The daily telegram. [volume] (Clarksburg, W. Va.) 1901-1926, 1912-10-30
ocToRER g, lsls.

pAY. ocToBER 90, 1919.
5[oded Again
foll6I ing question and its an
q taken from tariff
PRIMER "a the Baltimore Sun:
EoW does the protective tariff
sllcEease prices?
BY enabling the American manu-
f4ctnrer Of, producer TO charge prac-
esllSe - much more for his product
ne tariff. tax IN addition to the
price u the foreign product .
This mistaken theory mas been
1loded 50 often THAI Il seems ale
NEST superduous to explode it again,
set 50 many confusing and fallacious
tarIf arguments are being put forth
~ Democratic hack writers that an
other puncture OF this favorite one
IS notsout Of place at this time:
one does not have to plunge very
far into the depths Of logic IN order
10 ascertain that It is absolutely inn
pd ible for manufacturers Of prod
nets thar are protected by the tariff
t6zadd the amount OF the tarin rate
10 the selling prices Of their
Products. Suppose, for example, a
certain little article that re-
tafis. IN this country for %
cents costs % cents to be manu-
fsetared in this country and 1S cents
10 be manufactured in England
such 8 cost difference should be
made because It is notorious fact
that labor Is cheaper abroad than 1t
IS IN this country. we shall ma
turally assume that both the Ameri-
can ana the English manufacturer
want 10 make reasonable profit in
tie.eoods they make and sell. SO we
shan add, say, two cents to the cost
81 the article. which would bring
the selling pFfce,of 1t up to Is cents
"a America and 20 cents in England
IN order to Offset or equalize this
cost dfRezenee. we shall, for exam
pie, apply a tariff duty of five cents
on the English article
accortSzng to the Democrats
charge. the American manufacturer
ADDS this ave cents tariff duty to
the selling price OF his own article
That would bring the selling price
81 the American product up to 80
cents. But, this viii not work. Just
as soon as the American manufae-
tUrgr does this, the English manu-
facturer, who can turn out his goods
for 90 cents in England. viii pay his
ave cents tariff duty and invade the
American market with the same arti-
Gle at Is cents. How long could
American manufacturers sell their
price-inhated products at 80 cents
while the English manufacturer Of
fered the same thing at % cents?
Il can be plainly seen now that the
Democratic charge is groundless.
The American MANUFACTURER WIN
have TO meet his English competi-
ton with a selling price of LOWER
than IS cents in order to capture the
business. Hence, in order to pro-
tect American work and Amer
ican wages adequately, it will
be necessary to make the tarin rate
on this article just little bit more
than the .actuaI first cost difference
IN order ID prevent foreign inva-
sion. of this particular market II
both the English and American
manufacturer can oner the same
article at exactly the same price
both wouIdsbe exactly upon the same
plane and there would be no protec-
tion. Of American industry whatever.
THAT is as plain as day. The object
Of the protective. tariT is to create
aud build up a home market, IN
crease and diversity American IN
dnstries in the face OF the cheaper
labor OF foreign countries. A cent
Tor Instance. should be added to the
ta4tn duty. making the English price
OF the article 90 cents in this coun-
try5where if5is Contemplated the ar
ffcle is to De sold The American
manufacturer cannot raise the price
Of his product that extra cent be
cause the minute he does so English
competition sweeps in upon him and
he Is consequently compelled to sell
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