Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1910-08-15
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they did not consider the interests Of par
tcular domestic industries. nor OF particular
sections OF their own country. They ex-
amined the weak spots In the tariff sys-
TENS Of their trade rivals and framed their
own schedule so as TO gain the greatest
possible advantage for Industrial Germany
as a whole.
The protective system was destroyed In
Great Britain, because It was only for the
benefit OF the landlords. who with pig
headed selfishness insisted upon maintain
Ing high duty on breadstuffs in the face
OF the facts that the country could not
produce sufficient corn to feed ITS work
men. and that the workmen were starry
ing because of the high price OF bread. Now
that there is recrudesence In England OF
the protective propaganda 1t Is interesting
to observe that the English have learned
nothing from Germany or from other coun-
tries. and that the prevalent English idea
OF protective tariff Is represented in the.
demand of the agrArian element for high
duties on wheat.
In the United states, where tariff meas
ures always have been framed within tho
life of a single congress, there has been
neither time nor opportunity for the seien-
tiflc preparation OF the schedules according
to the Bismarckian system. There has
been a tariff commission there is sort
OF tariff commission now, and there may
be a fun fledged tariff commission again;
but there is no reason to believe that con-
gress, controlled by either party, would
respect the recommendation of any kind Of
a commission.
Bismarck had before him the British
arH xuha ha
solved to throw a protective tariff wall
around the empire he was careful to avoid
the errors of the two Anglo-Saxon nations,
the chief trade rivals Of Germany. But
the possibilities Of protection tempted the
cupldity OF the agrarian element In Ger
many, whose interests were one with Bis
marck's but whose stupidity he did not
share The landlords succeeded In raising
the tariffs on agricultural products to the
point OF inviting political revolution the
climax OF this protective rapaclty was
reached IN 1887. when an increase OF the
tariff was followed by the election OF
low-tariff Redchstag. Then Bismarck
was dismissed and the fiscal policy OF the
country was lberalised. Food products
and raw materials needed for domestic
consumption we're admitted tariff free not
by general act, but by means OF recl-
procity treaties In which Germany got
new trade advantage for every concession
made.
bismarck had Instituted the German pro-
tective policy, but it remained for MS sue
cessors TO bring 1t to organized perfection
Tho system of reciprocity treaties negoti-
ated with most OF the European nations
fixed the tariff until 1904. 4 commission OF
government experts and representatives OF
the industrial interests was organized In
1898 to make q detailed study of every In
dustry in any way affected by the tariff
and TO recommend necessary or advisable
revisions More than 1000 experts par
ticipated In the work Of the commission
which was extended over five years OF IN
cessant labor The new tariff law based
upon the report of this commission was
enacted In 1902 1t made considerable adj
vances in duties and was designed to form
the basis of a system of diplomatic bar
gaining. Reciprocity treaties. giving great
advantage to German industries, made with
several other nations were concluded by
the end OF 1904
In making these treaties the German
diplomatists were prepared; their adver-
saries were not. The Germans got the best
OF It. 1t was Sadowa and Sedan all over
again. In 1906 these treaties, making con-
siderable feQuCuOnS IN INC NuaS9t 49,
enacted into law, and their benefits ex-
tended to all nations enjoying most faV-
ored nation" treatment Using this system
as a basis Germany has been able to make
advantageous commercial arrangements
with practically every country In the world
So far as the encouragement Of industry
Is concerned, the German tariff policy ap-
pears to have been eminently successful
But nothing human is perfect, and the
system of monopolies built up behind the
protecting tariff walls has so AFFECTED
domestic relations between producers ana
consumers that the German people now are
IN revolt against the oppression OF the
fiscal system. Although German credit
protection with having developed their In
dustries and trade. they also accuse II or
having increased the cost of living to
degree that is becoming unbearable
BY TREDERIc J. KAsxIN.
Tomorrow - The German Advance. ~
xTI--Industrial Development.