The Denison review. [volume] (Denison, Iowa) 1867-current, 1910-08-31

IN N6vxGW.
of primary Importance as of1cially
collected data upon which. future ex-
ecutive action and executive recon-
mendations may be based.
",The corporation tax is a just and
equitable excise measure, which it is
hoped will produce sufficient
amount to prevent deficit and which
incidentally will secure valuable sta
l,tistics and information concerning
many of the corporations of the coun-
| try, and win constitute an important
step toward that degree of publicity
and regulation which the tendency in
corporation enterprises in the last
twenty years has shown to be neces-
sary."
Much Unfair Criticism.
This fairly states the effect Of the
bill. The bill has been criticised for
certain Of its rates and schedules.
Some Of the criticisms are just and
some are wide of the mark and most
unjust.
The truth is that under the old
protective idea the only purpose was
to make the tariff high enough to
protect the home industry. The en-.
cess Of the tariff over the difference in
the cost Of production here and
abroad was net regarded as objection
able because it was supposed that
competition between those who en-
joyed the high protection would keep
the price for the consumer down to-
what was reasonable for the manufac-
turer. The evil Of excessive tariff
rates, however, showed itself In the
temptation Of manufacturers to COM
bine and suppress competition and
then to maintain the prices so as to
take advantage Of the excess Of the
tariff rate over the difference be-
tween the cost Of production abroad
and here. &
The Payne tariff bill is the first bill
passed by the republican party in
which thelnecessity for reducing rates
to avoid this evil has been recog-
nfzed, and it Is therefore a decided
step in the right direction and it
ought to be accepted as such. On the
whole, it was downward revision,
particularly on articles Of necessity
and on raw materials. The actual
figures on the first years operation
of the law demonstrates this. It must
also be remembered that the tariff
rates in the new law on imported
liquors, wines and silks were in
creased substantially over the Ding
ley rates, because these were luxur-
les and it was intended to increase
the revenue.
The charge that the present tariff
Is responsible for the increase in the
prices of necessities Is demonstrably
false, because the high prices, with
very few exceptions, affect articles
In the tariff upon which there was no
Increase in rates or in respect to
which there was substantial reduc-
ton.
Tariff Board.
Perhaps more important than any
one feature of the operative part Of
the tariff law is that section which
enables the executive to appoint q
tariff commission or board to secure
the needed information for the prop
er amendment and perfection Of the
law. The difficulty in fixing the prop
er tariff rates in accord with the prin-
ciple stated in the republican plat
form, is in securing reliable evidence
as to the difference between the cost
OF production at home and the cost
of production abroad. The basis Of
the manufacturer seeking protection
and of the importer opposing 1t weak
ems the weight Of their testimony.
Moreover. when we understand that
the cost Of production differs In one
country abroad from that in. another.
and that it changes from year to year
and from month to month, we must
realize that the precise difference in
cost of production sought for is not
capable of definite entertainment, and
that all that even the most scientific
person can do in his investigation is,
after consideration of many facts
which he learns. to exercise his best
Judgment in reaching a conclusion.
The commission, however. already
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