Indiana Palladium, Volume 8, Number 13, Lawrenceburg, Dearborn County, 14 April 1832 — Page 1

I7D f? 7T

t I 2Vr:;jS-$3 PER YEAR :33i PER CENT. DISCOUNT MADE ON nia.v,i., C 11.2 Vi.N iI'MM.V l TAT T V f F y i 1 - . ' - A- t r 4 1 1 - . . . PAYMENTS 01., 111. IiAWRE?tfCEMJRH, (I A.) SATUSBAY, APSlL'Ts," 'JtvHani!HKi ISO. 13.

getting nc'i

Extract? from the Speech of Ox Mi:. Clay's TAiiifT iuisoluticx. . To the argument, that Congress ought not to reduce the taxes on protected articles, because existing laws lave induced men to employ their capital in these establishments, the answer is a plain one. Every man who has thus invested his money, must have looked to the probability of a reduction of taxes and imposts whenever the public debt should be discharged, and the government should no longer need the money accruing from high duties. In addition to this, those upon whom this taxation has operated with most severity, have at all times insisted -upon its injustice, and avowed their determination neyer to relax their efforts until they obtained redress. This argument, therefore, loses much of the fbrce to which it would be entitled under different circumstances. I cannot myself consider the manufacturers as authorized to claim a continu

ance of the present duties on the ground of i in other countries, or the American manually pledge expressed or implied. iven bv faclurers desire unreasonable profits. That.

k c, j

The farmer will tell you that

it ir. better to get ten pounds of sugar lor a bushel of corn than live pounds. He always likes the balance of trade against him in that way, and it is just so with the nation. When gentlemen say that commerce is not encouraging American industry, I answer, tint the articles exported are the products of American labor; that the ship is of American manufacture and made of American timber; that the sailors who navigate the vessels, are Americans, and their labor is American labor. The whole is an American transaction, and an encouragement to American Industry. Foreigners have nothing to do with it, except that they furnish our citizens with favorable contracts, by an interchange of articles, the products or manufactures of their respective countries, by which the wealth and prosperity of the United States are promoted and enlarged. Mr. President, why is this protection through the medium of high duties claimed by the American manufacturers? It must be owing to one of two causes: Either the

articles can be manufactured much cheaper

the L'ovsrnment. btdJ. these establish

ments exist and should be regarded as a portion of the public interest, and of course the same attention should be paid to them as to the other great interests of the country, in any adjustment which may be made upon the subject. 1 will now say a few words upon the subject of the balance of trade, which is urged ss an argument against enlarging the commerce of the United States. The argument is, that if a nation exports less than it imports, the difference is a loss, and the balance of trade is a gainst such nation. Upon these premises, it is argued that as the importations into the United States, taking several years in succession, exceed the amount of the exportation?, our foreign commerce is disadvantageous and unprofitable. The great error, in my opinion, in this mode of reasoning, is that the gain or commercial profit is charged as a loss. There is nothing more true in the commercial world, than that the exports and imports of a nation are regulated by each other, and that commerce cannot exist and be carried on between two countries when this is not the case. In regular commerce each country may be

profited and grow rich by an interchange of commodities, and the balance of trade according to this reasoning, be against both. I will illustrate this in a way familiar to the

senator irom .Kentucky and myself. Suppose a citizen of Kentucky shall take his drove of horses, costing at home two thousand dollars, to the State of Alabama, and there exchange them for cotton worth three thousand dollars, after paying all expenses, and shall return to Kentucky bringing with him his three thousand dollars wortli of cotton. In this case Kentucky has exported two thousand dollars wortli of her property and three thousand dollars worth of property lias been imported into Kentucky. Now, according to this balance of trade" doctrine, Kentucky has lost one thousand dollars, when, in tact, she has gained precisely that amount. Nor has Alabama lost any thing; for the horses may be worth in Alabama one half more than they are in Kentucky. They may even be so valuable as to command lour thousand dollars to the purchaser in Alabama, so that four thousand dollars

worth of property has been obtained for three. Thus each Slate has gained a thou

sand dollars worth of property by the ex

unu. hi uitj uaiance oi iraue is

against both. Tne same principle applies

between liie United States and foreign na

lions. It we export to the amount of se

venty millions, and import to the amount of

ninety millions, there is a o-iin of twentv

millions, with the deduction of the whole

cost of carriage, or producing the interchange of the articles cf commerce. A ship may leave Boston with trinkets worth two thousand dollars, may barter them with the Indians on the North-west coast for furs, may exchange those in China for silks and teas, and return with a cargo worth fifty thousand dollars. By this process, the owners end the country are enriched; and yet the balance of trade, of which Gentle

men talK, is larirc

Stales. Indeed,

the more profitable

the balance of trade a

could obtain forei thing, it would b

let, would not our

presents of rich Would any citize

think himself or his country made poor, if friend in England should send him a Vn:

load of the most valuable British fabrics as a present ? Would he send them back because they caused this balance of trade to be against his country or himself? Reverse the picture. Send fifty thousand dollars worth of your wealth abroad and exchange it for two thousand dollars worth to be brought back. ! lore the balance of trade is largely in favor of our country; but is any body enriched by it? On the contrary, are not all concerned in such a commerce "made poor? If we were to give away our produce and merchand'so, 'the balance of trade,1 on this theory, would be altogether in our fa-

many articles can ue made cheaper auroad

than in this country, there is no doubt. Labor is cheaper. In Russia and Sweden the wages of an able-bodied laborer are onlv G or 7 cents a day; in Great Britain the price of labor is very little higher. In the latter countr), with a population of one hundred and sixty-five to each mile square, mere people are found ready to starve and of course are willing to labor for a bare subsistence than in the United States, which docs not contain 7 for each mile square. This inequality in the price of the production of articles, arising from the difference in the price of labor can only be obviated in one of two ways. You mustfeither reduce the price of labor by degrading the people of this country so far as to compel them to labor for a bare subsistence, or you must tax the community to make up the difference in favor of the American manufactures. The first mode I hope has no advocates here or elsewhere. The second mode is unjust and oppressive, as I will now endeavor to show. It is unjust. The Senate will indulge me in illustrating this in a plain way, which is my habit of conducting arguments on all subjects. Suppose ten men engaged in agriculture, and you by your enactments or your laws cause live of them to abandon that and adopt some other pursuit manufac-

i i . t

turcs it you please; and you at tne same

time require that one third of the products

of the five remaining agriculturalists shall be given to them; all men would at once exclaim, this is plain, open, palpable injustice.

Now, Sir, where is the difference between this and compelling the agriculturalists to jrivc one third more for all the articles for which they exchange the products of their farms? Or when you compel them to give one third more in the money, for which they

have sold their crops, and this for tire beneiit

of those who have abandoned their former pursuits? For instance, a planter in the

neighborhood of Nashville, where I live, sends his three bales of cotton to New Orleans to purchase or exchange for imported articles for the consumption of his family. Now the government takes' no part of his cotton from him; his agent exchanges the whole of them for the articles ordered; but in fixing upon the price of the articles received in exchange, one third is added on account of the duties imposed. It secms; to my mind very evident, that one third of the man's cotton is gone as certainly and effectually as if the government had taken it in the first instance and then permitted him to purchase the articles one third cheaper.

What is the common practice which pre

been greatly reduced, in the re-establishment of a sound currency; the price of lands, and all other property has fallen about one third; and the same causes which have reduced their value, or price, must have a similar infiuence upon articles of merchandise. The improvement of machinery, also, has contributed greatly to diminish the price of production in manufactured article? Another cause, which has' had great influence upon this subject, is, that almost all Europe is now in a state of peace, and consequently, laborers have become plenty, and labor cheap. The prosperity of a nation, depends upon the wealth and prosperity of its citizens, and that policy, which is calculated to impoverish the great mass of the community, must operate to the prejudice of the national welfare. If an individual is compelled to give an hundred &, fifty dollars for articles, which, without, the Tariif, lie could have purchased for one hundred dollars, lie is certainly worth less by fifty dollars than he would have been without this tax. This operation is going on continually, throughout the country; and therefore, I believe southern Senators, when they say, that with the same industry, and quantity of labor applied as formerly, that whole re "ion of countrv is hoenmina nnnfr

J O and poorer every day. . In regard to the Western Country, and

every portion out, 1 have always consider

rioiJofrh : V T VlVtl07 Pr" nL:ch thQ? InVO "ted from the comt on of the Union My opinion is, that no mencement of this system. For w vs-K 1 state, taking th, whlo population together, ' am unwilling to indulge them at the eW! has been benefited by this system. It is of those, whoso inteie J re um S advantageous to Hie capitalists, who own , my care. I will, hero remark tlm fib.

mark(

neig

cons

b

tne

and even to the laborers themselves, who

have families, the price of the means of supporting them is enhanced, and a portion of their wages in this way lost to them. In addition to this, the price of all articles of clothing is advanced; because the manufacturer will not sell at a lower rate than will barely enable him to keep out the competition of the foreign articles of the same kind. This, is the effect in the vicinity of these establishments; but as soon as

! OU1V Oil Pl'oferlen unruvrtorl

tr ll V "i i- .! - i "-1vl uuaas, snail I tO those Who ivn in l inihiiii.'MlHt.; .,,, .. . . -.1- , ' 4

, ! , , "" 1 amuum uit'jn minions oluoi ursrandthe hborhood of them, and produce articles ! hted articles, .hall con.timr. Ew

UlilOll )V t IO S )flrpv (,,m!nV,l In (Ium,, ! ,f .1 ' - .

- . , yji ti;u uiuoiim consumeu in the United t to eh others hying m the- neighborhood, i State?: and the oihor b:i!f 1

JtriPO ft nrn,-:.;..., C. 1 . " 1 1 . . j'u:t U

, , -. i J ilvl 11(1 lilt II I f

you go beyond the immediate neighbor

hood, the evils are unmixed with good. All !

: the neonln

the of U. Statt s will be'taxed to the amount of forty millions: of which, the one half arising from the duty on foreign imported articles, goes into the Treasury, and is of some public benefit; the other half goes into the hands of the domestic manufacturers, and is of no farther advantage, than, as it increases the wealth of a fow of the capitalists of the country. Gentlemen say, that most of the protected articles can be manufactured as cheap in this as in foreign countries. Uthls be so.

they need no protection. The cost of trans-

the disadvantages ot the higher pi -ced art:- j portation snd a reasonable revenue duty cles are lelt without any corresponding ben- j will irive the dome? tic articles a reat ad-

cm. j.MJiwu.&umu.it? oio uoaaieu auvau- j v-n:r.-o m our maiket over the imported tages of tins system to New England, we ' articles, and therefore this tax oil the cornhear, as the Senator from Ky., (Mr. Clay.) ! imrnity is wholly unnecessary, so far as redenominates it, "a still, cmal i voice' raised kites to such articles. It is" stated by tho in opposition. Yes, sir, we have heard the 'advocates of the Tar:7, that certain cotton still small voice ofiu-stice and truth airi mtt ! .-cods in:muf;.r!im-i1 in tV

ed tins system injurious. It is true, the for-1 notion irom the (Jramte state, proclaiming j re exported lo foreign countries dud are

vails in most parts of the cotton growing country? The planter does not himself export his own cotton, but sells it to his merchant in discharge of his store account. Now, the merchant pays him for the whole of his cotton; but in the articles purchased

there is one thud caarged on account of this

tax. This is plain and manifest to every one who reflects upon this subject. The

importing mercnanf, when he arrives with his

merchandise at the city oi NcwAork, rnil

tility of our soil redeems us from that state

oi suffering, which, is folt in some other parts of the country; but it checks and retards the prosperity and growth of the west. There is the largest body of rich land, of which we have any knowledge, inviting to agricultural pursuits, and you do violence to nature whenever you so regulate society by your laws as to prevent its improvement and cultivation. Bread-sturls, horses, mules, cattle and hogs, have been and can be produced and reared in the greatest abun

dance. Now the true interest of the Western farmer lies in obtaining a ood market for these articles in the cotton growing states; but the policy which has been pursued, has impoverished these states; they are rendered unable to buy, and are compelled to raise the means of their own subsistence at home; although their soil and climate are ill adapted to the production and raising of them. The effect of this system has been to destroy the best market" of the Western Country. I should like to know, what benefit has arisen to any great class of the community

m that section of the Union. It is true, the manufactures of rope and cotton bagging, have found a readier maiket by the high duty on these articles; but the cotton "rowcrs, corn growers, and raisers of stock, have lost by taxation, more than tiie manufacturers have gained; and this is the general effect of this system. One man is compelled to give more for an article than he would otherwise do, that the favorite of legislation may thereby obtain profits. In order, to show more clearly, the inequality and in justice of the system; let it be remembered

that about two thirds of all the exports of

the United states, consist ol articles grown or raised in the Southern States. How,

then docs it happen, that New England, the exports from which are small, should, since the introduction of this system, have grown

m wealth and prosperity beyond all former

examine; while that portion of the coun

try most lavored in soil and climate, produ

cing more abundant crops, than in former years, has experienced less prosperity than

at any former period, and has suhk almost in

to poverty and despair. 1 he cause, to my mind, is quite manifest. By. the operation of this Tariff, the products of the labor of one

portion of the Union is transferred to' anoth

er. 1 hat operation, is effected m tins way ; the grower of articles for exportation, is not

permitted to interchange them, how and

where he can, so as to be most advantageous

to himself: but by the high duties, he

the injustice and impolicy oi tiie system, j there competing successfully with articles The Senator from New Hampshire, (.Air. , of the same kind manufactured abroad.

Hill,) has Irankly told us, that he has a j Will trunk men be so good as to tell me

large interest in a cotton manufactory, and that he neither needs nor desires the pro

tection ofmga duties. Sir, 1 rejoice that Uir.otlicr country, and cannot do so :;i this; we have one manufacturer noon this ilocr. wlu n the orico'of t:-:m nnrtnt?. vcv.-.

A. w I - - -f-v.v VI 4 IV I J v.

how ii happens lhat the American can com- . . ....... . - C. .1 !. i i- i

Jviv Mivvit.--iiun wi.ii wie inr.sn name m

:por

mif outy shall be piaccd upon the British article? Sir, wo cannot be mistaken upon this subject. These articles can be manufactured here as cheap as elsewhere; this is proved by their exportation and sale in foreign countries. But the retention of the duty enables the demestic manufactures to keep out of our markets the foreign articles, which might compete with theirs, and thereby enables them to secure a monopoly, and place a higher price upon the demestic manufactures. The Tariff cf 1828, is the

more cleared lands, than hands for its culti- luw now in force; and it is surely the most ration; that the price of lands hrs fallen, unfortunate law 1 have ever read or heard

and the whole agricultural capital been j of; I have never heard it commended by

much depressed m value. He has also told us of that system of smuggling, w hich is so

successfully carried on between the British i

who comes forward and says, he does not

wish the interest of the country sacrificed for private emolument and gain, and 1 have no doubt there are many others who would do the same, if they had seats here. I thank that honorable Senator, for the information he has imparted to his country upon this subject. He has shown, that the agricultural state of Vermont has within the last ten years, gained 20,000 in population, upon the manufacturing state of New Hampshire; that agriculture has decreased; that there is now

is

compe

any one, in or out ot the senate. io one owns it, or acknowledges its paternity; or, admits he had any agency in making it. It is thrown upon the wide world without a frier.d, or patron. All admit, that its passage was attended with circumstances unfavorable to a fair and equal adjustment of a system of taxation. Yet. this law constitutes the sacred ground on which tho unhallowed

provinces and the United States.

Mr. President, according to the last an

nual report from the Treasury Department,

he people of the United States new pay in

taxes on imported articles, twenty-six mil-

ions, five hundred thousand dollars. I ins

is the sum, w hich w ill be pain into the Trcas- j foot of legislation is .ot to be permitted to ury for the present year, from that seuirce of j tread. Wo are told, not to touch it, lest the

revenue. From other sources, that is the Whole system should be endangered. Sir,

sale of the public lands, bank dividends, and j 1 have no desire to touch it, fit m what I

incidental receipts, four millions, one hun- learned 1 rem ike Senator from Massachu

setts, (?,lr. Webster,) two years ago, m the debate on this subject; I wish the Tariff law of IbCS to be among foigotten things. My wish, is now, to see. a bill presented by the committee on finance, containing a list of the articles imported: then, upon eoch

remain at the present rates. 1 admit, that i article sepaiately, we can determine what

dred thousand dollars; amounting m the

whole, to thirty millions, one hundred thousand dollars. I know of no reason,! have

icard none assigned, which would authoize an opinion that there will be a diinii . i i

nution oi revenue, provided tne duties

upon the item of incidental receipts, no

great reliance in making an estimate for the future, ought to be placed. There fore, strike

reduction can be made, without endanger

ing the m'.nufuctuiii.g interests.

m prepared to show what reduction cm

off one hundred thousand collars Irom tu;s )C muev Xit)oii cottons, woollens, sugar, iron

item, and only retain ten thousand dollars, j anc gljt. )Ut

I forbear to present them to the

which will no doubt, be collectable from i .itc at this time, belieing that this can

old debts for many years to come, leu iV)CT )r done, and with more eiiect, when will then have a revenue cf upwards cf j tiiC Uj,on this subject is under discusthirty millions, 'i 'he ( stimated expenditure ; s;on . ami cncj1 avticle is considered scpavateof the Government, (exclusive of the pub-' jv If nc-aily tin millions of dollars, needed lie debt,) is thirteen millions, three Hmdicd : fvT lxcimc fairly ; ml justly apportioned and sixty-five thousand, two hundred and ; Xion Vt imported articles, (exclusive d two dollar?. Deduct from this sum, the j ,i10!,0 now flce cf duty) and the cosl cf three millions of revenue, fiom the public i transportation cf the foreign articles, will net lands, four hundred and ninety-six thousand ! ap;oni sufficient protection; I fear we are dollars, the dividends of the bank sioch. j folcjng this system beyond the age and conand the ten thousand dollars for incidental j jtjon" uf this country. My principle of pro-

lied either to purchase his foreign receipts, and you need only the sum ei tcct;(,n NVOuld go thus iar, and no iarther,

articles, at the increased price occasioned nine millions, eignt hundred and sixu -in e rxct,pt r.pon the ground ot ccmprOmise. bv those duties, or he must purchase the thousand, two hundred dollars to nieet the I -w the people to the full amount of the exarticles from New England at such price, as exigencies of the government. 'Mas ; jgencies of the government, and apportion the manufactures may chcosc to affix' to the sum the government uHih; nor is one j lhat sluucn imported articles imd especially them, equal at least, to the price of the for- dollar mere, necessary for its support. . on th-ose wh:ch come in competition with arei'm articles with the duties added to it. There would, then remain sixteen millions, j tides which are manufactured, and w hich it

Tiiis, sir, is the reat object of the system, six hundred and tir.rty-iuur tr.ousai:u, scen : ,tf cq national importance should be manulac-

. . . . I i . , . . i . I . i . 1 1 .1 1,..., ! .i.l itmr-1 rrfil I Hi :i V. OVCr T.iM I .1 ; ,m(rv I ori-rt I rl 1.V t III"!

Iv against the IT;tp,! delpkia. Eosicn. or U.iltirnorc, is charged by u 10 prexeni nu; auzens 01 sue uuiaijiiumutuunu v... .. ; ' . 't umu.mui.n. ..v...

according to this I the government with forty or fill y per cent. States irom carrying on commerce and ex- ove an tiie - ;;: llle oi the i.mtec cu es, w i.

the voyage, the more i, fnsau import duty upon the articles imported changes ,n that way wincn m.y Uo most pro- Anou c uung ,s ; . great icngn oi ume, nn '

-ainst i,. ,nd ifvo bv him. He of necessity adds that to the t htr.hie to tnem; and, const ram them to pur- t.on ci cuuies, uic-.mp - vtiy lor uie puipese 01 piotccu

"lnmnf1;l " : hrice andthensellstoth-ve-r-n-rc'imt chase a i their articles of convenience and and m tins way a larger muu v i.;CtureS. o man, i.i intercsieu m ucS, rdKi ."I with Raided borTo thrwesl: necessity,, iVom the cpltais and maun- ced, than ,ny esvmatc foumh d uooa the . ts, corisent, that a large

country b onVl,,1 1, I crn merchant, the original cost, the import lectures oi the Istern fctates 1. 1 enhanced present mourn c. u-i'- peit:cn oi ms ea.ngs, , a "- -

cargoes from abr0-d ! dutv or tax. tiie wholesale dealer's profit, ! prices. This constiaint, I cons.der mccn- Kr. President, let us now present the the pronto! any class ct eui e i u n nfih. 1 rnUu the cost of the nrth-le. and umm sistent with the genius of our government, ncsicn fairly. Shall the people ei the t!:n publ.c exigencies do not icquae it.

ill these, added together, he lays his prof

it:

It is urged, that the prices of articles have

of the Tariff of

fallen since the adoption

and as savoring slrongiy ot tyranny ana op

pression. It is an encroachment upon the rights of the citizens, and should meet with no favor here. The great principle of pro-

28: and tins is ascnoed to the mtroduc-1 1 , . . , B, i .

lion o: this system, ii tee ircntlemen counl il u Aa . ... , , V , , ,

show, tJiat tiie price of protected articles only, had fallen, or tint the fall had been confined to this country only, there would

then be some plausibility in what they say

vcr.

rhe.best trade i, when for even- little

you send out, much comes back. Then arc our citions and country ibark-hin? and

Eut, the unprotected articles have fallen in a still greater degree; and the fall is co-extensive with the commercial world. We must then look to other causes for the declension of prices, than cur home competition. These can be foun d in the first place, in the appreciation of our money. Money in the United States, is aiow, of one third more value, than it was .a few years since. The amount of the circ.d .iting jp.ediumhas

any portion of it, to be transferred to others.

If an individual, by Ins labor earns a doilar let him have the whole of it; and let no law exist in the statute book, which will transfer one third of it to ctheis. I have hitherto, treated of this subject as it operated upon different sections of the

country. 1 will now say something in relation to its effect upon the people of the

states most favored by it. 1 do this with diffidence, because my personal observation does not enable me to speak with confidence. When 1 have spoken of the prosperity of New Enghvud, I only mean die is

United States, be taxed upwards oi sixtccr

and a half millions of dollars annually, upon imported articles, for the purpose cf enabling the domestic manufacturers to tax them in the same degree upon all the artiebb manu

factured and sold by them! Ihis, is the very object the manufacturers have in iev. in "pressing this subject en Congress. Their language to us, is plainly this: we want to make your constituents, cr.e and all. pay us a hbher price for all the at tides we manufacture; this we cannot d. so h eg .i ov.o nr vi.iltfrwl i hnv ti n mo kind oi

I 11V til - j'v uimivvi ' ' " J articles made in foreign countries; ineufore, we insist that you", bv taxation on the foreign articles, shall so increase the prce. tint vour constituents will be eeu:,ira:ned 1o

I

The wise ccmse lor eveiy gov

pursue, is, to look to itsttue ccndilicn. and by consulting ell its interests, attempt to ciierifch these einpleyments only, in which capital and labor, vill find a sufoeient iewaid. Our natiai is young; cur land is fertile; with iaaa la! orer can earn bis fifty c n'.s a day; in old countries, the laborer can earn only from six to ten cents a day. Although,-1 have nowidi to favor the poor of oiiier countries at the (xpei.se of this, so ha g as wc can obtain the profits of their 1 .lor, and do them no injury by doing so;

and at the same time, do nothing to the prejudice of the laborers of our own country, I can see ncthiuL1 objectionable in it, On the coriMAvif wVi can obtain their labor at so.

buy of us, at prices which will enrich us. j low a ?iicer we c.n deme consume Disouise his matter as they may, tiiisisthe ht hem iir uud the Id ctv-is ol tae Un d u c cause ef all that anxiety ,nd!icitudes Utat., can follow puranui irxie aanta-

1