Jasper County Democrat, Volume 8, Number 29, Rensselaer, Jasper County, 21 October 1905 — NEW ECONOMIC THEORY [ARTICLE]

NEW ECONOMIC THEORY

Mr. Shaw’s Argument For Com tinued Protection. LIBEL ON AMERICAN INGENUITY. High Prices Have Reduced Waves by Comparison With the Profits of Capital—The Cost ot Living Must Be Reduced by Revising the Tariff Schedules. The enormous overcapitalization of the trusts and combines renders it neoessary for them to continue to exact high prices for their products or be unable to pay dividends on their fictitious capital. The protection the tariff gives them makes the high prices possible, as It prevents competition from abroad, so that the trusts have a monopoly of the home market To make the American people pay these high prices the tariff must be preserved intact not to produce revenue for the government, but to shelter the trusts. Secretary Shaw is defending this policy of trust protection and high prices on the ground that “cheap products of labor mean cheap labor.” which is a new theory in economics that the protectionists have invented to hold workingmen to the support of the Republican party in its league with the combines and corporations. Mr. Shaw, being secretary of the treasury, is supposed to speak for the administration on such economic subjects as tariff and revenue; so, although his “cheap” doctrines are absurd and his statements fallacious, yet as President Ifcosevclt allows him to continue on the stump It must be supposed that sounding the praises of high prices is indorsed by the administration.

It is not true that “cheap products of labor mean cheap labor,” says the New York World, nor was that libel upon American ingenuity wont to be uttered in the earlier days of tariff argument. It used to be said that competition, coupled with high wages, kept products cheap by compelling the improvement of the machine. Of late the trust makers have learned the trick of improving the machine, raising the price and pocketing the stupendous profit of progress. The portion of labor in American production has generally Increased within the past few years when measured in dollars and cents. It has not increased when measured by meat and rent and clothing. It has actually declined by comparison with the profits of capital. The Republican party has an unrivaled opportunity for public service tn reducing the cost of living by revision of the tariff, and this service it is, by its reiterated pledges, bound to render. It Is bound to reduce tariff taxation which has proved unnecessary and burdensome. It is bound to seek such reciprocal arrangements for freer trade with other nations as Germany is just now anxious to make. Nor can the question be dodged. It Is unescapable. It is pressed by the woman with the market basket. It is urged by the growing deficit There are not so many ways in which the government’s expenditure can be made to match its income. This can be done by cutting down expenditure, and the only place where many millions can be spared is in our mounting bills for warlike preparation. It can be done by tariff reduction which shall stimulate foreign trade and so swell the custom bouse receipts. There Is no other way. It may be a distressing choice tor the stand patters, but they cannot evade it by abusing cheapness, which is the universal demand of every citizen when he spends bls wages.

Land Bargains: Just to prove to you, that we can sell you land cheaper than any other firm in the county, we will offer for the next 80 days, 20 choice quarters of land in Ransom Co., at only S2O per acre. Thia is first claas, ants as good as anything in the county, so wbypay more for land no better? Drop us a postal for list. Rourke’s Land, Agency Lisbon, N. D. Remember The Democrat office for job printing.