Los Angeles herald., 1909-04-27
BAILEY CHEERED
WHEN HF FLAYS
FOREIGN LABOR
SENATOR FROM TEXAS TALKS
ON TARIFF
DENOUNCES PRINCIPLE OF PRO-
LECTION AS UNFAIR
InduIges in Extended ColIoquy with
Chairman Aldrich, Framer of Bill
Under Consideration in
Senate

NM ASHINGTON, ID. c., April 26.--
w Denouncing the principal of a
protective tariff as unfair, in
taking money from one man to give it
tc another in order to encourage him
in the pursuit of an otherwise un-
profitable business, Senator Bailey of
Texas delivered today a set speech on
the Democratic side in opposition to
the pending tariff bill.
After he had proceeded without in
terruption for more than an hour sew
eral senators engaged in colloquies
with him.
Referring to Mr. Bailey's statement
that the duties of the pending bill
might be lowered 33 1-3 per cent, Mr..
Aldrich asked whether he supposed the
profits of American industries equaled
that amount.
Mr.. Bailey replied that in the case
Of the United States steel corporation
he believed they had, and cited the
increased capitalization of that organ
iZation as an evidence of enormous
profits. He insisted such a lowering
of the rate of duty would not seriously
affect importations because he believed
American manufacturers would be
stimulated by the added foreign COM
petition and would continue to supply
the market.
Mr.. Bailey discussed his amendment
providing for an income tax, which
was criticised by Mr.. Aldrich as tend
ing to reduce the protection for Ameri-
proportionate decrease of custom
duties.
Favors Restricted immigration
Mr.. Bailey favored restrictions on
immigration as protection to Amerl-
can labor.
Mr.. Aldrich retorted that while Mr..
Bailey was ready to keep the foreign
laborer from our shores. he was ncr
averse to allowing the product of this
cheap labor to come into competition
with the product of American work
i1fgmen. Mr.. Bailey will resume TO-
morrow, when he will devote his at
tention to the purely aspects of an IN
come tax law.
Referring during his speech TO mis-
proposed amendment for an income
tax. Mr.. Bailey directed his remarks
to Senator Aldrich and said tnere was
La time when such proposition was
| described as plan to redistribute
fortunes.
Mr. Bailey said Mr.. Taft now
favored an income tax and asked Mr..
Aldrich if he considered the president
Mr.. Aldrich replied that his state
ment was true at the time it was made.
Mr.. Bailey insisted the rates of the
pending bill could be reduced 33 1-3 per
cent without greatly increasing the
bulk of the ;mportations, although the
decrease would result in reduction
in prices to the American consumer.
"Does the senator think that the
American manufacturer makes pront
of SO 1-3 per cent?" inquired Mr.. Aid
rich.
Jumps on Steel Trust
Mr.. Bailey suggested that the United
States Steel corporation, with a capital
of $3.50. 900 900, had increased its capi-
talization to $1,000. 100000, and made
about per cent on the larger sum.
obviously" he said. " the steel cor
poration could reduce it's profits 80 1-3
per cent and still make more than u
legitimate profit upon fair valuation
of its property"
Mr.. Aldrich said laborers abroad re-
ceived from to go cents a day and
from $50 to $500 or $400 year, while
American labor was paid about $500 u
year.
Mr.. Bailey's plan, he said, would be
to reduce the protection that was be-
ing given this American labOrer over
the foreign cheaper laborer.
81 would like said Mr.. Bailey, amid
applause from the galleries. 'to make
it impossible for that cheap labor to
come here at ALL"
The gavel of the vice president was
necessary to restore order, ana Mr.
Aldrch said:
1.-THE senator would prevent these Ia
borers coming to this country, but he
would permit the product of that cheap
labor to come"
"The critic of this income tax said
Mr. Bailey, twill find small audiences
in labor centers when he comes to
complain that l do not tax somebody
besides those included in the $4,000 limi-
tation. The tender solicitude of the
senator from Rhode Island is in keep
ing with American politics."