The Washington times., 1913-04-22
MAJORITY TARIFF
REPORT IS FILED
Democratic Members of Ways and Means Committee Denonce
Theory of Protection and Blame Republican Payne Law
for High Cost of Living

The fourteen Democratic members of
the Ways and Means Committee filed
with the House today the majority re-
port on the Underwood tariff bill.
The report riddles the theory of pro-
lection, declaring that il has fostered
monopoly and contributed to the cost
of living: it sounds the keynote of a
new fiscal system: asserts that com
petitive tariff is the panacea for pres
ent ills, and adds that under Republican
protection. mills and factories are now
being conducted upon an unscientific
basis. using old machinery which should
go to the scrap heap, and depending
upon a tariff wall TO protect them from
modern competition.
Much of the report is devoted to an
analysis OF the income tax. and the
Democratic document is. on the whole,
long discussion OF tarin rates past
and present the high cost of living. the
growth of trusts, and the dividing lines
between the Republican and Democratic
parties.
Payne Bill Is Denounced.
, Hot shot is fired at the Republicans
: in the Democrats report. The Payne
Aldrich bill. although not SO specially
designated b. name, is denounced in
the report in causuc terms.
The Democrats give the following con-
struction to the tariff revision pledge
of the Baltimore platform:
We believe this pledge contains two
essential ideas-the establishment of
,, duties designed primarily t. produce
revenue without thought Of protection.
and the attainment of this end by leg
islation that will not injure or destroy
legitimate industry"
The present high tariff policy, the re-
port declares. in no way represents
the choice of the people" Pledges to
reduce excessive protection forced by
the civil war, it is charged, have never
been redeemed.
Tariff taxation was neevr returned to
the ante bellum basis" the Democrats
assert. Interested persons have sue
abnormally high level. The tariff situa-
ton has gradually become intolerable.
Old rates. even IL at first defensible.
had become obsolete"
Figures On Living Cost.
Scoring the Payne-Aldrich law. the
Democratic tariff trainers declare:
Expectation of redress was blasted
by the tariff act of 1909 This meas
ure, IL anything, made conditions
worse. 1t brought no real reduction
and resulted in some advances, due
largely to reclassifcations which con-
cealed the real rates.
There are deplorable conditions in
the present economic system, in many
instances directly assignable to the
tariff. This could not be otherwise in
view of the long-continued high pro-
lection and the peculiar alliance that
has long existed between the inter-
ests profiting by the unreasonable
rates and the political party imposing
such rates"
Detailed statistics upon the increas-
ed cost Of living are given in the re-
port 1t is declared that all products
have increased 46-I per cent since
1897. Specific increases over 1897 are
given as follows: Farm products, 9S.2
per cent; food. 4s.7 per cent; clothing.
35.s; metals and implements, 48.2, and
house furnishings 24.2. The highest
increase is stated to be lard, with 1S4
per cent, and mess pork, 122 per cent.
the he ero5ective system 81 is Evidenced with
list of several hundred corporations,
with billions Of capital. The protective
system is also charged with causing too
rapid depletion Of natural resources.
Estimate Deficit at $6s,7eo,ooo.
The Democrats Of the Ways and
Means Committee estimate that the re-
ceipts of the Government for the first
fiscal year folio wing the enactment OF
Sos, 79O, 600 less than the disbursements.
This is partly attributable to the rapid
ly mounting appropriations OF the Govern
ment- To meet this prospective deficit
the income tax has been framed, and it
is estimated that the revenue from this
tax will be SO, 125. 900.
According to the committees estimates
the customs revenues from the Under
wood bill will be So .S96, 900 less than the
customs receipts from the Payne law
for 1912.
. The income tax, says the committees
report furnishes an easily operated,
easily adjusted method OF collecting
funds to operate the Government and
possesses the virtue which a tariff sys-
TEN does not possess, Of being raised
and lowered quickly to meet new rev.
erue necessities without proving an en-
barrassment or disturbance to business.
1T is believed that a budget or other
effective system" the report continues.
"by which Congress may be able closely
to calculate and determine In advance
Forthcoming expenditures, will soon be
devised, in which event IL should be
easy to maintain a close balance be-
tween expenditures and revenues. sucn