SENATE.] The Tariff. [JAN. 30, 1832. absolute upon those matters on which they are designed discontents of any portion of my fellow-citizens. I conto act, as such powers can be. sider the nullifying power claimed by a State, pernicious I am aware that, at times, States have attempted to put at any time, and any where. And, sir, allow me to add, on airs, and set up their own against federal opinions. that the effect of such doctrine, with the precepts and But they have always been in the wrong, and were com- examples of South Carolina, are, to my mind, indeed, pelled to retract. Virginia, in her famous resolutions most pernicious. Had these complaints, and the remedy, against the alien and sedition acts, as they were called, come from some new State, scarcely instructed yet in the was supposed to advance the doctrine that a State could principles of our confederated republic, we might have annul a law of Congress, on the ground that, in the opi- ascribed them to rashness, or want of instruction, and nion of the State, it was unconstitutional. But, by recent treated them "as the capricious squalls of a child, who explanation, it is believed Virginia did not intend to go so don't know whether it is aggrieved or not." But coming far. But be that as it may, she, in about ten years after- from a State always and still distinguished, as well for her wards, disavowed the principle entirely. It was at the intelligence and patriotism, as for her politeness and urtime Pennsylvania was disposed to measure her strength banity, the tendency and effect is to be deprecated in with that of the United States, in Olmstead's case. It proportion to the high source whence the cause proceeds: seems the Legislature had ordered out the militia to resist for if these things are found in the green tree, what may the marshal in the execution of a precept, issued under be found in the dry? If the golden vessels of our politithe authority of the United States; and, on the pretext cal sanctuary are thus marred, what is to become of the that the decision of the court was wrong, General Bright earthen pitchers? If the sturdy oak thus bends its majes marched this army against the marshal, who had nothing tic branches to the blast, how is it to fare with the hyssop but his precept to defend him. He, nevertheless, in the upon the wall? If, in fine, South Carolina can inculcate presence of this hostile force, executed his precept, and these precepts, in the spirit of patriotism, what may we the General marched his army "back again." It was on not expect of others in the spirit of faction? this occasion that Pennsylvania applied to the other States I now quit the discussion of the constitutional question, for an amendment of the constitution, to establish some which has detained me much longer than I intended, and other tribunal to determine conflicting claims of jurisdic-inquire how the Federal Government, in its operations, tion between a State and the Federal Government. Then failed to secure to the people the great objects anticipated Virginia, with great unanimity, answered that the Su- and intended. Is the picture of the distress and ruin of preme Court was the most suitable tribunal, and that the the South, as drawn by the Senator from South Carolina, constitution, in this respect, is very well as it is. real? And has this desolation come upon them so sudAt the times of the embargo and war, my own State, den? If so, I say with Patrick Henry, "overturn the and some others, urged upon Congress their nullifying Government." In the language of the declaration of indoctrines. I have some reason to remember it: although dependence, it having failed to secure to the people it was scarcely safe to attempt to resist the infatuation," life, liberty, and the pursuit of happiness," it is your yet, at every hazard, I condemned it as a usurpation. right to alter and entirely abolish it. But remember, the And, sir, I will enforce the same objections and argu- moment you take this ground, you are, as the States were ments to all who maintain the same doctrines, at any time, who made that declaration, in a positive revolution, and and in any section of the Union. These, sir, were my out of the pale of the constitution. sentiments then. [Here Mr. H. read a passage from his But sir, it seems to me that the evils which we have own speech in the Senate of Massachusetts, in 1814.] heard described with such feeling and touching eloquence, These are my sentiments now. Then, I was sustained must be either imaginary or greatly exaggerated. In and encouraged in these doctrines by many members of 1824, in discussing the subject of the tariff, that Senator Congress whom I now see around me. But "tempora thus describes the then condition of the people of the mutantur, et mutamur in illis," and what was "moral United States: treason" then, may be patriotism now. Have they all apostatized-all gone and left me? No, I see one. It is a consolation--I am not left entirely alone. But I will quit this, which may savor of egotism, and give you something far better. "Frederick the Great could make his subjects so prosperous, that every family should enjoy on the Sabbath day the luxury of a meat dinner. All classes of our peo ple are supplied with food, not, as in many parts of Europe, a single kind, and of insufficient quantity, but in a Patrick Henry, in his address to the people of Char- great variety, and in vast abundance--they have conve lotte, speaking of the Virginia resolutions, remarked that nient dwellings, sufficient fuel, warm and comfortable "the State had quitted the sphere in which the constitu- clothing, and these blessings are possessed to an extent tion had placed her, and, in daring to pronounce upon which leaves no room for complaint in any part of the federal laws, had gone out of her jurisdiction in a manner country. We possess, too, the means of educating our not warranted by any authority, and in the highest degree children." alarming to every considerate man; that such opposition, on Now, in little more than seven short years, they, from the part of Virginia, to the acts of the General Government, this high eminence, this summit of human happiness, are must beget their enforcement by military power; that this plunged into the deepest and darkest abyss of misery and would probably produce civil war; civil war, foreign alli-despair. In looking at the population of the cotton-growances; and that foreign alliances must necessarily end in ing States, viz. South Carolina, Georgia, Tennessee, Alasubjugation to the Powers called in." bama, Mississippi, and Louisiana, I find that, in 1820, it "Congress were as much our representatives as the was 1,622,889, and in 1830, 2,371,748, giving an increase Assembly, and had as good a right to our confidence. He in ten years of 748,899, or nearly fifty per cent.; and, had seen, with regret, the unlimited power over the purse while allowing a proportionate gain upon the increase for and sword consigned to the General Government; but he the next ten years, it will double in twenty years. Now, had been overruled, and it was now necessary to submit whether the means of subsistence, the comforts of life, to the constitutional exercise of that power. If," said precede or follow an increase of population, it is certain he, "I am asked what is to be done, when a people feel that one always treads very closely on the heels of the themselves intolerably oppressed, my answer is ready-other. If this then is to be relied on, here is an indicaoverturn the Government. But do not, I beseech you, tion of prosperity unexampled in the history of man. carry matters to this length without provocation."- Further: the great staple, the chief industry of these Wirt's P. H. 374-5. people, is cotton planting. Let us see the result of these Sir, I impute no improper motives to the complaints or products at two given periods, 1821 and 1830: [SENATE. JAN. 30, 1832.] 1821. 1830. Cotton, lbs. 124,993,404 290,314,937 Value, $20,157,484 $29,674,883 The Tariff. Gain. the will of a "sovereign State!" Are you against it? 165,318,532 Read my letter to the Charleston dinner eaters. Are you $9,517,399 against the bank? Read my first message. Are you for it? Read my last. And, to come to the subject directly By these results we see a population doubling in twenty before us, are you for or against a protective tariff? On years, increasing the export of its great staple one-half in that subject I am this, that, or nothing--precisely as you value, and nearly three-fifths in quantity, increasing the please, gentlemen! Now, with all these blessings pouring home consumption of the same article at least one-half in in upon you like a torrent, will you go away? No, stay the same period, and furnishing in it more than half of all and enjoy this jubilee! What a delightful variety! Are the domestic exports of the United States; and yet within you not fond of variety? If you are, you never can expect the last seven years fallen into the region of despair. Sir, to find a greater than under this nondescript administration. if this is so, it is a paradox that would confound and para- Sir, the effect of the objections to the protective system lyze every political economist and statesman who ever are the same, whether they be to its expediency or conSee what they were in 1824-a true picture, I stitutionality, viz. to defeat the design of the constitution. admit. See what they now are described to be--the most The proposition of the Senator from South Carolina is, appalling picture of desolation I ever witnessed. Ossian that restriction should never be resorted to, but for the himself could not have surpassed it. "The stream is re-purpose of coercing other nations to abandon their removed from its place by the falling of the walls, the this-strictive systems on us. wrote. tle shakes there its lonely head, the moss whistles in the Now, the exception amounts, in practice, to nothing. wind, the fox peeps out of the window, and the rank Free trade is your avowed policy, and you only resort to grass of the wall waves round his head." restriction as a measure coercive. This is saying at once One-sixth of the population, doubled in twenty years, to other nations, "we will force you, if we can, to quit nearly doubling the value of its products in ten, and your restrictive measures upon our commerce; but free furnishing, in a single article, more than half your domes- trade is our policy, and if you will not yield, we must.' tic exports; and with all these indications of prosperity, Like the case of two men, who met in a very narrow way; you witness discontent, complaint, and lamentations; the one called out to the other, "turn out, and let me tariff must be abolished altogether, and then a jubilee! pass;" the other believing, perhaps, that he had an equal The gentleman from South Carolina [Mr. HAYNE] wants right to the road, disregarded the command, and remained a jubilee! What! another, and so soon, too? Sir, the one leisurely in his carriage. The first called out, "sir, if you which you have will not expire, at soonest, until the 4th do not turn out and let me pass, I will—” “And pray, sir, of March, 1833; and now you would have another on the what will you do?” "Why, sir, if you do not turn out back of this! The tribes of Israel (and they were a dis- and let me pass you, I will-turn out and let you pass contented set) were satisfied with one year in fifty. Then me." The proposition, therefore, of the Senator from all debts were cancelled, all prisoners released, and those South Carolina, thus stripped of its useless and inoperawho had been in any way deprived of their lands had them tive exception, is nothing more nor less than a preference restored. The poor Indians would, I think, be satisfied of a passive to an active commerce. It is emphatically with even such a jubilee. But, on the 4th of March, 1829, Chinese. If other nations make it a part of their peryou blew the trumpet, and the jubilee was announced for manent policy to encumber our trade, we are to submit. four years at least, and I am sure more and greater bless-The whole freight and capital engaged is to be foreign, ings were anticipated than the Israelites ever enjoyed in and we are to become the passive sellers and buyers at all their jubilees. Very much was promised, and very home. I see, sir, we have stronger indications still that the much too was realized. Editors, postmasters, and con- Chinese policy is gradually gaining ground. Our late tractors, were to have offices-and it was so. Friends minister to England, in his miserable "arrangement" in were to be rewarded, and enemies punished-and it was regard to the colonial trade, after having given to British so with a vengeance; and even friends were massacred, tonnage a preference alike injurious and disgraceful to us, who were a stumbling-block in the road to ambition. Re-attempts an apology, by saying that it will always be for form was to be thorough, and it is so: so thorough, that our benefit for other nations to export our foreign produce; the President is now engaged, most of his time, in re- that is, that they should have a preference. And if a preforming his own reformation! The bank was to be ference in the exportation of our foreign, why not in our doabolished, and a new one established, based on the public mestic production? Take the Senator's and the minister's revenues; and, as there is so large a surplus of these, all proposition together, and there will be very little ground were to come and have what money they would! I mean to complain that "our tonnage is diminished." all the friends of the administration; and it is to be so; But it is contended that protection keeps down foreign that is, if the question can be postponed until after the next competition, and enhances the price to the consumer. election! And, in addition to these, you have enjoyed, Now, whether the impost falls on the consumer or proand are still enjoying, many things which were not pro- ducer, or is divided between them, depends upon the demised. The President has done what no other man ever mand. If the producer is much more necessitated to sell did or can do; he has, as it were, annihilated space, and than the consumer to buy, the impost falls on the first; if an American minister is near to the court to which he is the reverse, it falls on the last; if the necessity is equal, appointed so long as he can get no further off. He has, it is divided between both. Diminish the number of promoreover, invented a suit of politics, fit for any size, or ducers, and you destroy the competition in the production. any form! Are you a democrat? I am the father of the Diminish the number of consumers, and you effect the democratic party. Are you for amalgamation? See my same in the consumption. The Senator tells us that a coat first cabinet--poor fellows! Are you federalists? See may be purchased cheaper in Canada than in the United my last-four to one. The federalists had been so long States. Be it so; and what would be the result, should neglected, that I was determined to make up for lost time! you withdraw your protection from your own woollens? Are you against appointing members of Congress to office? Should it suppress the American fabric, the British manuSee my precepts. Are you for it? See my practices. facturer would be almost without competition. Are you against internal improvements? See my Mays- could furnish the market, and establish the price. Take Are you for them? See an act of the same a simple illustration. In a country village there are day, embracing the same principles: "Approved, Andrew twenty consumers of a single manufacture, and two proJackson." Are you for nullification? I had no power ducers of the article. While these rival artists remain, (do you see) to execute a law, nor even a treaty, against each would attempt to excel the other, and the purchasers ville veto. He then SENATE.] The Tariff. [JAN. 30, 1832. would all profit by the competition. Let one of the two Commerce, from the first, was indebted to protection be withdrawn, and I might put the question to any one for its existence and its growth. "The Hanseatic league" who hears me-would not the whole twenty suffer by was formed and sustained for the defence of commerce being left to the mercy of a single producer, who might, against the rovers, (advocates of free trade,) who made with impunity, demand his own price? Further: suppose, themselves a little too free with the legitimate enterprises in the same village, twenty producers of the raw material of merchants. Our non-intercourse, non-importation, and should furnish these two manufactures. On the withdrawal embargo laws were restrictions upon the freedom which of one, would not these twenty equally suffer with the was practised with it by the British orders and French consumers? In the first case, they might sell to one of decrees; and our navy has very lately operated as a rethe two rivals; now, they are at the mercy of the one with-striction upon those associated gentlemen in the West Inout a rival. Now, if Great Britain were our sole manu- dia seas, vulgarly denominated pirates. facturer, and we were the consumers of her products, Adam Smith and John Baptiste Say wrote for Europe, and the producers to her of the raw material, why would not as it was, and, like all others, in opposing the abuse of a the producers of this raw material, and the consumers of system, they have become adversaries of the system itself; the manufactured article, be as much in her power as in as men, by seeing religion and liberty perverted, have bethe example cited? come infidels and tyrants. Mr. Say observes, "that there But, you will answer, withdraw protection, and fo- is, perhaps, not a nation in Europe where a man is free to reign manufactures will struggle for our market; the com- dispose of his industry and capital in what manner he petition we lose at home will be supplied abroad. But pleases. In most places he cannot even change his ocwhere? We must take the commercial world as it is, and cupation, or even his place of residence, at pleasure." then we find Great Britain capable of monopolizing our But even here, he says that Smith's rule, that "every whole market. She can break down every other foreign one is the best judge how to employ his own capital and competition. industry," admits of many important exceptions; and If you calculate upon relief from this, by supposing admits that encouragement is proper whenever the "usual that her manufacturers will so compete with each other, application of the power of capital is contemplated with each striving for the preference in our market, you have distrust or disdain.” This principle of Mr. Say is illus forgotten her whole policy. You would find combina-trated by the doubt and prejudices which have at different tion and monopoly, instead of competition and rivalry; times been felt or entertained in regard to what are now and we should be made the sport of her capitalists, and, in our most important products. I will give you an instance effect, be recolonized. But the Senator admits, nay, in- in the silk and cotton. sists, that to diminish foreign competition, is to enhance SILK. Sully's objections to Henry IV, against the prothe price; that is undoubtedly the effect, unless there is duction of silk. "It is true her (France's) climate denies a corresponding increase to the home competition. Make her silk-the spring begins too late, and an excessive your protecting duties prohibitory, and you would un-moisture almost always prevails; and this inconvenience, doubtedly burden consumption, until the competition of which is absolutely irremediable, affects not only the silk producers should be greater than that of the consumers. worms, which, on this account, are hatched with great But it is a matter of fact, the foreign importation is not difficulty, but likewise the mulberry trees that these indiminished, but is increased, and regularly increasing. sects feed upon, for which a mild and temperate air is Here, then, your tariff encourages the domestic manufac- necessary in the season wherein they put forth their ture, without diminishing the consumption of the foreign. leaves." There is, therefore, a threefold competition-the foreign In 1590, less than two centuries and a half ago, this was with the domestic producers, and the domestic with each the opinion of one, of the greatest statesmen of the age. other; keeping your own manufactures to their good be- But Henry would not be dissuaded, and now France prohavior, and giving the greatest stimulus possible to pro- duces annually more than all Europe besides; and the duction. But if to diminish the foreign competition United States has grown, in that time, to 15,000,000, and enhances the price, much more, therefore, would a diminu- has imported 6,599,007 dollars--3,634,839 dollars of which tion of the domestic consumption of the domestic pro- is the product of this same France.* ducts, being always far greater than that of the foreign. COTTON. In 1788, Richard Leake, Esq., of Georgia, thus It seems to me, therefore, very clear that the present low writes to Thomas Proctor, Esq., of Philadelphia: "I have prices are accounted for in the competition of production, been this year an adventurer, (and the first that has atencouraged by the protecting system. But, let us have tempted it on a large scale,) in introducing a new staple free trade-free trade. Now, sir, this notion of free trade in the planting interest of this State-the article of cotton. is an entire fallacy. Commerce every where begun by Several here, as well as in Carolina, have followed me, protection, has continued by protection, and is still main- and tried the experiment, and it is likely to answer our tained by protection. It is not in the nature of man that most sanguine expectations; samples of which I beg leave it should be otherwise. It is the very "politics of na- to send, and request you will lay them before the Philature" which the Senator desires. Should every commercial delphia Society for the Encouragement of Manufactures, nation now spring into existence, organized into communi- that the quality may be inspected into. ties as they now are, they would, from the very nature of about five thousand pounds in the seed, from about eight things, resort to the protecting system. Where they are acres of land, and next year I intend to plant fifty or one disposed to a perfect reciprocity, they would differ at hundred acres, if suitable encouragement is given. once in defining it. Suppose all men honestly disposed to The principal difficulty that arises to us is, the clearing do justice to each, still law and civil government would it from the seed, which I am told they do with great dex. be just as necessary as they now are: for they would never terity in Philadelphia, with gins or machines made for the agree what was justice. Suppose a solitary on a desolate purpose," &c. He then requests his friend to purchase, and island: he raises his bread, and makes his clothing, and send to him, one of those machines, and adds, "I have not the surplus of his labor is worth nothing. Another, the smallest doubt but that this State will be able to fura manufacturer of clothing, is cast upon the same island, and bread is exchanged for clothing, and here commences what is termed "exchangeable value." But the moment the manufacturer concludes to raise his own bread also, then the other must make his own clothes again, or go naked. Here reciprocity ceases, and protection begins. I shall raise nish all that will be necessary for the manufactories in the Northern States"-and concludes with his conviction of its magnitude to the manufacturing interests of America." Mr. Hamilton's report: "The extensive cultivation of *This is for 1830 JAN. 30, 1832.] The Tariff. [SENATE. cotton can, perhaps, hardly be expected, but from the prises--intrinsic difficulties incident to first essays against previous establishment of the domestic manufactories of foreign competitors, with their skill and the protection the article. He proposes to remove the duty of three cents which they experience." per pound from the foreign article." The Senator from South Carolina has spoken of the free trade system, and principles of Washington and Hamilton. I confess I was not a little surprised; for these are the last authorities to sustain the free trade doctrines of the present day. Washington's opinions and practices I have already cited; and should scarcely think that any one who had read Hamilton's celebrated report on manufactures, could possibly imagine that he and the Senator were both on the same side of the question. They would readily admit that the Senator made a very good argument against the protective system, and the Secretary a very good one for it. But surely our understanding must be obtuse, indeed, to imagine possibly that both were aiming at the same object. "He answers the objection to the use of foreign labor and capital. He speaks of the funded debt as a species of capital." But query of this.--Ib. 160-61-62-63. "He then enumerates several manufactures in which we have been successful, viz. of skins, iron, wood, flax and hemp, bricks, tiles, and potter's ware, spirits and malt liquors, paper, hats, refined sugars, oils of animals and seeds, soap and candles, copper, brass, and tin wares, carriages, snuff and smoking tobacco, starch and hair powder, painter's colors and gunpowder."-Ib. 190. "The theory, that to abridge foreign competition increases the price of the articles, does not correspond with the fact." "But if such were the effect at first, it is universally true that the contrary is the ultimate effect with every successful manufacture." "Thus, in a national view, a temporary enhancement of price must always be compensated by a permanent reduction of it.”—sb. "There seems to be a moral certainty that the trade of a country which is both manufacturing and agricultural, will be more lucrative and prosperous than that of a country which is merely agricultural.” Mr. HAYNE here rose to correct Mr. HOLMES, and said he had not quoted Alexander Hamilton as an authority in favor of the doctrines of free trade. What he had said was, that Alexander Hamilton's protecting system was, essentially, a system of free trade, inasmuch as he did not propose to impose duties beyond 73 per cent., an amount far below what the most zealous advocate for free trade now would be willing to submit to, as necessary for revenue.] I have already given the reason why the duties were then so low; but I will recur to the Secretary himself for proof of his principles. I cannot tax the patience of the Senate to read his report, which is very voluminous, as "The extensive cultivation of cotton can, perhaps, well as very able; but I have taken a synopsis of it, con-hardly be expected, but from the previous establishment taining the substance, which I will present to their consi- of domestic manufactures of the article."--lb. 193. deration. In answer to a resolution of the House of Representatives, 15th June, 1790, Mr. Hamilton, Secretary of the Treasury, made his report on manufactures. "The essential of national supply--the means of subsistence, habitation, clothing, and defence, every nation should possess within itself."—Ib. "To accomplish the object, he recommends protecting duties, which have been sanctioned by the laws of the United States in a variety of instances. Prohibitions of the exportation of materials of manufactures--pecuniary "The embarrassments which have obstructed the pro-bounties. The right to do this has been questioned, but gress of our external trade, have led to serious reflections without foundation."--Ib. 195. on the necessity of enlarging the sphere of domestic com- "Premiums of a nature allied to bounties."--Ib. merce."-5 Niles, 153. Exemption of the materials of manufactures from "He maintains that land is, itself, stock or capital, ad-duty."-1b. vanced by its owner to the occupier or tenant."—Ib. 155. "Drawbacks of the duty on the material when manuSpeaking of the productiveness of manufactures and factured; judicious regulations for the inspection of the agriculture "the maintenance of two citizens instead of manufactured article; the facility of pecuniary remittances; one is going on, and the State has two members instead of bank paper, and the facilitating of the transportation of cne, and they, together, consume twice the value of what is materials by roads and canals." produced from the land." "The division of labor and its effects--greater skill and dexterity--economy of time, and an extension of the use of machinery." "Additional employment of classes of the community, not particularly or necessarily engaged--women and children."-Ib. 157. "Emigration from foreign countries--greater scope for the diversity of talents, and a more ample field for enterprise." "The uncertainty of the foreign demand for the products of agriculture should induce us to substitute a home market."-Ib. 159. "The States."--Ib. 159-60. "It were to be wished that there was no doubt of the power of the National Government to lend its direct aid to a comprehensive plan of internal improvements.”—Ib. I have before me a volume of Chaptal, who, more than twenty-five years after, expresses the same sentiment. He is the great practical writer on political economy, and one whose opinions are now followed exclusively in France. It is in the original French, but I believe I can render it correctly into English. arguments against the encouragement of manufactures would have great force, if the perfect liberty to industry and commerce were the prevailing system of nations. But the regulations of several countries with which "If Government does not afford to an important branch we have the most extensive intercourse, throw serious ob- of industry which is undertaken, the advantages necessary structions in the way of the principal staples of the United to indemnify the undertaker for sacrifices and losses which are inevitable in a first establishment, what prudent man would engage his fortune in enterprises so hazardous? In this case Government should endeavor to reconcile two kinds of interests. That of the manufacturer, who cannot Against the hypothesis that manufactures, unprotected, risk his capital without a guaranty that the industry with grow up as fast as the interest of the community re- which he would enrich his country should not be sacrificquires, he replies: "The strong influence of habit, the ed to that of foreigners; and that of the consumer, who spirit of emulation, the fear of success in untried enter- ought not to be left to the mercy of the manufacturer for "It is no small consolation, that the measures which restricted our trade have accelerated our internal improve. ments."-Ib. 160. VOL. VIII.-14 SENATE.] The Tariff. [JAN. 30, 1832. the price of an article consecrated by use. This legisla- glass, and crystal of foreign manufacture, were also strictly tion, applicable to every kind of industry, forms a guaranty prohibited. Those who carried on no trade were perfor the manufacturer who engages his fortune in an enter-mitted, upon obtaining a special license, to import small prise; it excites emulation, multiplies establishments of quantities of foreign goods for their own use only; but, the same nature, and establishes very soon a competition that the enjoyers of luxuries might be obliged to contriwhich is to the entire advantage of the consumer. bute to the general utility, they were to pay a duty of "Without doubt, in the first moments, the consumer above thirty per cent. on the value, to be applied for the might be injured; but it is a light sacrifice which he makes encouragement of the national manufacture, and upon no for his country, which opens a new source of riches; and account to be remitted to any person, of whatever rank or the competition which is induced in the fabrication imme-quality. diately lowers the price to what it ought to be. We have "It was said that above a hundred looms in Spitalfields, seen a very recent proof of this in the cottons, the salts, in the gauze branch only, were stopped by the counteralum, light draperies, and most of the articles of cutlery.manding orders sent over in consequence of these decrees." As the immutable principles of nature will not bend to The next year, however, notwithstanding this "tide of the caprices of men, we readily perceive that we have fashion and fancy," France was seduced into a commertaken a false direction, and have had to overcome difficul- cial treaty, stipulating for low duties on the manufactures ties, which we might have escaped, but for this false posi- of each country, and mutually excluding silks, of which tion; and to preserve the industry created, it has become France produced the raw material, and England did not. necessary to resort to extreme measures, and to enforce This was the finishing stroke to a successful rivalry with the prohibition of foreign products. England. The manufactures of Great Britain have ever since maintained the ascendancy, and their unrivalled success may be ascribed to this very treaty. Had these decrees but been enforced for a few years, this “tide" would have turned, and very many French manufactures would, at this time, have excluded the British. "We have to speak of the forced condition in which Europe is placed. England has set the example, and she has drawn almost all nations into her measures; so that now we are obliged to imitate the conduct of our neighbors. It is, perhaps, the only means that a great nation could employ, strong in its industry and its agriculture, and more independent in its resources, to bring back people to true principles. We dare believe that this return, so desirable, is not far distant; and, in expecting it, we should prohibit foreign products, so far as foreigners exclude those of our soil and our country." Again: The necessity of the protecting policy is so clearly enforced in the following French decrees of 1785, that I cannot omit a quotation from them: The Senator still insists that "the consumer pays the impost." This, though it may be generally, yet not universally, true, in a revenue, is no rule in a protecting duty, Mr. Say, on this subject, observes, "those writers who have maintained that the tax bears upon any one or more classes in particular, or in any fixed or certain proportion, have found their theory contradicted by experience at every turn." Yet, if any one rule, more than another, is to be relied on, it is this, that, as soon as protection begins "The tide of fashion, which, in this country, had run to operate, and in proportion to its operation, the tax is so long and so strong in favor of French goods, especially reflected back from the consumer to the producer. Take those depending upon fancy, had now set as strongly in the case of bar iron: in the years 1818, 1826, and 1850, the contrary direction; and English manufactures, of almost when the several tariffs of 1816, 1824, and 1828 were in all kinds, were in such request in France, that the shop-full operation, I recur to the price current in Boston, and keepers used to write over their doors, Warehouse for select for an example, “Old Sable.” In 1818, the duty English goods.' The King of France, in a decree issued was $9 per ton, and the price, including the duty, $104. on the 10th of July, very liberally declared that nothing In 1826, duty $18, price, including duty, $100. In 1830, could be more agreeable to his own principles, than a duty $22 40, and price, including duty, $96. Thus, while general liberty of trade, which should permit the free the duty has been constantly increasing, the article taxed circulation of the produce and manufactures of all nations, has been as constantly diminishing. The reason is as making them all, as it were, but one nation in point of trade. manifest as the fact is true--the domestic article has been But, unless such a liberal system could be universally and increasing in quantity. Suppose the foreign manufacturer reciprocally established, he must consult the interest of furnished three-fourths of your consumption, the greater his kingdom, by prohibiting the importation of white cali-quantity would command the price, and this tax would coes, stuff's of cotton and linen mixed, handkerchiefs, di-fall on the consumer. But let the domestic product inmities, and nankeens, except those imported by the India crease to one-half, the competition between foreign and Company, or vessels licensed by a late decree; foreign domestic producers will be more equalized, and the tax printed calicoes, whether imported from India or Europe, will be divided between the producer and consumer, were ordered to be exported; and all muslins, gauzes, and Further: let the domestic product be three-fourths, and lawns, of foreign manufacture, were strictly forbidden to your own producers govern the market, and the foreign be sold in the kingdom. But he allowed his subjects till producer bears the whole tax, or nearly so. Again: take the 10th of August, 1786, to dispose of the goods already the article of nails: the duty five cents per pound, and in their possession, and also six weeks to receive goods the nails, duty and all, but five and a half cents. Now already ordered from foreign countries; and he excepted apply the rule that the consumer pays the tax, and take from the prohibition blue linens, checks, &c. fit for the Guinea trade. off this duty, and your nails would come at a half cent, when the raw material of which it is made is four and a "July 17th. In a few days this decree was followed by a half cents. Take the article of cheese--the duty is nine second one, the preamble of which states that the industry cents, and the best cheese, good enough for any gentle of the country was discouraged by the demand for foreign man's table, may be had for eight cents. Now, in this last goods, and chiefly English ones, which, from fashion and case, it would, I should think, be rather difficult to confancy, had obtained a preference, which was the more in-vince the purchaser, who paid but eight cents for his tolerable as French goods were rigorously prohibited in cheese, that he had also, by construction, paid nine cents England. Therefore the King strictly prohibited the im-duty in addition, making seventeen cents. portation of English saddlery, hosiery, woollen cloths, But another very grave charge against the protecting hardware, and all other English goods, except those al-system is this-high imposts upon the fabrics of those lowed by a decree of the year 1601, whereof a list was who take our raw materials, diminish the demand for annexed. All polished steel wares (except tools and in-such materials. This is supposed to be done by taxing struments for the service of the arts and sciences) and the consumer, and lessening the consumption, or by taxing 1 1 |