The Dickinson press., 1913-04-19
FEATURES Of THE
new TARIFF BILL
Chairman Underwood's ExpIa-
nation Of Measure.
REVENUE THE MAIN THING.

Free List 10 Largely Increased, Meat.
Bread, Sugar, Flour, Salt and Fish
Being Added, With Reduction on
Butter and Eo9s-Sugar to Go on
Free List After Three Years-Few
Changes In Luxuries, and Such
Changes as Are Made Increase Du-
ties-Incomes Of More Than $4,000 to
30 Taxed.
Here Is the explanation Of the new
tariff bill as prepared by Chairman I'm
derwood Of the house ways and mean MS
committee, which framed the measure:
The present condition Of the revenue
legislation Of the United States is the
result Of years Of adherence to the
protective tariff policy. This theory Ii
the result of circumstances and in no
way can be said to bc the choice Of
the people. At the beginning Of the
civil war the United States found it.
self with little other taxation than
that of a low revenue tariff. The un-
fortunate political situation Of the war
times permitted interested persons to
increase and continue high protective
duties, and this system of high pro-
lection has been maintained to the
present time. except from 1894 to 1897,
when the Wilson tariff was in effect.
1909 Revision.
The enactment Of a tariff revision
measure in 1909 was unavoidable DO
litically even from the viewpoint of
high pro~tectionists. The country de-
manded Of the then dominant political
party a modification Of the extreme
tariff policy with which the country
was afflicted, but the expectation of
redress through the act Of 1909 was
blasted, for that measure not only fail
ed to give the desired relief, but made
many conditions even worse. The
rates of duty on some commodities
were even advanced, due largely to re.
~classi1cations by which the real duties
were concealed. 1t is only natural,
therefore, that the deception imposed
on the people through the failure of
the law Of 1909 to give needed relief
has become more and more irritating
to h people as the years have passed
by. This was evidenced by the DO
l1tical results Of the election Of 1910.
by which the Democratic party Sc
cured control of the house of repre-
sentatives. Following this a series Of
tariff bills were passed at the first SEES
sion Of the Sixty-second congress dur
ing the summer Of 1911, which were
passed by congress and presented to
President Taft. only to be vetoed by
him.
Impatient to obey the mandates of
the people. congress during the winter
and spring of 1912 repnsscd these with
other tariff revision measures. but the
tate was the same as at the former ses-
sion, in that they met the prompt veto
Of the executive. Then came the cleo
ton of 1912. which gave the Demo-
cratic party 4 sweeping victory at the
polls and turned over to them the ma
chinery necessary to effect tariff legls-
lation and placed upon them the re-
sp%onsibility of revising the tariff down.
NdIu Ill dCCOl tlullCC WIFI Tile uEXeut
and repeated demands of the public.
The committee has given very careful
consideration during the last two years
to the economic conditions throughout
this and other countries. has studied
every phase Of the tariff as related to
our economic conditions. and the bill
which it now presents to the house is
it's Interpretation Of the responsibilities
placed upon it by the people in the
matter Of revising the present tariff du-
ties and also it's views Of a tariff re-
vised to a basis of legitimate competi-
ton, such as will afford wholesome
influence on our commerce. bring relief
to the people in the matter OF the high
cost Of living and at the same time
work no detriment to properly conduct
I'd manufacturing industries:
Theory Of a Competitive Tariff.
The dividing line between the posi-
tons Of the two great parties on this
question is very clear and easily as
%certained in theory. Where the tariff
rates balance the difference in cost of
production at home and abroad, includ-
ing an allowance for the difference in
freight rates. the tariff must be com
petitive, and from that point down
ward to the lowest tariff that can be
levied will continue to be competitive
to a greater or less extent. Where
competition is not interfered with by
levying the tax above the highest CON-
p~etitive point the profits Of the manu-
facturer are not protected. On the 9TH
err hand, when the duties levied at the
custom house are high enough to allow
the American manufacturer to make a
profit before his competitor can enter
the field, we have invaded the domain
Of the protection of profits. In the
committees judgment the protection of
any profit must of necessity have a
tendency to destroy competition and
create monopoly, whether the profit
protected is reasonable or unreason-
able.