The Caldwell tribune. [volume] (Caldwell, Idaho Territory [Idaho]) 1883-1928, 1915-10-22


Prior to the outbreak of the world
war European countries were indus
trially at an advantage with the Unit
ed States with the respect to the cost
of production. Raw materials gener-
ally ard finished products ready for
export were on lower price levels than
in this country. 1t was on this &C
count that up to theenactment of the
present tariff law there was a domi-
nant demand for tariff designed to
protect the so-called inland industries
of the United States from the Cheap
labor" of Europe. Before the Ameri-
can Civil War prices on this side of
the water were lower than at any pre-
vious date, but with the outbreak of
the conflict between the North and
the South the Morrill, tariff was enact
ed and prices took an upward jump.
Since that time the cost of produc-
ton has been kept high by a success
sion of steadily-increasing tariffs, un
til the top point was reached in the
Payne-Aldrich bill. Just as the
Walker tariff of l846 was the lowest
before the Civil War, so the Under
wood bill was the first step toward
tariff reduction since Appomattox.
Despite the widespread demand for
tariff revision downward. there was
serious opposition to the measure and
it is more than likely that a return of
the Republican party to power would
be followed by revision of tariff
schedules upward.
Another revision, whether upward
or downward, is not the point now
under consideration. With the out
break of the European war. all of the
belligerent countries will, at the con-
e1f iisir ST -neace. find themselves in
the same condition as the United
States in 1865. Fifty years ago there
was a general imitation of prices and
this country was on higher level
than the nations of Europe. When
the present struggle is concluded all
the belligerents will of necessity be-
come high priced countries. Great
Britain, France and Russia will be
staggering under the load of enor-
nous debts and the taxation TO which
they will be subjected will fall upon
industry and will make the cost of
production in those countries higher
than it has been at any time since the
middle ages.
Instead Of the United States requir-
ing protection from the cheap labor
of Europe, Europe will be clamoring
| for protection against the cheap pro-
ducts of the United States. Even be-
| fore the war, there were many classes
of merchandise which could be pro-
duced on this side of the Atlantic for
less money than abroad, and yet, not
| withstanding this condition, the high
tariff was continued as measure OF
protection against competitor which
did not and could not exist.
1t is certain that when the war is
over all Of the belligerent countries
will be compelled to enact high tariffs
as a means of revenue and incidentally
as a measure of protection. This will
turn the tables completely and will
deprive American manufacturers o
their former easy entry into the ku
ropean market.
Up to date, Great Britain, France
and Russia have not resorted to huge
issues of paper money, but have relieC
! upon loans and burdensome taxes a
means of meeting the cost of TIL
conflict So far Germany has intimat
ed the United States in 1862, and re
lied upon great issues of fiat money t
bear the burdens of war without i'm
posing taxes upon the people.
81 When peace is restored, however
these paper issues must cease, ant
then the German people will feel tn
pinch of taxation. Thi situation vii
compel Germany also to adopt hig
taxes and erect tariff wall compare
with which all previous German tarit
3 must seem like free trade.
Obviously, these provisions of taxa
ton which must follow the war wi
produce industrial conditions tn
world over radically different fror
those which have existed before.