New Ulm review., 1913-04-16
FEATURES Of The
new | TARIFF BILL
Chairman undsrWood's ElpI,.
nation Of Measure.
REVENUE THE NAM TAING.

| REVENUE THE MAIN ThING,
Free List 10 Largely Increased, Meat
Brsad, Sugar, Flour. Salt and Fist
seins Added, With Reduction .,
suttsr and Esss-susar ts Go .,
Free List After Three Ysars-Fs~
Changes In Luxuriss. and suct
chansss 40 Are Made incrsass Du.
tiss-laeen,ss Of More Than $1,000 (,
0s Taxed.
Here is the explanation Of the ne v
tariff bill as prepared by Chairman I'm.
derwood Of the house ways and means
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 tarin policy. This theory i.
the result Of circumstances and in 10
way can be said to be 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. 4 low revenue tari6. The uu-
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 tarir was in effect.
1909 Revision.
The enactment of tariff revision
measure in 1909 was unavoidable po-
litically even from the Viewpoint Of
high protectionists The country de-
manded of the then dominsat political
party 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-
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 the people as the years have passed
by. This was evidenced by the. pO-
litical results of the election of 1910
by which the Democratic party Sc
cured control Of the house Of repre-
Following this u series OF
tariff bills We're passed at the frsfsyesi
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 rcpassed these with
other tariff revision measures. but the
fate was the same as at the former ses-
sion. in that they met the prompt veto
VI the executive. Then came the cleo
ION Ol IJl-, IlttH gave tlc lISIhS-
cratic party Il sweeping victory at the
polls and turned over to them the ma
,hinery necessary to effect tariff legis-
atiou and placed upon them the re-
Sponsibility Of revising the tariff down
ward in accordance with the urgent
and repeated demands OF the public.
The committee has given very careful
during the last two years
10 the economic conditions throughout
this and other countries. has studied
,very phase OF the tariff ~ related to
our economic conditions, and the bill
which it now presents to the house Is
is interpretati ton OF the responsibilities
placed upon it by the people in the
matter OF revising the present tariff du-
lies and also its views OF tarif re-
rised 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 Competitive Tariff.
The. dividing line between the posi-
tons of. tile 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 he competitive
to 4 greater or less extent. Where
competition is not interfered with by
levying the tax above the highest com
petltive point the profits Of the manu-
facturer are not protected. On the 9th
er hand, when the duties levied at the
custom house are high enough to allow
the American manufacturers to make .
profit before his competitor can enter
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