beyond the con-
| troll of the steel trust That is one
reason why the tariff will almost sure
| ly be revised In 1909 If not before.
When too late this greedy corporation
realizes that by grasping for too much
| it may lose all.
| Our giant tariff pet has other iniqui-
ties to answer for Two of these re-
| late 10 false and misleading state
ments In its reports, made to conceal
the real rate of tariff profits and to
deceive the people as to the difference
between its prices for goods sold abroad
| and at home.
The recently issued report Of the
steel trust tells us that the gross sales
and earnings for the year ending Dec.
81, 1907, were 1851, OLA 767 and that
| the net earnings, after deducting $685.,
100000 for maintenance and repairs,
were $16O,9S4, 673. Apparently, then,
this trust sold its products at profit
of only q per cent on their cost
price. This rate of profit does not look
| large to US when we consider how
| heavily we tax ourselves to support
this prince Of paupers.
| But in reality the rate Of profit was
about twice % per cent. In another
| part of the report we are Informed
that gross sales and earnings" in
| clude "sales made between the sub
| gIdiary companies rs we'll as those to
the outside world. This is ridiculous,
| Of course, and Is done for the purpose
of Disgusting tariff profits.
| Just what were the actual gross
sales" to the public the report no
where tells us. 1t does, however, tell
us that the total tons Of rolled and
other finished products for sale" were
1876. TAP. We know the quoted prices
for nearly all of these products, and
we know that the average price was
| not. as the figures indicate. over $40
| per ton. We know that 1t was not
| $50 or even $50 per ton. 1t probably
| did not exceed $40 q ton or about
| $414OOO,O00. Adding 5000 O00-a
| liberal estimate-for all other possible
| sales and earnings-from it's railroads,
sales of cement, speIter, etc.-we have
| $460,O00O0O as the total amount Of the
| gross sales to the public.
Deducting the net profits, we have
less than $3OO,OOO,OO0 as the total cost
| of tie products sold. The actual rate
| of profit, then, we are proud to say,
| was 81 per cent on the cost price of
| the products sold
But this jugRle and tumble of gross
| sales Is crude when compared with
the deftness with which the difference
between export and domestic prices is
concealed from most people by the
| following statement:
THE average mill price per ton re
| ceived for all exported materials was
only 713 per cent less than the average
| price received for all domestic ship
ments."
This apparently honest and frank
| confession that goods for export are
sold only 712 per cent below the do
nestle price Is undoubtedly the most
| beautiful piece of deception In the
whole steel trust report. Overlooking
| the probable juggles in the words ''av-
erage" and mill price," here are the
essential facts which the words of this
| report were intended to conceal:
The exports consist mainly of highly
| finished products. such as barbed and
other wire, wire nails, tin plate, etc.
| The domestic sales consist mainly of
| heavy products, such as steel rails,
structural shapes, merchant steel, tub
| ing and pipe, blooms, plates, etc. The
average price in the home market Of
the class Of goods exported is perhaps
SAT.
The average price Of all goods sold
| In the home market IS about $40 per
ton If, then, the exported goods We're
| sold at ~ per cent less than $40 per
| ton, they were sold for S37, or SO per
| ton below the domestic price for the