The daily Gate City. [volume] (Keokuk, Iowa) 1855-1916, 1911-12-20
PAGE TWO

der the present duty, which is IL cents
pound. That would mike the duty
on the hundred pounds Sill. The mer-
charitable part of the wool thus inn
ported is the weight of this
hundred pounds after securing.
If the wool shrinks so per cent, as
some woods do. then the duty in such
case would amount to Sill on 20
hounds of secured wool. This. OF
course. would be prohibitory. II the
wool shrinks only 80 per cent 1t would
he s11 on fifty pounds Of wool and this
is near to the average of the great
bulk of woods that are imported from
Australia, which is the principal
source of our imported wool.
These determinations could be oy-
ercome by assessing duty IN al va
loren terms. but this method is open
to the objection first, that it increases
administrative difficulties and tends
to decrease revenue through underval-
nation, and second, that as prices adj
vance the ad volerum rate increases
the d1.y per pound at the time When
the consumer most needs relief and
the producer can best stand competl-
ton; while if prices decline the DUTY
is decreased at the time when the
consumer is least burdened by the
price and the producer most needs
protection.
another method OF meeting the DIFF
ficulty of taxing the grease pound is
to assess a specific duty on grease
woods into terms of its secured con-
tent. This obyiates the chief evil Of
the present system, namely the dis
elimination due to different shrink
ages and thereby tends greatly to
equalize the duty. The board reports
that this method Is feasible in prac-
tice and could be administered with
out great expense. The secured con-
tents Of the wool Is the basis on which
users OF wool make their calculations.
and a duty Of this kind would fit the
usages of the trade. One effect OF
this method OF assessment would be
that, regardless OF the rate of duty,
there would be an increase in the sup
ply and variety OF wool by making
available to the American market
woods of both low and fine quality
now excluded.
"The report shows in detail the DIFF
ficulties involved In attempting to
state IN categorical terms the cost of
wool production and the great differ
ences in cost as between different
regions AND different types of wool 1t
is found, however, that, taking all va
rieties into account, the average cost
of production for the whole American
output Is higher than the cost in the
chief competing country by an amount
somewhat less than the present duty.
The report shows that the duties
on Noiis. wool wastes and shoddy,
which are adjusted to the rate OF 80
cents on secured wool. are prohibitory
in the same measure that the duty on
secured wool is prohibitory. In gem
eraI. they are assessed at rates as
iish as. or higher than the duties
paid on the clean contents of woods
actually imported They should be
reduced AMI so adjusted to the rate
on wool as 10 bear their proper pro-
portion 10 rhe real rate levied on the
actual wool imports.
The duties on many classes of
wool manufacture are prohibitory and
greatly in excess of the difference in
cost of production here and abroad.
This is true OF tops, Of yarns with
the exception of worsted yarns of a
very high grade) and of low and medi
um grade cloth of heavy weights.
"on tops UP to 80 cents a pound II
value, and on yarns Of 65 cents In val
ne, the rate is 100 per cent, with cor
respondingly higher rates for Lowell
values. On cheap and medium grad,
cloth, the existing rates of the yea
run to $50 per cent, and on some chea)
goods to over 200 per cent. This Ii
largely due TO that part of the dut,
which is levied ostensibly to compen
safe the manufacturer for the enhanc
ed lost of h.s raw material due to the
duty ON wool. AS matter Of fact
this compensatory duty, for numerous
classes Of goods, is much in excess Of
the amount needed for strict compen
saticn.
"On the other hand the findings
show that the duties which run tc
such nigh ad valorem equivalents are
prohibitory, since the goods are no,
imported, but that the prices of do
nestle fabrics are not raised by the
full amount of duty. On a set OF one
yard samples of is English fabrics
which are completely excluded by the
present tariff rates, 1t was found thai
the total foreign value was s41.84. tbe
duties which would have been assess
ed had these fabrics been imported
1890 the foreign value plus the
amount of the duty s11S.74. or a nom,
nal duty of 1873 per cent In fact
however, practically indentical fabric,
of domestic make sold at the sam,
time at s69.75, showing an enhanced
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