Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1929-10-25
American Public Is Being Robbed
Through So-Calied Protective
Tariff Policy OF The Repub-
lican Party.
BY SENATOR WILLARD E. TYDINGs.

The American people can make up their |
minds to an increase In the cost Of living, |
without any increase in their incomes. II
the tariff bill pending before the United |
States Senate becomes law. Quite often. |
although this increase in the cost Of living
results from raising the tariff, 1t Is. never
theless, without justification.
Let us illustrate. Suppose a common
table knife can be manufactured In Ger
many for five cents and that in the United
States 1t costs ten cents to make the same
knife. To protect the American manufac-
turer Of knives tariff Of five cents. per knife,
is necessary. A five cent tariff tax gives
the American knife manufacturer ample
protection. for the German must pay the
freight across the ocean on his knife. plus
five cent tariff plus five cent cost Of
manufacturing it. Hence, the German must
get more than ten cents, per knife to break
even. but for ten cents knife, the Ameri-
can maker will lose nothing.
But, suppose instead of placing five
cent tariff on German knives, the tariff Is
made 10 cents per knife. In this case the
cost Of the German knife in the United
States would be as follows:
Cost Of manufacturing knife in Germany
sos; tariff tax laid on German knife in
America $40; total cost of German knife
Sis.
With the German knife costing is cents
! in the United States. and the American
knife costing only 10 cents to manufacture
the American manufacturer could sell his
knives to the public for II cents and make
A cents profit. per knife. while the German
! manufacturer could not compete.
The 10 cent tax on the German knife is
not protective tax. for it gives the Ameri-
can manufacturer the chance to make 4
cents profit. per knife. at the expense Of
the buying public without any fear Of COM
petition whatsoever All the protection the
American manufacturer needs in the case
of these knives is tariff tax Of S cents pei
knife, for then the German could not sell his
knives, without losing money. for less than
facturer could sell his knives at 10 cents
each without loss. II the American manu-.
facturer sold his knives for 10 1-2 cents
each, he would make half cent profit with
out fear of German competition. and the
American buyer Of the knife is protected
against an unreasonable price,
This illustrates how many industries
come to Washington to secure a tariff not
for protection but tariff so high that the
American people can be charged an exor-
bitant and an unreasonable price for Ameri-
can manufactured goods without fear Of
any competition. The tariff should be just
high enough to give the American manu-
facturer slight advantage. III gives him
an unreasonable advantage, it means an
unreasonable cost to the American people
for any article purchased by them.
During the debate on the Tariff Bill hum
dreds Of examples will be shown where the
Republican Party have written into the
Bill high duties on imports. not for the
protection of American industry. but rates
SO 0lRn tudt Tic hHCtiCdu Cutl
charge the American people what he wishes
and without fear Of competition.
Both parties in their last campaign CON-
mitted themselves to a protective tariff
policy. ;ut all high tariffs are not protec-
tive tariffs Many Of them are simply
schemes TO compel the American consumes
to pay more than reasonable price fol
articles manufactured by American indus
tries. Unless the people realize that they
are the victims Of such policy and protest
against the imposition Of that policy
through their representatives and senators
in Congress. they must make up their
minds that the cost Of living will be in
ceased without any justification whatso-
ever. Articles receiving more protection
than they need. means that higher prices
must be paid for those articles than form
I erly. The American consumer deserves to
be protected from the imposition Of such
unreasonable prices. II the consumer Is
not on the alert. he will shoulder higher
cost of living without any increase In his
income.