The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1911-12-20
.RENS|ON FOR
/. !: SCHEDULE < IS
/. URGED BY TAFT
ri
Suggests That Congress
~ Proceed to Reduce the
Rates of Duty.
Continued from First Page.)

Continued from First Page.)
to equalize the difference in cost of
production at home and abroad.
! II further stated that I believed
these Investigations would be of great
value as a basis for accurate legisla-
ton, and that I should from time to
!, time recommend to Congress the re-
vision of certain schedules in accord
aDce with the findings of the Board.
in the last session Of the Sixty-flrst
I Congress a bill creating a permanent
Tariff Board of five members, of whom
not more than three should be Of the
same political party, passed each
House, but failed of enactment be-
cause of slight differences on which
, agreement was not reached before
adjournment. An APPROPRIATION act
provided that the permanent Tariff
Board. IL created by statute. should
report to Congress on Schedule K in
December. 1911.
~ Board of Five Named.
"Therefore. to carry out so far as
, lay within my power the purposes of
6this bill for a permanent Tariff Board,
I appointed in March, 1911, board of
/ Eve, adding two members OF such
party affiliation as would have full
Hnlled the statutory requirement, and
directed them to make a report to me
on Schedule X of the tariff act in De-
cember in this year. ..
~ In my message of August II, 1911, &C.
gcompanying the veto of tie wool bill, 1
said that, in my Judgment. Schedule X
! should be revised and the rates re-
duced. My veto was Lased on the
ground that, since the Tariff Board
would make, in December. a detailed re-
port on wool and WOOL manufactures,
with special reference to the relation
of the existing rates of duties to rela-
tive costs here and abroad, public policy
and fair regard to the interests Of the
producers and The manufacturers On the
one hand and Of the consumers on the
other demanded that legislation should
not be hastily enacted in the absence
OF such intormation; that / was not
myself possessed at that time of ade-
quate knowledge Of the facts to deter
mine whether or not the proposed act
was in accord with my pledge to sup
i port fair and reasonable protective
policy; that such legislation might prove
only temporary and inflict upon a
great Industry the evils Of continued un-
Il now herewith submit a report of
| the Tariff Board on Schedule X. The
+ board Is unanimous in it's findings. On
! the basis of these findings ! now recon-
| mend that the Congress proceed to q
consideration Of this schedule with q
| view to its revision and q general re-
! duction of its rates.
+ Tends to Exclusion.
T.. "The report shows that the presen,
! method Of assessing the duty on raw
wool-this Is. by specific rate on the
! grease pound (thar is, unscoured)-
/ operates to exclude woods of high
6 shrinkage in securing but fine quality
7 from the American market and there.
by lessons the range Of woods availa bic
to the domestic manufacturer; that the
duty on secured wool Of 80 cents pei
pound is prohibitory and operates t:
exclude the importation Of clean, low
priced foreign woods Of inferior grades
which are nevertheless valuable mate
rial for manufacturing, and which can
not be imported in the grease because
of their heavy shrinkage. Such wcols
If imported, might be used to displact
! the cheap substitutes now in use.
ITO make the preceding paragraph
little palmer, take the instance of
ported under the present duty, whicl
lsis II cents a pound. That would max
tothe duty on the hundred pounds 81
The understandable part of the woo
wool of this hundred pounds ate
securing. II the wool shrinks 30 pc
cent, as some woods do, then the dut
IN such a case would amount to $11 o.
twenty pounds of secured wool. This
Of course, would be prohibitory. !
the wool shrinks only SO per cent
would be $l1 on fifty pounds Of WOO
and this Is near to the average Of tn
great bulk of woods that are importe
from Australia, which Is the princips
source of our imported wool.
! e Ad Valorum Substitute.
y These Determinations could be over
come by assessing a duty in ad valoreI
terms, but this method is open to tn
objection, first, that 1t increases &C
ministrative difficulties and tends to d.
crease revenue through undervalua
ton; and, second, that as prices at
vance, the ad valorem rate increase
the duty per pound at the time whe
the consumer most needs relief an
the producer can best stand con
petition; while If prices decline tn
duty Is decreased at the time whe
the consumer Is least burdened by tn
price and the producer most needs Pre-
lection.
assess a specific duty on grease wo
\ in terms of its secured content. TIL
obviates the chief evil Of the presel
system, namely, the discrimination d,
to different shrinkages, and theret
tends greatly to equalize the duty. tt
board reports that this method
feasible in practice and could be a.
ministered without great expense. tt