Dewey County advocate. [volume] (Timber Lake, S.D.) 1910-1913, 1911-12-29

adjusted to the rate Of y cents "a
secured wool. are prohibitcry IN the same
measure that the duty ON secured wool
10 prohibitof:. In general. they are ~
sessed at rates a. high -, or higher
than. the duties paid on the clean content
Of woods actually imported They should
be reduced and 20 adjusted to the rate
on wool a. to bear their proper proportion
to the real rate levied on the actual wool
imports.
Some Duties ProhlbItory.
The duties on many classes Of wool
manufacture are prohfbitory and greatly
in excess Of the difference In cost OF pro-
duction here and abroad. This IL true Of
tops. Of yarns with the exception OF
worsted yarns Of a very high graded. ana
Of low and medium grade cloth OF heavy
weight.
On tops up to 81 cents pound In value.
and on yarns Of 66 cents In value, tne
rate il 100 per cent. with correspondinsly
higher rates for lower values On cheap
and medium grade cloths, the existing
rates frequently run to 150 per cent. ana
on some cheap goods to over ~ per
cent.
On the other hand, the findings show
that the duties which run to such high ana
valorem equivalents are prohibitory, since
the goods are not imported, but that the
by the full amount of duty. On set OF
one yard samples Of 16 English fabrics,
which are completely excluded by the
present tariff rates, 1t was found that the
total foreign value was A1.S4; the duties
which would have been assessed had THESE
fabrics been imported. 1850; the foreign
value plus the amount Of the duty, $llS.4:
or nominal duty Of 1888 per cent In fact.
however. practically Identical fabrics OF
domestic make sold at the same time At
1910. showing an enhanced price over the
foreign market value Of but 81 per cent.
Would Reduce Duties.
Although these duties do not increase
prices Of domestic goods by anything like
their full amount, It Is none the less true
that such prohibitive duties eliminate the
possibility Of foreign competition, even In
time Of scarcity. SO that they form temp
taton to monopoly and conspiracy to con-
troll domestic prices: that they are much
in excess OF the difference in cost OF pro-
duction here and abroad. and that they
should be reduced to q point which &C
cords with the principle.
The findings Of the board show that In
this industry the actual manufacturing
cost. aside from the question Of the price
of materials, Is much higher in this coun-
try than 1t II abroad: that in the making
Of yarn and cloth the domestic wooden
and worsted manufacturer has In general
no advantage In the form Of superior ma
chinery or more efficient labor to Onset
the higher wages paid in this country.
The dnds show that the cost OF turning
wool into yarn in this country - about
double that In tho leading competing
country, and that the cost OF turning yarn
into cloth IL somewhat moro than double.
Under the protective policy great indus
try, involving the welfare Of hundreds OF
Thousands OF people has been established
~ - nd fHDv
In recommending revision and reduce
ton I therefore urge that action be ta-
ken with these facts In mind. to the end
that an important and established INDUS
try may not be jeopardixed.
The tariff board reports that no eQuita-
bic method has been found to levy purely
specific duties on wooden and worsted rad
RIGS. and that, excepting for compensa-
tory duty. the rate must be ad valorem
on such manufacturer. It II important 70
realize. however. that NO nat I'D vaiorem
rate on such fabrics can be made to work
fairly and effectively. Any single rate
which 10 high enough to equalixs the df-
ference in manufacturing cost 1T home
and abroad on highly finished goods IN
volvfng such labor would be prohibttory
on cheaper goods, in which the labor cost
II smaller proportion Of the total value.
Conversely, rate only adequate to equal
Ire this difference on cheaper goods wouio
remove protection from the fne GOODS
manufacture, the Increase in which mas
been one Of the striking features OF the
trade development In recent years.
therefore recommend that In any revision
the Importance Of a graduated scale OF az
valorem duties on cloths be carefully con-
sidered and applied.
Praises Work Of Committee.
venture to say that no legislative
body has ever had presented to 1t moro
complete and exhaustive report than this
on 10 difficult and complicated subject
az the relative costs Of wool and woolens
the world over. It 10 q monument to the
thoroughness, industry, inpartiality and
accuracy Of the men engaged In it, ma
king. they were chosen from both polit-
ical parties, but have allowed no partisan
spirit to prompt or control their inquiries.
They are unanimous in their findings.
feel sure that after the report has been
printed and studied the value OF such
compendium Of exact knowledge In re-
spect to this schedule Of the tariff will
convince all Of the wisdom Of making
such board permanent. In order that
It may treat each schedule Of the tariff
a. It has treated this, and then keep its
bureau Of information up to date with
current changes In the economic world.
It II no part Of the function Of the tar
IN board to propose rates Of duty. Their
function II merely to present findings OF
fact ON which rates Of duty may be fairly
Determined in the, light Of adequate
knowledge In accordance with the eco
nomic policy to be followed. This u what
the present report does.
The findings Of fact by the board show
ample reason for the revision downward
Of schedule K. In accord with the pro-
tective principle. and present the data
a. to relative costs and prices from which
may be determined what rates will fairly
euualise the difference In production costs.
recommend that such revision b. pro-
ceeded with at once.
(gf1nedl WILLIAM II. TAFT.