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LH^If 3«C ;v*' n^b A .1^ V' ... ,. ..►^« '■■ 1 • > • I ^'t / • Cr/) ♦t'^ imfl j; • • • » * , ' • • • • ... . . 36736 ;■ k. ■Vfir. ^ > ^ \ !« f H Mr. In from S tended system growin eral d part of augmei and gn Tffui not of And n( that shi ver bef those i to this ! ed with wheInK before i conscio persuas videncc Eight of Con the wh( We all enormoi depress] estate; the Peo] existed, timate o debt: kJ\ paral^sii adoption wide spi years wj I have sketch On a gei face of t the publ And, if a People ry degre( auctions boiling 01 our cities ment; ou > ^ f \ \ -(:».' .'•*" SPEECH. -9©e- Mr. Clay rose and addressed the Senate substantially as foUows'i In one sentiment, Mr. President, expressed by the honorable gentleman from South Carolina, (General Hayne) though, perhaFts, not in the sense in- tended by him, I entirely concur. I agree with nim, that the decision on the system of policy embraced in this debate^ involves the future destiny of this growing country. One way, I verily believe, it would lead to deep and gen- eral distress: general bankruptcy and national ruin, without ben3fit to any part of the Union: The other, tne existing prosperity will be preserved and augmented, and the nation will continue rapidly to advance in wealth, power, and greatness, without prejudice to any section of the Confederacy. Thus viewing the question, I stand here as the humble but zealous advocate, not of the interests of one State or seven States only, but, of the whole Union. And never before have I felt, more intensely, the overpoAverin^ weight ot that share of responsibility which belongs to me in these deliberations. Ne- ver before have I had more occasion, than I now have, to lament my want oi those intellectual powers, the possession of which might enable me to unfold to this Senate, and to illustrate to this People, great truths intimately connect- ed with the lasting welfare of my country. I should, indeed, sink, over- whelmed and subdued beneath the appalling magnitude of the task which lies before me, it I did not Lfeel myself sustained and fortified by a thorough consciousness! of the justness of the cause which I have espoused, and by a persuasion, I hope not presumptuous, that it has the approbation of that Pro- vidence who has so often smiled upon these United States. Eight years ago, it was my painful duty to present to the other House of Congress, an unexaggerated picture of the general distress pervading the whole land. We must all yet remember some of its frightful features. We all know that the People were then oppressed and borne down by an enormous load of debt; that the value of property was at the lowest point of depression; that ruinous sales and sacrifices were every where made of real estate: that stop laws and relief laws and paper money were adopted to sav« the People from impending destruction; that a deficit in the public revenue existed, which compelled Government to seize upon, and divert from its legi- timate object, the appropriation to the sinking tuna, to redeem the national debt: &nd that our commerce and navigation were threatened with a complete paralysis. In short, sir, if I were to select any term of seven years since the adoption of the present constitution^ which exhibited a scene of the most wide spread dismay and desolation, it would be exactly that term of seveH years which immediately preceded the establishment of the tariff of 1824. I have now to perform the more pleasing task of exhibiting an imperfect sketch of the existing state of the unparalleled prosperity of the country. On a general survey, we behold cultivation extended, the arts flourishing, the face (? the country improved, our people fully and profitably employe, and the public countenance exhibiting tranquillity, contentment, and happiness. And, if we descend into particulars, we have the agreeable contemplation of a People out of debt; land rising slowly in value, but in a secure and saluta- i-y degree; a ready, though not extravagant market for all the surplus pro- ductions of our industry^ innumerable nocks and herds browsing and gam- bolling on ten thousand hills and plains, covered with rich and verdant grasses; our cities expanded, and whole villages springing up, as it were, by enchant- ment; our exports and imports increased and increasing; our tonnage,* fo- *8ee Apptndix, A. ■'4 # ^- i J V f ' M { reipi and coastwise, swelUng and fully occupied; the rivere of our interior animated by the perpetual thunder and lightning of countless steam boats; the currency sound and abundant^ the public debt of two wars nearly re- deemed; and, to crown all, the public treasury oveflowins, embarrassing Con- fjress, not to nnd subjects uf taxation, but to select the objects which shall be iberated from the impost. If the term of seven years were to be selected, of the gre::test prosperity which this People have enjoyed since the establish ment of their present constitution, it would be exactly that period of seven years which immediately followed the passage of the tarift' ot 1824. This transformation of the condition of the country from sloom rmd dis- tress to brightness and prosperity, has been mainly the work of American legislation, fostering American industry, instead of allowing it to be controlled by foreign legislation, cherishing foreign industry. The foes of the Ameri- can System, in 1824, with great mildness and conhdence, predicted, 1st. The ruin of the bublic revenue and the creation of a necessity to resort to direct taxation. The gentleman from South Carolina, (General Havne) 1 believet thought that the tariff of 1824 would operate a reduction of revenue to the large amount of eight millions of dollars. 2d. The destruction of our navi- gation. 3d. The desolation of commercial cities. And 4th. The augmenta- tion of the price of objects of consumption and further decline in that of the articles of our exports. Every prediction which they made has failed — utter- ly failed. Instead of the ruin of the public revenue, with which they then sought to deter us from the adoption of the American System, we are nowr threatened with its subversion, by the vast amount of the public revenue pro- duced by that System. Everv branch of our navigation nas increased. A» to the desolation of our cities, let us take, as an example, the condition of the largest and most commercial of all ot them, the great Northern capital. I have, in my hands, the assessed value of real estate in the city of New York, from 1817 to 1831. * This value is canvassed, contested, scrutinized, and ad- judged by the proper sworn authorities. It is, therefore, entitled to full cre- dence. During the first term, commencing with 1817, and ending in the year of the passage of the tariff of 1824, the amount of the value of real estate was, the first year, $57,799,435, andr after various fluctuations in the inter- mediate period, it settled down at $52,019,730, exhibiting a decrease, in seven years, of $5,779,705. During the first year of 1826, after the passage rf the tariff, it rose, and, gradually ascending throughout the whole of the latter pe- riod of seven vears, it finally^ in 1831, reached the astonishing height ot $95,716,485! Now, if it be said that this rapid growth of the city ot New York was the effect of foreipi commerce^ then it was not correctly pre- dicted in 1824, that the tarift would destroy foreign commerce and desolate our commercial cities. If, on the contrary, it be the effect of internal trade, then internal trade cannot be justly chargeable with the evil consequences imputed to it. The truth is, it is the joint effect of both principles, the do- mestic industry nourishing the foreign trade, and the foreign commerce, in turn, nourishing the domestic industiy. No where, more than in New York, is the combination of both principles so completely developed. In the pro- gress of my argument, I will consider the eftect upon the price of commodi- ties, produced oy the American System, and show that the very reverse ot the jprediction ot its foes, in 1824, has actually happened. Whilst we thus behold the entire failure of all that was foretold against the System, it is a subject of just felicitation to its friends, that all their anticipa- tions of its benefits have been fulfilled, or are in progress of fulfilment. The honorable gentleman from South Carolina has made an allusion to a speech made by me, in 1824, in the other House, in support of the tariff, and to which, otherwise. I should not nave particularly referred. But I would ask any one, who could now command the courage to peruse that long production, what principle there laid down is not trueFwhat prediction then made has been falsified by practical experience.'* It is now proposed to abolish the system, to which we owe so much of the public prosperity, and it is urged that the arrival of the period of the redemp- * See Appendix, B, for the dotument relWrred to. .^3^. r interior m boats; early re- ling Con- w shall be selected, establish ut' seven nnd tlis- American control led »e Ameri- , 1st. The t to direct 1 believe, me to the our navi- lugmenta- hat of the ed— -utter- they then fe are now venue pro- >ased. A» rtion of the capiiaU I Sew York, ed,andad' to full cre- in the year real estate 1 the inter- ne, in seven sage of the e latter pe- ; height ot ty ot New rectly pre- nd desolate Tnal trade, nsequences es, the do- mmerce, in New York, n thepro- cominodi- reverse ot against the ir anticipa- ment. The a speech .riff, and to would ask production, n made has nuch of the he redemp- tion of the public debt has been contidenlly looked to as prcscnlini; a suitable occasion to rid the country of the evils with which the system is alleged to be fraught. Not an inattentive observer of passing events, I have been aware, that, among those who were most eagerly pressing the payment of the public debt, and, upon that ground, were opposing appropriations to other great inte- rests! there were some who cared less about the debt than the accomplishment of other objects. But the People of the United States have not coupled the payment ot their public debt with the destruction of th3 protection of their industry, against Foreign laws and foreign industry. They have been accus- tomed to regard the extinction of the public debt as relief from a burthen, and not as ^e infliction of a curse. If it is to be attended or followed by the subversion of the American system, and an exposure of our establishments and our productions to the un^arded consequences of the selfish policy of fo- reign Powers, the payment orthc public debt will be the bitterest of curves. Its fruit will be like the fruit " "Of that forbidden tree, whose mortal taste ** Brought death into the world, and all our woe, «* With loss of Eden." If th". system of protection be founded on principles erroneous in theory, per- nicious in practice— above all, if it be unconstitutional, as is alleged, it ought to be forthwith abolished, and not a vesti;;o of it suffered to remai'.i. But, be- fore we sanction this sweeping denunciation, let us look a little at this system, its magnitude, its ramifications, its duration, and the high authorities which have sustained it. We shall see that its foes will have accomplished compara- tively nothinjg, after having achieved their present aim of breaking down our iron-founderies, our woollen, cotton, and hemp manufactories, and our sugar plantations. The destruction of these would, undoubtedly, lead to the sacri- fice of immense capital, the ruin of many thousands of our fellow citizens, and incalculable loss to the whole c()mmunity. But their prostration would not disfigure, nor produce greater effect upon the whole system of protection, in all its branches, than the destruction of the beautiful domes upon the Cap- itol would occasion to the magnificent edifice which they surmount. Why, sir, there is scarcely an interest, scarcely a vocation in society, which is not embraced by the beneficence of this system. It comprehends our coasting tonnage and trade, from which all foreign ton- nase is absolutely excluded. It includes all our foreign tonnage, with the inconsiderable exception made by treaties of reciprocity with a few foreign Powers. It embraces our fisheries, and all our hardy and enterprising fishermen. It extends to almost every mechanic art: to tanners, cordwainers, tailor.^^ cabinet-makers, hatters, tinners, brass-workers, clock-makers, coach-, in- kers, tallow-chandlers, trace-makers, rope-makers, cork-cutters, tobacconists, whip-makers, paper makers, umbrella-makers, glass-blowers, stocking-weav- ers, butter-makers, saddle and harness-^'nakers, cutlers, brusti-makei-s, book- binders, dairy-men, milk-farmers, black smiths, type-founders, musical in- strument-makers, basket-makers^ milliners, potters, chocolate -makers, floor- cloth m^ers, bonnet-makers, hair-cloth-makers, copper-smiths, pencil ma- kers, bellows makers, pocket book-makers, card-makers, glue-makers, mus- tard-makers, lumber-sawyers, saw-makers, scale-beam-makers, scythe-ma- kers, wood-saw-makers, and many others. The mechanics enumerated enjoy a measure of protection adapted to their several conditions, varying from twen- ty to fifty per cent. The extent and importance of some of these artizans may be estimated by a few particulars. The tanners, curriers, boot and shoe-ma- kers, and other workers in hides, skins, aiid leather, produce an ultimate value per annum of forty millions of dollars; the manufacturers of liats and cans produce an annual value of fifteen millions; the cabinet-makers, twelve millions: the manufacturers of bonnets and hats for the female sex, lace, ar- tificial flowers, combs, &c., seven millions: and the manufacturers of glass, five mulions. \l .1 6 It extends to all lower LouiHiana^ the Delta of which might as well be tub- merged again in the Gulf of Mexico, from which it has Men a gradual con- quest, as now to be deprived of the protecting duty upon its great staple. It aftects the cotton planter* himself, and the tobacco planter, both of whom enjov protection. The total amount of the capitalf vested in sheep, the land to sustain them, wool, woollen manufactures, and woollen fabrics, and the subsistence of the various persons directly or indirectly employed in the growth and manufac- ture of tne article of wool, is estimated at one hundred and sixty-seven mil- lions of dollars^ and the number of persons at 150,000. The value of iron, considered as a raw material, and of its manufactures* is estimated at twenty-six millions of dollars per annum. Cotton goods, ex- clusive of the capital vested in the manufacture, and of the cost of the raw ma- terial, are believed to amount, annually, to about twenty millions of dollars. These estimates have been carefully made, by practical men, of undoubted character, who have brought together and embodied their information. Anx- ious to avoid the charge of exaggeration, they have sometimes placed ttieir es- timates below what was believed to be the actual amount of these interests. With regard to the quantity of bar and other iron annually produced, it is derived frum the known works themselves; and I know some in Western States which they have omitted in their calculations. Such are some of the items of this vast system of protection, which it is now proposed to abandon. We might well pause and contemplate, if human ima- S' nation could conceive the extent of mischief and ruin from its total over- row, before we proceed to the work of destruction. Its duration is worthy, also, of serious consideration. Not to go behind the constitution, its date is coeval with that instrument. It began on the ever memorable 4th dav ot July — the 4th day of July. 1789. The second act which stands recorded in the statute book, bearing the illustrious signature of Georee Washington, laid the corner stone of the whole system. That there might be no mistake about the matter, it was then solemnly proclaimed to the American People and to the world, that it was necessary for "the encouragement and protection of manufactures," that duties should be laid. It is in vain to urge the small amount of the measure of protection then extended. The great principle was then established by the fathers of the constitution, with the Father of his Coun- try at their head. And it cannot now be questioned, that, if the Government had not then been new and the subject untried, a greater measure of protec- tion would have been applied, if it had been supposed necessary. Shortly after, the masterminds of JeiTerson and Hamilton were brought to act on this interesting subject. Taking views of it appertaining ^ the departments of foreign afmirs and of the treasury, which they respectively filled, they pre- sented, severally, reports which yet remain monuments of their profound wis- dom, and came to the same conclusion of protection to American industry. Mr. Jefferson argued that foreign restrictions, foreign prohibitions, and foreign high duties, ought to be met, at home, by American restrictions, American prohibitions, and American high duties. Mr. Hamilton, surveying the entire ground, and looking at the inherent nature of the subiect, treateilit with an ability which, if ever equalled, has not been surpassed, and earnestly recom- menoed protection. The wars of the French Revolution commenced about this period, and streams of gold poured into the United States through a thousand channels, opened or enlarged by the successfiil commerce which our neutrality enabled us to prosecute. We forgot or overlooked, in the general prosperity, the ne- cessity of encouraging our domestic manufactures. Then came the edicts of Napoleon, and the British orders in council; and our embargo^ non-inter- course, non -importation, and war^ followed in rapid succession. These na- * iTo say nothing of cotton produced in other foreigpi countries, the cultiv»tion of this article, of a very superior quality, is constantly extending in the adjacent Mex- ican provinces, and, but for the duty, probably a large amount would be introduced into the United States, down Red river and along the coast of the Gulf of Mexico. f See report in Appendix, ourked C. ' f/^ *», veil be tub- radual con- staple. >th of whom iRtainthem, ence of the id manufac- •seven mil- inufactures, fi goods, ex- the raw ma- of dollars. f undoubted tion. Anx- ;cdtlieir cs- id interests, xluced, it iA in Western ich it is now human ima- » total over- n is worthy, I, its date is ! 4th dav o( recordea in lington, laid istakc about !ople and to )roteelion of ;e the small irinciple wa» i)f his Coun- Government of protec- ^ Shortly act on this kirtments of , they pre- ofound wis- m industry. and foreign , American g the entire it with an istly recom- period, and d channels, ity enabled •ity, the ne- he edicts of non-inter- Theie na- mltivfttion of ijacent Mex. e introduced r Mexico. tional measures, amounting to a total suspension, fur the period of their du- ration, of our foreign commerce, afforded the most efficaciuuA encouragement to American manufactures; and, accordingly, they every where sprung up. Whilst these measures of restriction and this state of war continued, the man- ufacturers were stimulated in their enterprises by every assurance of support, by public sehtiment, and by legislative resolves. It was about that period (1808) that South Carolina bore ner high testimony to the wiMlom of the poli- cy, in an act of her Legislature, the preamble of which, now before me, reads, *^ Whereas the establisliment and encouragement of domestic manufactures is conducive to the interest of a State, by adding new incentives to industry^ and as being the means of disposing, to advantage, the surplus productions of the agriculturist: And whereas, in the present unexampled state of the world, their establishment in our country is not only expedient, but politic, in rendering us independent of foreign nations." The Le^slature, not beine competent to afford the most efficacious aid, by imposing duties on foreign rival articles, proceeded to incorporate a company. Peace, under the treaty of Ghent, returned in 1815, but there did not re- turn with it the golden days which preceded the edicts levelled at our com- merce by Great Biitain and France. It found all Europe tranquilly resum- ing the arts and the business of civil life. It found Europe no longer the con- sumer of our surplus, and the employer of our navigation, but excluding, or heavily burdening, almost all the productions of our agriculture; and our ri- vals in manufactures , in navigation, and in commerce. It found our country, in short, in a situation totally different from all the past — new and untried. It became necessary :o adapt our laws, and especially our laws of impost, to the new circumstances in which we found ourselves. Accordingly, that em- inent and lamented citizen, then at the head of the treasury, (Mr. Dallas) was required, by a rr solution of the House of Representatives, under date the 33d day of February, 1815, to prepare and report to the succeeding session ot Congress a system of revenue conformable with the actual condition of the country. He had the circle of a whole year to perform the work, consulted merchants, manufacturers', and other practical men, and opened an extensive correspondence. The report which he made, at the session of 1816, was the result of his inquiries and reflections, and embodies the principles which he thought applicable to the subject. It has been said that the tariff of 1816 was a measure of mere revenue; and that it only reduced the war duties to a peace standard. It is true, that the question then was, how much, and in what way, should the double duties of tne war be reduced.^ Now, also, the question is, on what articles shall the duties be reduced so as to subject the amount of the future revenue to the wants of the Government? Then It was deemed an inquiry of the first importance, as it should be now, how the re- duction should be made, so as to secure proper encouragement to our domes- tic industry. That this was a leading oDJect in the arrangement of the tariff of 1616, 1 well remember, and it is demonstrated by the language of Mr. Dal- las. He says, in his report, ''There are few, if any Gover. .nents, which do *' not regard the establishment of domestic manufactures as a chief obtject ot " public policy. The United States hav« alwai/s so regarded it. * * * • " The demands of the country, while the acquisition ofsupplies from foreign ** nations was either prohibited or impracticable, may have afforded a sum- * * cient inducement for this investment of capital, and tnis application of labor; '* but the inducement, in its necessary extent, must fail, when the day of com- ^^ petition returns. Upon that change in the condition of the country, the preser- *' vation of the manufactures, which private citizens, under favorable auspices, *' have constituted tlie property of the nation, becomes a consideration of gen- *' eral policy, to be resolved by a recollection of past embarrassments; by the *' certainty of an increased difficulty of reinstating, upon any emergency, the '* manufactures which shall be allowed to perish and pass away," one. The measure of protection which he proposed was not adopted, in regard to some leading articles, and there was great difficulty in ascertaining what it ought to have been . But the principle was then distinctly asserted, and fully sanc- tioned. 1^ ! li :! 8 The subject n| the Ameriran System was again hrnught up in 1820, by thr bill reported by the ('hairman of th«! (committee ut' AluiiutartureH, now n member of the bench ut' the Supreme ('ourt ot" the United .States, and the Erinciple was HUcceHntrully maintained by the repreHentatives ut' the I'cople; ut the bill which they passed was defeated in the Senate. It watt revived in 1884, the whole ground carefully and deliberately explored, and the bill, then intniduccd, receiving all the sanctions of the constitution, became the law of the land. An amendment of the system was proposed in isao, to the history of which I refer with no agreeable recollections. The bill of that year, in some of its provisions, was framed on principles directly adverse to the declared wishes of the friends of the policy ot protection* I have heard* (without vouching for the fact) that it was so framed, upon the advice of a prominent citizen, now abroad, with the view of ultimately defeating the bill, and with assurances that, being altogether unacceptable to the friends of the American System, the bill would be lost. Be that as it may, the most exceptionable features of the bill were stamped upon it, against the earnest remonstrances of the friends of the system, by the votes of Southern members, upvhen, about Christmas, he applied to one of nis South Carolina neighbors to purchase the regular supply of pork, for the ensuing year, he found that he ^d to give two prices for it; and he declared if that were the patriotism on which the resolu- tions were based, he would not conform to them, and, in point of fact, laid in his annual stock of pork by purchase from the first passing Kentucky drover. That trade, now partially resumed, was maintained by the sale of Western productions, on the one side, and Carolina money on the other. From that condition of it, the gentleman from South Carolina might have drawn this conclusion, that an advantageous trade mav exist, although one of the parties to it pays in specie for the productions which he purchases from the other; and, consequently, that it does not follow, it we did not purchase British fabrics, that it might not be the interest of England to purchase our raw ma- terial of cotton. The Kentucky drover received the South Carolina specie, or, taking bills, or the evidences of deposite in the banks, carried these home, and disposing of them to the merchant, he brought out goods, of foreign or domestic manufacture, in return. Such is the circuitous nature of trade and remittance, which no nation understands better than Great Britain. Nor has the system, which has been the parent source of so much benefit to other parts ot the Union, proved injurious to the cotton growing country. 1 cannot speak of South Carolina itself, where I have never been,^ with so much certainty; but of other portions of the Union in which cotton is grown, especially those bordering on the Mississippi, I can confidently speak. It' cotton planting is less profitable than it was, that is the result of increased production; but I believe it to be still the most profitable investment of capi- tal of any branch of business in the United States. And if a committee were raised, with power to send for persons and papers, I take upon myself to say, that such would be the lesult of the inquiry. In Kentucky, I Know many individuals who have their cotton plantations below, and retain their resi- dence in that State, where they remain during the sickly season; and they are all, I believe, without exception, doing well. Others, tempted by their success, are constantly engaging in the business, whilst scarcely any comes from the cotton region to engage in western agriculture. A friend, now in my eye, a member of this body, upon a capital of less than seventy thousand dollars, invested in a plantation and slaves, made, the year before last, six- teen thousand dollars. A member of the other House, I understand, who, without removing himself, sent some of his slaves to Mississippi, made, last yeai', about twenty per cent. Two friends of mine, in the latter State, whose annual income is from thirty to sixty thousand dollars, being desirous to curtail their business, have offered estates for sale, which they are willing to show, by regular vouchers of receipt and disbursement, yield eighteen per cent, per annum. One ot my most opulent acquaintances, in a county adjoining to that in which I reside^ having married in Georgia, has derived a large portion of his wealth from a cotton estate there situated. The loss of the tonnage of Charleston, which has been dwelt on, doe?; not proceed from the tariff; it never had a very large amount, and it has not been able to retain what it had, in consequence of the operation of the principle of free trade on its navigation. Its tonnage has gone to the more enterprising and adventurous tars of the Northern States, with whom those of the city of Charleston could not maintain a successful competition, in the freedom of the coasting trade existing between the different parts of the Union. That this must be the true cause, is demonstrated by the fact, that, however it may be with the port of Charleston, our coasting tonnage, generally, is constantly increasing. As to the foreign tonnage, about one halfof that which is engag- ed in the direct trade between Charleston and Great Britain, is English; proving that the tonnage of South Carolina cannot maintain itself in a com ■■ petition, under the tree and equal navigation secured by our treaty witli that Power. When gentlemen have succeeded in their design ot an immediate or gradu- al destruction of the American System, what is their substitute ? Free trade ! • Frc« trade ! The call for free trade, is as unavailing as the cry of a spoiled t, it, this anec- yvhen, about purchase the 1 to give two h the resolu- ' fact, laid in ucky drover, of Western From that drawn this >f the parties n the other; liase British our raw ina- olina specie, arried these Is, of foreign ure of trade Britain, nuch benefit ing country, en, with so on is grown, ' speak. If if increased ient of capi- imittee were yself to say. Know many their resi- n; and they ted by their f any comes jnd, now in ty thousand re last, six- itand, who, made, last tter State, ng desirous are willing eighteen a county s derived a n, does not as not been irinciple of nterprising the city of reedom of ion. That ;ver it may constantly 1 is engag- is English; in a com ■■ witli tliat eorgradu- Vee trade ! • ' a spoiled 11 child, in its nurse's arms, for the moon or the stars that glitter in the firma- ment of heaven. It never has existed: it never will exist. Trade implies, at least, two parties. To be free, it should be fair, equal, and reciprocal. Yiut if we throw our ports wide open to the admission ot foreign productions, free of all duty, what ports, of any other fcieign nation, sliall we find open to the free admission ot our surplus produce } We may break down all bar- riers to free trade, on our part^ but the work will not be complete until foreign Powers shall have removed theirs. There would be freedom on one side, and restrictions, prohibitions, and exclusions, on the other. The bolts, and the bars, and the chains, of all other nations, will remain undisturbed. It is, indeed, possible, that our industry and commerce would accommodate themselves to this unequal and unjust state of things: for, such is the flexi- bility of our nature, that it bends itself to all circumstances. The wretched prisoner, incarcerated in a gaol, after a long time, becomes reconciled to his solitude, and regularly notches down the passing days of his confinement. Gentlemen deceive themselves. It is not free trade that they are recora- metiding to our acceptance. It is, in effect, the British colonial system that we are invited to adopt; and, if their policy prevail, it will lead, substan- tially, to the recolonization of these States, under the commercial dominion of Great Britain. And whom do we find some of the principal supporters, out of Congress, of this foreign system ? Mr. President, there are some foreigners who always remain exotics, and never become naturalized in our country: whilst, happily, there are many others who readily attach them- selves to our principles and our institutions. The honest, patient, and indus- trious German, readily unites with our people, establishes nimself upon some of our fat land, fills his capacious barn, and enjoys, in tranquillity, the abun- dant fruits which his diligence gathers around him. always ready to fly to the standard of his adopted country, or of its laws, when called by the duties of patriotism. The gay, the versatile, the philosophic Frenchman, accommo- dating himself cheerfully to all the vicissitudes of life, incorporates himself, without difficult3r, in our society. But, of all foreigners, none amalgamate themselves so quickly with our people as the natives of the Emerald Isle. In some of the visions which have passed through my imagination, I have sup- posed that Ireland was, originally, part and parcel of this continent, and that, ny some extraordinary convulsion of nature, it was torn from America, and, drifting across the ocean, was placed in the unfortunate vicinity of Great Britain. The same openheartedness; the same generous hospitality; the same careless and uncalculating indifference about human life, characterise the inhabitants of both countries. Kentucky has been sometimes called the Ireland of America. And I have no doubt tnat, if the cuiTent of emigration were reversed, and set from America upon the shores of Europe, instead of bearing from Europe to America, every American emigrant to Ireland would there find, as every Irish emigrant here finds, a hearty welcome and a happy home ! But, sir, the gentleman to whom I am about to allude, although long a re- sident of this country, has no feelings, no attachments, no sympathies, no principles, in common with our People. Near fifty years ago, Pennsylvania took him to her bosom, and warmed, and cherished, and honored him; and how does he manifest his gratitude? By aiming a vital "blow at a system en- deared to her bv a thorough conviction that it is indispensable to her prosper filled, at home and abroad, some of the highest offices under thi: ing thirty years, and he is still at heart an alien, thority of his name lias been invoked, and the labors of his pen, in the form ity. He has Government, durih this rhe au- of a memorial to Congress, have been engaged, to overthrow the American system and to substitute the foreign. Go home to your native Europe, and there inculcate, upon her sovereigns, your Utopian doctrines of free trade, and when you have prevailed upon them to unseal their ports, and freely ad- mit the produce of Pennsylvania, and other States, come back, and we shall be prepared to become converts, and to adopt your faith. A Mr. Sarchet also makes no inconsiderable figure in the common attack upon our system. I do not know the man, but I understand he is an unna- turalized emigrant from the island of Guernsey, situated in the channel which 1 ■ t t I'li 12 divides France anil Enf^laml. Tlie principal business of the inhabitants is that oftlrivine a cuntrabanil trade with the opposite shores, and Mr. Sarchet, edu- cated in timt school, is, I have been told, chieHv engaged in employing his wits to elude the operation of our revenue laws, uv introducing articles at less rates of duty than they are justly chargeable with, which he effects by vary- ing their denominations, or slightly changing their forms. This man, at a former session of the Senate, caused to be presented a memorial signed by 8ome 150 pretended workers in iron. Of these a gentleman made a careful inquiry and examination, and he ascertained that there were only about ten of the denomination represented? the rest were tavern keepers, porters, mer- chants' clerks, hackney coachmen, &c I have the most respectable author- ity, in black and white, for this statement. [Here Gen. Haync asked, whoP and was hk a manufacturer? Mr. Clay re- plied. Col. Murray, of New York, a gentleman of the highest standing for' honor, probity, and veracity; that he did not know whether h« was a manu- facturer or not, but the gentleman might take him as one. *] Whether Mr. Sarchet got up the late petition presented to the Senate, from the journeynien tailors ot Philadelphia, or not, I do not know. But I should not be surprised if it were a movement of his, and if we should find that he has cabbaged from other classes of- society to swell out the number of signa- tures. To the facts manufactured by Mr. Sarchet, and the theories by Mr. Galla- tin, there was yet wanting one circumstance to recommend them to favorable cotisideration, and that was the authority of some high name. There was no difficulty in obtaining one from a British repository. The honorable gentle- man has cited a speech of my Lord Goderich, addressed to the British Par- liament, in favor of free trade, and full of deep regret that old England coiUd not possibly ctmform her practice of rigorous restnction and exclusion, to her liberal doctrines of unfettered commerce, so earnestly recommended to foreign Powers. Sir, said Mr. C. I know ray Lord Goderich very well, although my acquaintance with him was prior to his being summoned to the British House of Peers. We both signed the convention between the United States and Great Britain of 1815. He is an honorable man, frank, possessing business, but ordinary talents, about the stature and complexion of the honorable gen- tleman from South Carolina, a few years older than he, and every drop of blood running in his veins being pure and unadulterated Anglo-Saxon blood. If he were to live to the age ot Methuselah, he could not make a speech of such abilitv atid eloquence as that which the gentleman from South Carolina recently uclivered to the Senate; and there would be much more fitness in my Lord Goderich making quotations from the speech of the honorable gen- tleman, than his quoting, as authority, the theoretical doctrines of my Lord Goderich. We arc too much in the habit of looking abroad, not merely for manufactured articles, but for the sanction of high names, to support favor- ite theories. 1 have seen, and closely observed, the British Parliament^ and, without derojgating from its justly elevated character, I have no hesitation in saying, that in all the attributes of order, dignity, patriotism, and eloquence^ the American Congress would not suffer, in the smallest degree, by a com- parison with it. I dislike this resort to authority, and cspepsAW foreign and interested au- thority, for the support of principles of public policy. I would greatly prefer to meet gentlemen upon the,broad ground of fact, ot experience, and.ot reason; but, since they will appeal to British names and authority, I feel myself com- pelled to imitate their bad example. Allow me to quote from the speech of a member of the British Parliament, bearing the same family name with my Lord Goderich, but whether or not a relation of his, I do not know. The member alluded to was arguing against the violation of the treatv of Methuen — that treaty, not less fatal to tne interests of Portugal than would be the sys- tem of gentlemen to the best interests of America— «nd he went on to say: * Mr. Clay tuhsequently understood that Col. Murray was a merchant. 1 itants ia (hat aichet, edu- nploying his tides at less cts by vary- is man, at a il signed by de a careful about ten of »orters, mer- able author- Ar. Clay re- standing for' Aras a manu- Senate, from 3ut I siiould find that he ler of signa- Mr. Galla- to favorable here was no able gentle- British Par- igland could ision, to her ;d to foreign ilthoogh my ntish House States and ng; business, orable gen- ery drop (»f axon blood, a speech of th Carolina fitness in orable gen- )f my Lord not merely [jport favor- imentf and, lesitation in eloquence, by a com- erested au- iaily prefer Lot reason; jyself com- speechofa with my low. The )f Methuen be the sys- on to gay: IS *' // was idle for us to endeavor to persuade other nations to join with us in adopting the principles qfwhat was called *free trade.'' Other nations knew, as well as the noble Lord opposite^ and those who acted with liim, what we meant by ''free trade'' was nothi ^ more nor less than^ by means of the great advantages we enjoyed, to g't monopoly of all their markets for our manu- factures, and to prevent them . e and all, from ever becoming manufactur- ing nations. When the systfcjii of reciprocity and free trade nad been pro- posed to a French ambassador, his remark was, that the plan was excellent in theory, but, to make it fair in practice, it would be necessary to defer the at- tempt to put it in execution for half a century, until France should be on the same footing with Great Britain, in marine, m manufactures, in capital, and the many other peculiar advantages which it now enjoyed. The poli'-.y that France acted on, was that of encouraging its native manufactures, and tt was a wise policy; because, if it were freely to admit our manufactures, it would speedily be reduced to the rank of an agricultural nation; and thertfore a poor nation, as all must be that depend exclusively upon [agriculture. Ame- rica acted too upon the same principle with France. America legislated for futurity — legislated for an increasing population. America, too, was prosper- ing under this system. In twentv years, America would be independent of England for manufactures altogether. • • # * * jjut since the peace. France. Germany, America, and all the other countries of the world, had proceeded upon the principle of encouraging and protecting native manuractures." But I have said that the system nominally called " free trade," so earnest- ly and eloquently recommended to our adoption, is a mere revival of the Bri- tish colonial system, forced upon us by Great Britain during the existence ot our colonial vassalage. The whole system is fully explained and illustrated in a work published as far back as the year 1750, entitled '' The trade,, and navigation of Great Britain considered, by Joshua Gee," with extracts from whicn 1 have been furnished by the diligent researches of a friend. It will be seen from these, that the South Caronna policy now, is identical with the long cherished policy of Great Britain, which remains the same as it was when the thirteen colonies were part of the British empire. In that work the author contends — "1. That manufactures, in the American colonies, should be discourag'ed or pro- hibited. " Great Britain, with its dependencies, is doubtless as well able to subsist within itself as any nation in Europe: We have an enterprising People, fit for all the arts of peace and war: We have provisions in abundance, and those of the best sort, and are able to raise sufficient for double the number of inhabitants: We have the very best materials for clothing, and want nothing either for use or even for luxury, but what we have at hbme or might have from our colonies: So that we might make such an intercourse of trade among oimielves, or between us and them, as would maintain a vast navigation. But we ought always to keep a watchful eye over our colonies, to re- strain them from setting up any of the manufactures which are carried on in Britain; and any such attempts should be crushed in the beginning: for, if they are suffered to grow up to maturity, it will be difficult to suppress them." — ^Pages 177, 8, 9. " Our colonies are much in the same state Ireland was in, when they began the Wool- len manufactory, and, as their numbers increase, will fall upon manufactures for cloth- ing themselves, if due care be not taken to find employment for them in raising sifbh productions as may enable them to furnish themselves with all their necessaries from us." Then it was the object of this British economist to adapt the means or wealth of the colonists to the supply required by their necessities, and to make the mother country the only source of that supply. Now it seems the policy is only so far to be reversed, that we must continue to import necessa- ries (rom Great Britain, in order to enable her to purchase raw cotton from us. " I should, therefore, think it worthy the care of the Government to ende:ivor, by all possible means, to encourage them in raising of silk, hemp, flax, iron, [dj'only pig, to be hammered in England] pot ash, &.?. by giving them competent bounties in the btjfinaing, and sending over judicious and skilful persons, at the public charge, to /I :S! 14 ^ assist and instruct them in the most proper methods of management, which, in my apprehension, would lay a foundation for establishing the most profitable trade of any we have. And considering the commanding situation of our colonies along the sea coast; the great convenience of navigable rivers in all of them; the cheapness of land, and the easiness of raising provisions; g^eat numbers of People would transport them- selves thither to settle upon such improvements. Now, as People have been filled with fears that the colonies, if encouraged to raise rough materials, would set up for themselves, a little regulation would remove all those jealousies out of the way. They have never thrown or wove any silk as yet that we have heard of: Therefore, if a law was made to prohibit the use of every throwster's mill, or doubling or horsling silk witli any machine whatever, they would then send it us raw: And, as they will have the providing rough materials to themselves, so shall we have the manufacturing of them. If encouragement be given for rising hemp, flax, &c. doubtless they will soon begin to manufacture, if not prevented: Therefore, to stop the progress of any such manufacture, it is proposed that no weaver there shall have liberty to set up any looms without first registering at an office kept for tliat purpose, and the name and place of abode of any journeyman that shall work witli him. But if any particular in- habitant shall be inclined to have any linen or woollen made of their own spinning, they should not be abridged of the same liberty that they now make use of, viz. to carry to a weaver (who shall be licemed by the Crovemor) and have it wrought up for the use of the family, but not to be sold to any person in a private manner, nor exposed to any market or fair, upon pain of forfeiture. '^ And, inasmuch as they have been supplied with all their iron manufactures from hence, except what is used in the building of sliips and other country work, one half of our exports being suposed to be in NAILS — a manufacture which they allow has never hitherto been carried on among them — ^it is proposed they shall, /or time to come, never erect the manufacture of any under the size of a two shilling nul, horse nails excepted; that all slitting mills and engines, for drawing wire, or weaving stockings, be put down; and that every smith who keeps a common forge or shop, shall re^ster his name and place of abode, and the name of every servant which he shall employ, which licence shall be renewed once every year, and pay for the liberty of working at such trade. That all negroes shall be prohibited from weaving either linen or woollen, or spinning or combing of wool, or working at any manufacture of iron, further than making it int pig or bar iron. That they also be prohibited from manufacturing liats, stockings, or leather, of any kind. This limitation will not abridge the planters of any privilege they now^ enjoy. On the contrary, it wUl turn their industry to promoting and raising those rough materials." The author then proposes that the Board of Trade and Plantations should be furnished with statistical accounts of the various permitted manufactures, to enable them to encourage or depress the industry of the colonists, and prevent the danger of interference with British industry. " It is hoped that this method would allay the heat that some people have shown, for destroying the iron works on the plantations, and pulling down all their forges — ^taking away, in a violent manner, their estates and properties — preventing the husbandmen from getting their ploughshares, carts, and other utensils, mended; destroying the ma- nufacture of ship building, by depriving them of the liberty of making bolts, spikes, and other things proper for carrying on tliat work, by which article returns are made for purchasing our woollen manufactures.— Pages 87, 88, 89." Such is the picture of colonists dependent upon the mother country for th«ir necessarv supplies, drawn by a writer who was not among the number of those who desired to debar them the means of building a vessel, erecting a forge, or mending a ploughshare, but who was willing to promote their growth and properity, as far as was consistent with the paramount interests of the - manufactuiing or parent State. " 2. The advantages to Great Britain from keeping tlie colonists dependent on her for their essential supplies. " if we examine into the circumstances of the inhabitants of our plantations and our own, it will appear that not one-fourth part of their product redounds to their own pro- fit: for, out of all that comes here, they only carry back clothing and other accommo- dations for their families; all of which is of the merchandise and manufacture of this kingdom." vhich, in my trade of any long the lea ne^s of land, nsport them- '. been filled Id set up for ; way. They "ore, if a law horsling silk ;y will have ifacturing of ess they will igress of any 9 set up any [le name and mrticular in- fn spinning', ; of, viz. to lught up for nor exposed ictures from rk, one half ey allow has Hme to come, horse nails ^ stockings, [lall repster lall employ, of working or woollen, further than sturing liats, nters of any > promoting s should be ictures, to nd prevent shown, for fes — taking usbandmen ing the ma- Its, spikes, IS are made uuntry for le number irecting a eir growth !sts of the • ent on her ms and our ir own pro- accommo- ure of this ''k 15 After fthowing hox^ this system tends to concentrate all the suiplus o( ac- quisition over absoln^' .ixpenditHre, in England, he says: '* All these advaacages we receive by the plantations, besides the mortgages on tlie planters' estates, and the high interest they pay us, which is very considerable; and tlierefore very g^eat care ought to be taken, in regulating all aifairs of the colonists, that the planters be not put under too many difficulties, but encouraged to go on cheer- fuUy. " New England, and the northern colonies, have not commodities and products enough to send us in return for purchasing tlieir necessary clothing, but are under very great diiRculties; and therefore, any ordinary sort sell with them. And when they have grown out of fashion with us, they are new fashioned enough there." Sir, I cannot go on with this disgusting detail.* Their refuse goods; their old shop-keepers; their cast off clothes, good enough for us! Was there ever a scheme more artfully devised by which the energies and faculties of one People should be kept down and rendered subservient to the pride, and the pomp, and the power, of another! The system then proposed diners only from that which is now recommended, in one particular^ that was intended to be enforced by power, this would not be less effectually executed by the force of circumstances. A gentleman in Boston, (Mr. Lee) the agent of the Free Trade Convention, Trom whose exhaustless mint there is a constant issue of reports, seems to envy the blessed condition of dependent Canada, wiien com- pared to the oppressed state of this Union; and it is a fair inference from the view which he presents, that he would have us to hasten back to the golden days of that colonial bondage, which is so well depicted in the work from which I have been quoting. Mr. Lee exhibits two tabular statements, in one of which he presents the high duties which lie represents to be paid in the parts of the United States, and, in the other, those which are paid in Canada, generally about two per cent, ad valorem. But did it not occur to him that the duties levied in Canada are paid chiefly on British manufactures, or on articles passing from one to another part of i common empire; and that, to present a parallel case, in the United States, he ought to have shown that importations made into one State from another, which are now free, are subject to tiie same or higher duties than are paid in Canada? 1 will now, Mr. President, proceed to a more particular consideration of the arguments urged against the protective system, and an inquiry into its practical operation, especially on the cotton growing country. And, as I wish to state and meet the argument fairly, I invite correction of my statement of it, if necessary. It is alleged that the system operates prejudicially to the otton planter, by diminishing the foreign demand for his staple; that we can- to sell to Great Britain, unless we buy from her; that the import duty is equivalent to an export duty, and falls upon the cotton grower; that South Carolina pays a disproportionate quota ot the public revenue; that an aban- donment of the protective policy would lead to an augmentation of our ex- ports of an amount not less than one hundred and fifty millions of dollars; and finally, that the South cannot partake of the advantages of manufacturing, if there be any. Let us examine these various propositions, in detail. 1. That the foreign demand for cotton is diminished; and that we cannot sell to Great Britain unless we buy from her. The demand of both our great foreign cus- tomers is constantly and annually increasing. It is true, that the ratio of the increase may not be equal to that of production; but this is owing to the fact that the power of producing the raw material is much greater, and is there- fore constantly in advance of the power of consumption. A single tact will' illustrate. Tne average produce of laborers engaged in the cultivation of cot- ton may be estimated at five bales, or fifteen hundred weight to the hand. Supposing the annual average consumption of each individual who uses cotton cloth to be five pounds, one hand can produce enough of the raw material to clothe three hundred. The argument comprehends two errors, one of fact and the other of princi- ple. It assumes that we do not in fact purchase of Great Britain. What is *S«e Appendix, D, fur the residut of the quotati on which as intended to be made. 'I .'I 16 the time state of the case? There are certain, but verjr few articles which it is thought sound policy requires that we should manufacture at home, and on these the tariff operates. But, with respect to all the rest, and much the larger number of articles of taste, fashion, or utility, they are subject to no other than revenue duties and are freely introduced. I have before me from the treasury a statement of our imports from England, Scotland, and Ireland, in- cluding ten vears, preceding the lust, and threo quarters of the last year, from which it will appear that, although there arc some fluctuations inlthe amount of the different years, the largest amount imported in anyone year has been since the tariiVof 1824, and that the last year's importation, when the returns of the fourth quarter shall be received, will probably be the greatest in the whole term ot eleven years. Now, if it be admitted that there is a less amount of the protected articles imported from Great Britain, she may be, and probably is, compensated for the deficiency, by the increased consumptiim in America of the articles of her industry not falling within the scope of the policv of our protection. The establisnment of manufactures amonj; us excites tne creation of wealth, and this gives new powers of consumption, which are gratified by the purchase of foreign objects. A poor nation can never be a great consuming nation. Its poverty will limit its consumption to bare subsistence. The erroneous principle which the argument includes, is, that it devolves on us the duty of taking care that Great Britain shall be enabled to purchase from us without exacting from Great Britain the corresponding duty. If it be true, on one side, that nations are bound to shape their policy m reference to the ability of foreign Powers, it must be true on both sides of the Atlantic. And this reciprocal obligation ought to be emphatically regarded towards the nation supplying the raw material, by the manufacturing nation, because the industry of the latter gives four or live values to what had been produced by the industry of the former. But, does Great Britain practise towards us upon the principles which we are now required to observe in regard to her? The exports to the United kingdom, as appears from the same treasury statement* just adverted to, during eleven years, from 1821 to 1831, and exclusive of the fourth quarter of the last vear, fall short of the amount of imports by upwards of forty-six millions of dollars, and the totaj amount, when tne returns of that quarter are received, will ex- ceed fifty millions of dollars! It is surprising how we have been able to sUs tain, for so long a time, a trade so very unequal. We must have been abso- lutely ruined by it, if the unfavorable balance had not been neutralized by more profitable commerce with other parts of the world. Of all nations Great Britain has the least cause to complain of the trade between the two countries. Our imports from that single Power are nearly one third of the entire amount of our importations from all foreign countries together. Great Britain constantly acts on the maxim of bQying only what she wants and can- not produce, and selling to foreign nations the utmost amount she can. In conformity with this maxim she excludes articles of prime necessity produced by us— equally if not more necessary than any of her industry which we tax, although the admission of those articles would increase our ability to purchase from her, according to the ai;gument of gentlemen. If we purchased still less from Great Britain than we do, and our conditions were reversed, so that the value of her imports from this country exceeded that of her exports to it. she would only then be compelled to do what we have so long done, anu what South Carolina does, in her trade with Ken- tucky, make up for the unfavorable balance by trade with other places and countries. How does she now dispose of the one hundred and sixty millions of dollars' worth of cotton fabrics, which she annually sells? Of that amount the United States do not purchase five per cent. Wnut becomes of the other ninety-five per cent.? Is it not sold toother Powers, and would not their markets remain if ours were totally shut? Would she not continue, as she now finds it her interest, to pui'chase the raw material from us, to supply (liose markets? Would she be guilty of the folly of depriving herself of mar- A' ^ 'Het uppundix, U. which it is ne, and on I the larger ) no other e from the reland, in- year, from amount of has been he returns test in the ed articles insated for cles of her ion. The )'ealth,and •ur chase of ation. Its it devolves purchase y. If it be 'ference to B Atlantic, awards the ecause the oduced by lich we are 1 iiingdom, ring eleven i last v^r, of dollars, d, will ex- ile to sUs )een abso- alized by nations n the two ird of the Great and can- can. In produced h we tax, purchase onditions exceeded what we ith Ken- laces and ' millions t amount the other not their e, as she o supply f of mar- 11 T 17 kets to the amount of upwards of $150,000,000, because we refused her a market for some eight or ten millions? But if there were a diminution of the British demand for cotton equal to the loss of a market for the few British fabrics which are within the scope of our protective policy, the question would still remain, whether the cotton planter is not amply indemnitied by the creation of additional demand else- where? With respect to the cotton -grower it is the totality of the demand, and not its distribution^ which affects his interests. If any system of policy will augment the aggregate of the demand, that system is favorable to his in- terests, although its tendency may be to vary the theatre of the demand. It could not, f«r example, be injurious to him, if, instead of Great Britain con- tinuing to leceive the entire quantity of cotton which she now does, two or three hundred thousand bales of it were taken to the other side of the chan- nel, and increased, to that extent, the French demand. It would be better for him, because it is always better to have several markets than one. Now, if, instead of a transfer to ine opposite side of the channel, of those two or three hundred thousand bales, they are transported to the Northern States, can that be injurious to the cotton grower? Is it not better for him? Is it not better to have a market at home, unaffected by war or other foreign causes, for that amount of his staple? If the establishment of American manufactures, therefore, had the sole effect of creating a new, and an American, demand for cotton, exactly to the same extent in which it lessened the British demand, there would be no just cause of complaint against the tariff'. The gain in one place would precisely equal the loss in the other. But the true state of the matter is much more favorable to the cotton grower. It is calculated that the cotton manufactories of the United States absorb at least '200,000 iiales of cotton annually. I be- lieve it to be more. The two ports of Boston and Providence alone, received, during the last year, near 1 10,000 bales. The amount is annually increasing. The raw material of that two hundred thousand bales is worth six millions, and there is an additional value conferred by the manufactureV, of eighteen millions; it being generally calculated that, in such cotton fabrics as we are in the habit of makmg, the manufacture constitutes three fourths of the value of the article. If, therefore, these twenty-four millions' worth of cotton fa- brics were not made in the United States,, but were manufactured in Great BritaiUj in order to obtain them, we should have to add to the already enor- mous dispnmortion between the amount of our imports and exports, in the trade with Great Britain, the further sum of twenty four millions, or, deduct- ing the price of the raw material, eighteen millions! And will gentlemen tell me how it would be possible for this country to sustain such a ruinous trade? From all that portion of the United States lying north and east of James river, and west of the mountains, Great Britain receives comparatively nothing. How would it be possible for th"? inhabitants of that largest portion of our territory, to supply themselves with cotton fabrics,if they were brought from Engjand exclusively? They could not do it. But for the existence of the American manufacture, they would be compelled greatly to curtail their supplies, if not absolutely to suffer in their comforts. By its existence at home, the circle of tliose exchanges is created whieh reciprocally diffuses among all, who are e^nbraced within it, the productions of their respective industry. The cotton grower sells the raw material to the manufacturer} he buys the iron, the bread, the meal, the coal, and the countless number of ob- jects of his consumption, from his fellow citizens, and they, in turn, purchase his fabrics. Putting it upon the ground merely of supplying those with ne- cessary articles, who could not otherwise obtain them, ought mere to be, from any quarter, an objection to the only system by which that object can be ac- complished? But can there be any doubt, with those who will reflect, that the actual amount of cotton consumed is increased by the home manufacture? The main argument of gentlemen is founded upon the idea of mutual ability resulting from mutual exchanges. They Would furnish an ability to foreign nations by purchasing from them, and I to our own people, by exchanges at home. If the American manufacture were discontinued, and that of England • were to take its place, how would she sell the additional quantity of twenty- ,.t...>- J '9 lA four millions of cotton goods, which we now make? To us? That has b«ea shown to be impracticable. To other foreign nations? She has already pushed her supplies to them to the utmost extent. The ultimate consequence would, then, be to diminish the total consumption of cotton, to say nothing now of the reduction of price that would take place bv throwing mto the ports of Great Britain the two hundred thousand bales which, no longer being manu- factured in the United States, would go thither. 3. That the import duty is equivalent to an export duty, and falls on the producer of cotton. [Here General Hayne explained, and said that he never contended that an import duty was equivalent to an export duty, under all circumstances} he had explained in his speech his ideas of the precise operation of the existing system. To which Mr. Clay replied that he had seen the argument so stated in some of the ingenious essays from the Soutli Carolina press, and would therefore answer it. ] The tramers of our constitution, by granting the power to Congress to lay imports, and prohibiting that of laying an (export duty, manifested that thev did not regard them as equivalent. Nor does the common sense of mankinu. An export duty fastens upon, and incorporates itself with, the article on which it is laid. The article cannot escape from it — it pursues and follows it wherever the article goes; and if, in the foreign market, the supply is above or just equal to the demand, the amount of the export duty will be a clear deduction to the exporter from the price of the article. But an import duly on a foreign article leaves the exporter of the domestic article free, 1st, to import specie? 2dly, goods which are free from the protecting duty; or, 3dly, such goods as, being chargeable with the protecting duty, he can sell at home and throw the duty on the consumer. But, it is confidently argued that the import duty falls upon the grower of cotton; and the case has been put in debate, and again and again, in conversa- tion, of the South Carolina planter, who exports 100 bales of cotton to Liver- pool, exchanges them for 100 bales of merchandise; and, when he brings them home, being^compelled to leave, at the custom house, forty bales in the form of duties. The argument is founded on the assumption that a duty of forty per cent, amounts to a subtraction of forty from the 100 bales of merchandise. The first objection to it is, that it supposes a case of barter, wliich never occurs. If it be replied that it, nevertheless, occurs in the operations of comtuerce, the answer would be that, since the export of Carolina cotton is chiefly made by New York or foreign merchants, the loss stated, if it really accrued, would fall upon them and not upon the planter. But, to test the correctness of the hypothetical case, let us suppose that the duty, instead of forty per cent, should be 150. which is asserted to oe the duty in some cases. Then, the planter would not only lose the whole hundred bales of merchandise, which he had gotten for his hundred bales of cotton, but he would have to purchase, with other means, an additional fifty bales, in order to enable him to pay the duties accruing on the proceeds of the cotton. Another answer is, that, if the producer of cotton in America, exchanged against English fabrics, pays the duty, iho producer of those fabrics also pays it, and then it is twice paicf. Such must be the conse- quence, unless the ptinciple is true on one side of the Atlantic, and false on the other. The true answer is, that the exporter of an article, if he invents its proceeds in a foreign market, takes care to make the investment in such merchandise as, when brought home, he can sell with a fair profit; and conse- quently, the consumer would pay the original cost and charges and profit. 3. The next objection to the American System is. that it subjects South Carolina to the payment of an undue proportion of the public revenue. The basis of this objection is the assumption, shown to have been erroneous, that the producer of the exports from this country pays the duty on its imports, instead of the consumer of those imports. The amount which South Carolina really contributes to the public revenue, no more than that of any other State, can be precisely ascertained. It depends upon her consumption of articles paying duties, and we may make an approximation sufficient for all practical purposes. The cotton planters of the valley of the Mississippi, with which I am acquainted, generally expend about one third of their income in the sup- port of their families and plantations. On this subject, I hold in my hand» i i ll has been ]y pushed ce woul(l« ng now of e porta of ng nianu- iills on the ed that an tances; he \ie existing it so stated ind would 'ress to lay 1 that thev I" mankind, e on which it wherever r just equal ction to the cign article ecie; Sdly, Is as, being ;)w the duty le grower of ,n conversa- m to Liver- brings them in the form uty of forty Merchandise, ever occurs, comcuerce, neny made ued, would tness of the cent, should anter would id gotten for »ther means, accruing on cer of cotton producer of e the consc- and false on he invests entin such and oonae- profit. jjects South renue. The ■oneous, that its imports, uth Carolina other State, a of articles all practical with which I in the sup- in my hands i 4 19 a statement* fron a friend of mine, of great accuracy, and a member of the Senate. Accoi < <'. to this statement, in a cron of ten thousand dollars, the expenses may ti ictuate between two thousand eight hundred dollars and three thousand two hundred dollars. Of this sum, about one fourth, from seven to eielit hundred dollars, may be laid out in articles paying the protect- ing duty; tne residue is disbursed for provisions, mules, horses, oxen, wages ot overseer, &c. Estimating the exports of South Carolina at eight millions, one third is two millions six hundred and sixty-six thousand six hundred and sixty -six dollars; of which, one fourth will be six hundred and sixty-six thousand six hundred and sixty-six and two-thirds dollars. Now, supposing the protecting duty to be fifty per cent., and that it all enters into the price of the article, the amount paid by South Carolina would only be three hundred and thirty-three thousand three hundred and thirty-three and one-third dol- lars. But the total revenue of the United States may be stated at twenty-five millions, of which, the proportion of South Carolma, whatever standard, whether of wealth or population, be adopted, would be about one million. Of course, on this view of the subject, she actually pays only about one third of her fair and legitimate share. I repeat, that I have no personal knowledge of the habits ot actual expenditure in South Carolina; they may be greater than I have stated, in respect to other parts of the cotton country j but if they are, that fact does not arise from any defect in the system of public policy. 4. An abandonment of the American System, it is urged, would lead to an addition to our exports of one hundred and fifty millions of dollar^. The amount of one hundred and fifty millions of cotton, in the raw state, would produce four hundred and fifty millions in the manufactured state, supposing no greater measure of value to be communicated, in the manufactured form, than that which our industry imparts. Now, sir, where would markets be found for this vast addition to the supply ? Not in the United States, cer- tainly, nor in any other quarter of the globe, England having already every where pressed her cotton manufactures to the utmost point oirepletion. We must look out for new worlds; seek for new and unknown races of mortals to consume this immense increase of cotton fabrics. [General Hayne said that he did not mean that the increase of one hundred and fifty millions to the amount of our exports, would be of cotton alone, but of other articles. ] What other articles P Agricultural produce — bread stuffs, beef" and pork ? &c. ^terc shall we find markets for them? frAiMcr shall we gof To what country, whose ports are not hermetically sealed against their admission ? Break down tne home market, and vou are without resource. Destroy lall other interests in the country, for tne imaginary purpose of advancing the cotton planting interest, and you inflict a p€«itive injury, without the smariest practical benefit to the cotton planter. Could Charleston, or the whole South, when all other markets are prostrated, or shut against the reception of the surplus of our farmers, receive that surplus ? Would they buy more than they might want for their own consumption ? Cbuld they find markets which other parts of the Union could not ? Would gentlemen force the freemen of all, North of James river. East and West, like the miserable slave, on the Sabbath day, to repair to Charleston, with a turkey undei* his arm, or a pack upon his back, and beg the clerk of some English or Scotch merchant, living in his gorgeous palace, or rolling in his splendid coach in the streets, to ex- change his " /mcA" for a bit of flannel to cover his naked wife and children ! No ! I am sure that I do no more than justice to their hearts, when I believe that they would reject, what I believe to be, the inevitable effects of their policy. 5. But, it is contended, in the last place, that the South cannot, from phy- sical, and other causes, engage in the manufacturing arts. I deny the pre- mises, and I deny the conclusion. I deny the fact of inability, and, if it existed, I deny the conclusion that we must, therefore, break down our ma- nufactures, and nourish those of foreign countries. The South possesses, in an extraordinary degree, two of the most important elements of manufacturing industry— water power and lab;>r. The former gives to our whole countiT' a most decided advantage over Great Britain. But a single experiment, stated *Sct Appendix, F, for th« statement referred to. StrrrTTTTT' .1 ♦ 11 20 by the gentleman Trnm 8outl) Carolina, in wlilch a faithlefls slave put the torrfi to a manufacturing establishment, has discouraged vimilar entcrpriHCH. We have, in Kentucky, the same description oC population, and we employ them, and almost exolunivcly employ them, in many of our hemp manufactories. A neighbor of mine, one of our most opulent and respectable citi/ens, has luid one, two, if not three, manufactories burnt by incendiaries; but he per- severed, and his perseverance has been rewarded with wealth. We found that it was less expensive to keep night watches, than to pay premiums for insurance, and we employed them. liet it be supiMtsed, however, that the South cannot manufacture; must th(»8e parts of tne Union which can, be therefore prevented f Must wc uup- port those of foreign countries ? I am sure that injustice would be done to the generous and patriotic nature of South Carolina, if it were believed that she envied or repined at the success of other portions of the Uni(m in branches of industry to which she might happen not to be adapted. Throughout her whole career she has been liberal, national, high minded. The friends of the American System have been reminded, by the honorable gentleman from Maryland, (General Smith) that they are the maiority, and he has admonished them to exercise their power in moderation. The mqjnrit)^ ought never to trample upon the feelings, or violate the just rights of the mi- nority. They ought never to triumph over the fallen, nor to make any but a temperate and equitable use of their power. But these counsels come with an ill §race from the gentleman from Maryland. He, too, is a member of a ma- jonty — a political majoritv. And how has the administration of (hat nugority exercised their power in this country ? Recall to your recollection the fourtn of March, 1829, when the lank, lean, famished forms, from fen and forest, and the four quarters of the Union, gathered together in the halls of patron- age; or stealing, by evening's twilight, into the apartments of the President'^ mansion, cried out, with ghastly faces, and in sepulchral tones: Give uf< bread ! Give us treasury pap ! Give us our reward ! England's bard was mistaken; ghosts will sometimes come, called or uncalled. Go to the fami- lies who were driven from the employments on which they were dependent for subsistence, in consequence of their exercise of the dearest right of free- men. Go to mothers, whilst hugging to their bosoms their starving children. Go to fathers, who, after being disqualified, by long public service, for any other business, were stripped of their humble places, and then sought, by the minions of authority, to be stript of all that was left them — their good names — and ask, what mercy was shown to them ! As for myself, born in the midst of the Revolution, tne first air that I ever breathed on my native soil of Vir- ginia, having been that of liberty and independence, I never expected justice, nor desired mercy at their hands; and scorn the wrath, and defy the oppres- sion of power ! I regret, Mr. President, that one topic has, I think, unnecessarily been in- troduced into thi» debate. I allude to tlie charge brought against the manu- facturing system, as favoring the growth of aristocracy. If it were true, would gentlemen prefer supporting foreign accumulations of wealth, by that description of industry, rather than in their own country? But is it correct? The joint stock companies of the North, as I understand them, are nothine more than associations, sometimes of hundreds, by means of which the small earnings of many are brought into a common stock, and the associates, obtain- ing corporate privileges, are enabled to prosecute, under one superintending head, their business to better advantage. Nothing can be more essentially democratic or better devised to counterpoise the influence of individual wealth. In Kentucky, almost every manufactory known to me, is in the hands of en- terprising and self-made men, who have acquired whatever wealth they pos- sess by patient and diligent labor. Comparisons are odious, aud, but in de- fence, would not be made by me. But is there more tendency toaristocracy, in a manufactory, supporting hundreds of freemen, or in a cotton plantation, with its not less numerous slaves, sustaining, perhaps, only two white families — that of the master and the overseer? I pass, with pleasure, from this disagreeable topic, to two general proposi- tions which cover the entire ground of debate. Miq first is that, under the ( I it the torch ri«cH. We iploy thftn^ jufactorips. ti/pns, haH but he per- \Vc found ciaiums i'or turc; must UMt wc iiup- bc (lone to ilicvcd that in branches oughout her le honorable iiority, and 'he m({}orit)/ 8 of the rai- Le any but a ome with an her of a ma- hat nugorit V )n the fourth 1 and forest, Ih of patron - Frcttident'H 68 : (live UA 'h bard was to the fami- c dependent right of frce- ng children, ace, for any )Ught, by the ;ood names — in the uiiditt soil of Vir- cted justice, the oppres- irily been in- the manu- were true, alth, by that is it correct? are nothing ch the small iates, obtain- perintending essential ly dual wealth, lands of en- Ith they poa- d, but in de- 1) aristocracy, n plantation, ite families — leral proposi- it, under the 2i operation of 'he American System, Iho ohjtcts whidi it protects nml fosters Are brought to the consumer at cheaper prices than they commanded prior erately to pioportion the measure of protection to each, according to its nature and tu the general wants of society. It is quite puHsibIc that, in the degree of protection which has been aftbrded to the various workers in iron, there maybe some error committed, although I have lately read an argument of much ability, proving that no injustice has really been done to them. If there be, it ou^lit to be remedied. The next article to which 1 would call the attention of the Senate, is that of cotton fabrics. The success of our manufacture of coart^c cottons is gen< erally admitted. It is demonstrated by the fact that they meet the cotton fa- brics of other countries, in foreign markets, and maintain a successful com- petition with them. There has been a graiuial increase of the export of thin article, which is sent to Mexico and (he Houth American Republics, to the Mediterranean, and even to Asia. The remarkable fact was lately commu- nicated to me, that the same individual who, twenty-five years ago, was en- gaged in the importation of cotton cloth frotn Asia, for American consump- tion, is now engaged in the exportation of coarse American cottons to Asia, for Asiatic consumption! And my honorable friend from Massachusetts, now in my eye, (Mr. Silsbek^ informed me that, on his departure from home, among the last orders which he ^ave, one was for the exportation of coarse cottons to Suimitrn, in the vicinity of Calcutta! I hold in my hand a state- ment, derived from the most authentic source, showing that the identical Ao- scriptiim of cotton cloth, which sold, in 1817, at twenty-nine cents per yard, was sold, in 1819, at twenty-one cents; in 1821, at nineteen and a half cents; in 1823, at seventeen cents; in 1825, at fourteen and a half cents; in 1827, at thirteen cents; in 1839. at nine cents: in 1830,at nine and a half cents; and in 1831; at from ten and a half to eleven. Such is the wonderful ef!ect of protection, competition, and improvement in skill, combined! The year 1829 was one of some sutVcriiig to this branch of iiulustry, probably owing ta the principle of competition being pushed too far; and hence we-obscrvc a small rise in the article the next two years. The introduction of calico print- ing into the United States, constitutes an important era in our manufacturing industry. It commenced about the year 1825, and has since made such as- tonishing advances, that the whole quantity now annually printed is but little short ofTorty millions of yards — about two-thirds of our whole consumption. It is a beautiful manufacture, combining great mechanical skill with scientific discoveries in chemistry. The engraved cylinders for making the impres- sion require much taste, and put in requisition the genius of the fine arts of design and engraving. Are the fine graceful forms of our fair countrywomen leiss lovely when enveloped in the chintses and calicoes produced by native industry, than when clothed in the tinsel of foreign drapery? Gentlemen are, no doubt, surprised at these facts. They should not under- rate the energies, the enterprise, and the skill, of our fellow -citizens. I have no doubt they are every way competent to accomplish whatever can be effect- ed by any other People, if encouraged and protected by the fostering care of our own Government. Will gentlemen believe the fact, which I am autho- rized now to state, that the United States, at this time, manufacture One half the quantity of cotton which Great Britain did in 181 C! We possess three great advantages: 1st. The raw material. 2d, Water power instead of thatof steam, f;enerally used in England. And 3d. The cheaper labor of females. InEng- and, males spin with the mule and weave; in this country women and girls spin with the tnrostle and supei-intend the power loom. And can there be any employment more appropciate? Who has not been delighted with contemplat- ing the clock-work regularity of a large cotton manufactory? I have often vi- sited them, at Cincinnati and other places, and always with increased admi- ration. Tne women, separated from the other sex, work in apartments, large, airy, well warmed, and spacious. Neatly dressed, with ruudy complexions, and happy countenances, they watch the work before them, mend the broken threads, and replace the exhausted balls or broaches. At stated hours they are called to their meals, and go and return with light and cheerful step. At 1 f S I tuppoted to , to elevate 8 interests, [■cording to tliiit, in the era in iron, 1 argument ) them. If late, is that tuns i» gen< ! cotton fa- essful com- port of thin Dies, to the >ly commu- ;o, was en- I consump- in» to Asia, usetts, now from Hume, n of conrsp intl a state - lentical de- t» per yard, I half cents; in 1827, at cents; and •fill oftect of cyear 1829 y owing to e- observe a nilico print- inufacturing ide such as- is but little msumption. th scientific the imprcs- fine arts of ntrywomen id by native I not under- !ns. I have in be eft'ect- Ting care of am autho- ure One half s three great lat of steam. In Eng- en and girls there be any contemplat- ive often vi • jased admi- (lents, large, omplexions, the broken I hours they ul step. At 38 night thoy separate, and repair to their renpective houMes, under the care of a mother, guuriiian, or friend. " Six days nhalt thou labor and do all that thou hast to iFo, but the seventh tlay is the Mabbath of the Lord thy Ootl.',' Ac- cordingly, we behold them, on that sacred day, assembled together in His tem- ples, and in ilevotional attitudes and with pious countenances «)fteriiig their prayers to Heaven for all its blessings, <»f \\^w\\ it is not the least thata sys- tetn of policy has been adopted by their counti y, which admits of their obtain- ing comfortable subsistence. Manufactwcs have bnmgbt into proiitable em- pU)yment a vast amount of female labor, which, willioiit th»Mn, would be lost to the fountry. in respect to woollens, every gentleman's own observation and experience will enable him to jucke of the great reduid in of price wliirh has taken place in most of these articles, since the tarift' ol iH'il. It would I: ve been still greater, but for the high duty on the raw material imposed for the particular bt'iiefit of the farming interest. But, without going into particular details, I shall limit myself to inviting the attention of the Senate to a single article of general and necessary use. The protection given to flannels in 1828 was fully adc(juate. It has enabled the American manufacturer to obtain complete pos- session of llie American marketj and now, let us look at the ett'ect. 1 have before me a statement fidin a highly respectable mercantile house, showing the price of four descriptions of tiannel, during six years. The average price of them, in 1826, was thirty-eight and threc-uuartercentsj in 1827, thirty-eight; in 1828, (the year of the tariff) forty-six; in 1829, thirty-six; in 1830, (not- withstanding the advance in the price of wool) thirty-two; and in 1831, thir- ty-two and one-quarter. These facts require no 'comments.* I have before me another statement, of a practical anil respectable man, well versed in the flannel manufacture in America and England, demonstrating that the cost of manufacture is precisely the same in both countries; and that, although a yard of flannel, which would sell in England at fifteen cents, would command nere twenty-two, the difference of seven cents is the exact difterence between the cost in the two countries, of the six ounces of wool contained in a yard of flannel. Brown sugar, during ten years, from 1792 to 1802, with a duty of one and a-half cents per pound, averaged fourteen cents per pound. Tne same arti- cle, during ten years, from 1820 to 1830, with a duty of three cents, has aver- aged only eight cents per pound. Nails, with a duty of five cents per pound, are selling at six cents. Window glass, eight by ten, prior to the tariffof 1824, sold at twelve or thirteen dollars per hundred feet; it now sells for three dol- lars seventy-five cents. The gentleman from South Carolina, sensible of the incontestable fact of the very great reduction in the prices of the necessaries of life, protected by the American System, has felt the full force of it, and has presented various explanations of the causes to which he ascribes it. The first is the diminished production of the precious metals, in consequence flf the distressed state of the countries in wnich they are extracted, and the consequent increase of •their value relative to that of the commodities for which they are exchanged. But, if this be the true cause of the reduction of price, its operation ought to have been general, on all objects, and of course upon cotton among the rest. And, in point of iact, the diminished price of that staple is not greater than the dimunition of the value of other staples of our agriculture. Flour, which commanded, some years ago, ten or twelve dollars per barrel, is now sold for five. The fall of tobacco has been still more. The Kite foot of Maryland, which sold at from sixteen to twenty dollars per hundred, now produces only four or five. That of Virginia has sustained an eaual decline. Beef, pork, every article, almost, promiced by the farmer, has decreased in value. Ought not South Carolina then to submit quietly to a state of things, which is gen- eral, and proceeds from an uncontrollable cause? Ought she to ascribe to the "accursed" tarift* what results from the calamities of civil and foreign war, raging in many countries? But, sir, I do not subscribe to this doctrine implicitly. I do not believe * S«e Appendix, letter H, for tlie MrooUtn inktiufactories in a singula county. .^ *.». ! I' Uli, I'M 4'X ',•' I;. 1 I 24 that the climinished production _of the precious uictals, if that be the fact, sa- tisfactorily accounts for the fall in prices: For, I think, that the augmentation of the currency of the world, by means of banks, public stocks, and other fa- cilities arising out of exchange and credit, has more than supplied any defi- ciency in the amount of the precious nietals. It is further urged that the restoration of peace in Europe, after the battle of Waterloo, and the consequent retnrn to peaceful pursuits of large masses of its population, by greatly increasing the aggregate amount of eftective labor, had a tendency to lov.er prices; and undoubtedly such ought to have been its natural tendency. The same cause, however, must also have operated to re- duce the price of our agricultural produce, for which there was no longer jthe same demand in peace as in war— and it did so operate. But its influence' on the pi'ce of manufactured articles, between the general peace of Europe in J815, arid the adoption of our tariff in 1824, was less sensibly felt, because, perhaps a much larger portion of the labor, liberated by the disbandment of armies, was absorbed by manufactures than by a«;riculture. It is also con- tended that the invention and improvement of labor saving machinery have tended to lessen the prices of manufactured objects of consumptionj and un- doubtedly this cause nas had some effect. Ought not America to contribute her quota of this cause, and has she not, by her skill and extraordinary adap- tation to the arts, in truth, largely contributed to it? _ This brings me to consider what, I apprehend to have been, the most effi- cient of all the causes in the reduction of the prices of manufactured articles — and that is, coMPErixtoN. By competition, the total amount of the supply is increased, and by increase of the supply, a competition in the sale ensues, and this enables the consumer to buy at lower rates. Of all human povyers operating on the affairs of mankind, none is -greater than that of competition. It is action and reaction. It operates between individuals in the same nation, and between different nations. It resembles the meeting of the mountain torrent, grooving, by its precipitous motion, its own channel, and ocean's tide- Unopposed, it sweeps every thing before it; but, counterpoised, the waters become calm, safe, and regular. It is like the segments of a circle or an arch; taken separately, eacn is nothing; but, in their combination, they produce efficiency, symmetry, and perfection. By the American System this vast power has been excited in America, and brought into being to act in co-opera- tion or collision with European industry. Europe acts within itself, and with America; and America acts within itself, and with Europe. The consequence is, the reduction of prices in both hemispheres. Nor^s it fair to argue, from the reduction of prices in Europe, to her own presumed skill and labor, ex- clusively. We affect her prices, and she affecis ours. This must always be the case, at least in reference to any articles as to which there is not a total non-intercourse; and if our industry, by diminishing the demand for her sup- plies, should produce a diminution in the price of those supplies, it would be very unfair to ascribe that reduction to her ingenuity, instead of placing it to the credit of our own skill and excited industry. Practical men understand very well this state of the case, whether they do or do not comprehend the causes which produce it. I have in my pos- session a letter from a respectable merchant, well known to me, in whicn he says, after complaining of the operation of the tariff of 1838, on the articles to which it applies, some of which he had imported, and that, his purchases hav- ing been made in England, before the passage of that tarif!" was known, it produced such an effect upon the English marltet, that the articles could not oe re-;jold without loss, he adds: "for it rea/Zt/ appears that, when additional duties are laid upon an article, it then becomes lower, instead of higher.^* This could not protfebly happen, where the supply of the foreign article did not exceed the home demand, unless, upon the supposition of the increased duty having excited or stimulated tht^ measure of the home production. The great law of price is determined by supply and demand. Whatever affects either, affects the price. .If the supply is increased, the demand re- maining the same, the price declines; if the demand is increased, the supply remaining the same» the price advances; if both supply and demand are un- diminished, the price is stationary, and the priceis influenced exactly in propor- m tHr*'*t- ~^ fict, sa- entation )ther Ta- lly defi- le battle ; masses ve labor, been its ed to re- nder the icnce" on urupe in because, Iment of Iso con- ery have and un antribute iry adap- Tfiost effi- irticles — supply is e ensues, n powers ipetition. le nation, mountain an's tide- he waters cle or an y produce this vast co-opera- and with isequence gue, from jor, ex- ways be ot a total ler sup- would be Lcing it to ther they my DOS- which he tides to ases hay- nown, it could not dditional higher.'^'' rticle did ncreased m. iVhatever mand re- le supply " are un- n propor- I 25 tion to the degree of disturbance to the dcmard or supply. It is therefore a greaf; error to suppose that an existing or new duty ncccssari/i/ becomes a compo- nent element, to its exact amount, of price. It the proportions of demand and supply are varied by the duty, either in augmenting the supply, or dimin- , isliing the demand, or vice versa, price is aftected, to the extent of that varia- tion. But the duty never becomes an integral part of the price, except in the instances where the demaiiU and the supply remain, after the duty is im- posed, precisely what they were before, or the demand is increased, and the supply remains stationary. Competition, therefore, wherever existing, whether at home or abroad, is the parent cause of cheapness. If a high cfuty excites production at home, and the quantity of the domestic article exceeds the amount which had been f»reviously imported, the price will fall. This accounts for an extraordinary act stated by a Senator from Missouri. Three cents were laid as a duty upon a pound of lead, by the act of 1828. The price at Galena, and the other lead mines, afterwards fell to one and a half cents per pound. Now it is obvious, that the duty did not, in this case, enter into the price: for it was twice the amount of the price* What produced the fall ? It was s/i- mulaled production at home, exerted by the temptation of the exclusive possession of the home market. This state of things could not last. Men would not continue an unprofitable pursuit; some abandoned the business, or the total quantity produced was diminished, and living prices ha\c been the consequence. But, break down the domestic supply, place us again in a state of tiependence on the foreign source, and can it be doubted that we shoul'.l ultimately have to supply ourselves at dearer rates? It is not fair to credit the foreign market with the depression of prices produced there by the influence of our competition. Let the competition be withdrawn, and their prices would instantly rise. On this subject, great mistakes are committed. I have seen some most erroneous reasoning, in a late report of Mr. Lee, of the Free Trade Convention, in regard to the article of sugar. He calculates the total amount of brmvn sugar produced in the world, and then states that what is made in Louisiana is not more than two and a half per cent, of that total. Although his data may be questioned, let us assume their truth, and what might be the result? rrice being determined by the proportions of supply and demand, it is evident that, when the supply exceeds tne demand, the price will fall. And the fall is not always regulated by the amount of that excess. If the market, at a given price, reauired five or fifty millions of hogsheads of sugar, a surplus of only a fevv hundred might materially influence the price, and dift'use itself throughout the whole rnass. Add, therefore, the eighty^or one hundred thousand hogsheads of Louisiana sugar to the entire mass pi-o- duced in other parts of the world, and it cannot be doubted that a mateiial reduction of the price of the article, throughout Europe and America, would take place. The Louisiana sugar substituting foreign sugar, in the home mar- ket, to the amount of its annual produce, would force an equal amount of foreign su^ar into other markets, which being glutted, the price would neces- sarily decline, and this decline of price would press portions of the foreign sugar into competition, in the United States, with Louisiana sugar, the price of which would also be broudit down. The I'act has been in exact conformity with this theory. But now let us suppose the Louisiana sugar to be entirely withdrawn from th« general consumption — what then would happen? A new demand would be created in America for foreign sugar, to the extent of the eighty or one hundred thousand hogsheads made in Louisiana; a less aiuouiit. by that quantity, would be sent to the European markets; and the price would consequently every where rise. It is not, therefore, those who, by keeping on duties, keep down prices, that tax the People, but those who, by repealing du- ties, would raise prices, that really impose burthens upon the People. But it is argued that, if, by the skill, experience, and perfection, which we have acquired, in certain branches of manufacture, they can be made as cheap as similar articles abroad, and enter fairly into competition with them, why not repeal the duties as to those articles? And why should we? Assuming the truth of the supposition, the foreign article would not be introduced in a regular course of trade, but would remain excluded by the posseusion of tht w>- 26 home market, which the domestic article had obtained. The repeal, therefore^ would have no legitimate eflect. But might not the foreign article be im- ported in vast quantities, to glut our markets, break down our establishments, and ultimately, to enable the foreigner to monopolize the supply of our con- sumption? _ America is the greatest foreign market for European manufac- tures. It is that to which European attention is constantly directed. If a great house becomes bankrupt, there, its storehouses are emptied, and the goods are shipped to America, where, in consequence of our auctions, and our custom-house credits, the greatest fi^cilities are afforded in the sale of them. Combinations among manufacturers might take place, or even the operations of foreign Governments might be directed to the destruction of our establishments. A repeal, therefore, of one protecting duty, from some one or all of these causes, would be followed by flooding the country with the fo- reign fabric, surcharging the market, reducing the price, and a complete pros- tration of our manulactorics; after which the foreigner would leisurely look about to indemniiy himself in the increased prices wliich he would be enabled to command by his monopoly of the supply of our consumption. What Ame- rican citizen, after the Government liad displayed this vacillating policy, would be again tempted to place the smallest confidence in the public laitn, and advunture once more in this branch of industry? Gentlemen have allowed to the manufacturing portions of the community no peace; tiiey have been constantly threatened with the overthrow of the American System. From the year 1820, if not from 1816, down to this,time, they have been held in a condition of constant alarm and insecurity. Nr thing is more prejudicial to the great interests of a nation than unsettled and vary- ing policy. Althoughevery appeal to the National Legislature has been re- spimded to, in conformity with the wishes and sentiments of the great majority of the People, measures of protection have only been carried by such small majorities, as to excite hopts, on the one hand, and fears on the other. Let the country breathe, let its vast resources be developed, let its energies be fully put forth, let it have tranquillity, and, my word for it, the degree of perfection m the arts which it will exhibit, will be greater than that which lias been pre- sented, astonishing as our progress has *>een. Although some branches ot our manufactures might, and, m foreign markets, now ^l>A — U:...r.. r.. Jiercfore, le be im- ishmentSt our con- manut'ac- ted. It' a , and the ions, and he sale of even the ruction of I some one th the fo- >lete pro9- irely look le enabled hat Ame- le polic blic tail I: ommunity ow of the this^time, Nassed into other and stranger hands. Some of the descendants of illustrious amilies have gone to the tar West, whilst others, lingering behind, have con- trasted their present condition with that of their venerateu ancestors. They behold themselves excluded from their fathers' houses, now in the hands of those who were once their fathers' overseers, or sinking into decay; their iina- finations paint ancient renown, the fading honors of their name, glories gone y; too poor to live, too proud to work, too high-minded and honorable to re- sort to ignoble means of acquisition, brave, daring, chivalrous, tvhat can be the cause of their present unhappy state? The "accursed" tarift'presents it- self to their excited imaginations, and they blindly rush into the ranks of those who, unfurling the banner of nullification, would place a State upon its sovereignty! The danger to our Union does not lie on the side of persistence in the Ame- rican System, but on that of its abandonment If, as I have supposed and be- lieve, the inhabitantsof all North and East of James river, and all West of the mountains, including Louisiana, are deeply interested in the preservation of that System, would they be reconciled to its overthrow? Can it be expected that two-thirds, if not three-fourths, of the People of the United States would consent to the destruction of a policy, believed to be indispensably necessary to their prosperity? When, too, this sacrifice is made, at the instance of a sin- gle interest, which they verily believe will not be promoted by it? In estimat- ing the degree of peril which may be incident to two opposite courses of liu- man policy, the statesman would be short-sighted who should content himself with viewing only the evils, real or imaginary, which belong to that course which is in practical operation. He should lift himself up to the contemplation of those greater and more certain dangers which might inevitably attend the adoption of the alternative course. What would be the condition of this Union, if Pennsylvania, and New York, those mammoth membeis of our confederacy, were firmly persuaded that their industry was paralysed, and their prosperity blighted, by the enforcement of the Jiritish Colonial Sys- tem, under the delusive name of free trade? They are now tranquil, and hap- py, and contented, conscious of their welfare, and feeling a salutary and rapid circulation of tlie products of home manufactures and home industry through- out all their great arteries. But let that be checked, let them feel that a fo- reign system is to predominate, and the sources of'their subsistence and com- fort dried up; let New England and the West, and the Middle States, all feel • As to Shirley, Mr. Clay acknowledges his mistake, made in the warmth of debate. It is yet the abode of the respectable and hospitable descendants of its former opulent proprietor. i ^' !'! ! 82 that they too are the victims of a mistaken policy, and let thew vast portions of our country despair of any favorable clumge, and then, indeed, might we tremble for (he continuance and safety of this Union! And need I remind you, sir, that this dereliction of the duty of protecting our domestic industry, and abandonment of it to the fiite of foreign legisla- tion, would be directly at war with leading considerations which prompted the ad(>pti(m of the present constitution? The States, respectively, surrendered to the General Government the whole power of laying imposts on foreign goods. Tlicy stripped themselves of all power to protect their own manufactures, by the most efficacious means of encouragement — the imposition of duties on ri- val foreign fabrics. Did they create that great trustr Did they voluntari- ly subject themselves to this self-restriction, that the power should remain in the Federal Government, inactive, unexecuted, and lifeless? Mr. Madison, at the commencement of the Government, told you otherwise. In discussing, at that early period, this very subject, he declared that a failure to exercise this power would be a "/rawr' upon the Northern States, to which may now be added the Middle and Western States. [Governor Miller asked to what expression of Mr. Madison's opinion Mr. Clay referred} and Mr. C. replied. Ins opinion, expressed in the House of Representatives, '.\i 1789, as reported in Lloyd's Congressional Debates.] Gentlemen are greatly deceived as to the hold which this system has in the aftections of the Pet)ple of the United States. They represent that it is the policy of New England, and that she is most benefitted by it. If there be any part of this Union which has been most steady, most unanimous, and most determined in its support, it is Pennsylvania. Why is not that power- ful State attacked? Why pass her over, and aim the blow at New England ? New England came, reluctantly, into the policy. In 1824 a majority of her delegation was opposed to it. From the laige'^t State of New England there was but a solitary vote in favor of the bill. That enterprising People can rea- dily accommodate their industry to any policy, provided, it be settled. They supposed this was fixed, and they submitted to the decrees of Government. And the progress of public opinion has kept pace with the development of the benefits of the system. Now, all New England, at least in this House, (with the exception of one small, still voice) is in favor of the system. In 1824 rJI Maryland was against itj now, the majority is for it. Then, Louisi- ana, with one exception, was opposed to it; now, without any exception, she is in favor of it. The march of public sentiment is to the South. Virginia will be the next convert; and, in less than seven years, if there be no obstacles from political causes, or prejudices industriously instilled, the majority of Eastern Virginia will be, as the majority of Western Virginia now is, in favor of the American System. North 'Carolina will follow later, but not less certainly. Eastern Tennessee is now in favor of the system. And, finally, its doctrines will pervade the whole Union, and the wonder will be, that they ever should have been opposed. I have now to proceed to notice some objections which have been urged against the resolution under consideration. With respect to the amendment, which the gentleman from South Carolina had ottered, as he has intimated his purpose to modify it, I shall forbear, for the present, to comment upon it- It is contended that the resolution proposes the repeal of duties on luxuries, leaving those on necessaries to remain, and that it will, therefore, relieve the ricn, without lessening the burthens of the poor. And the gentleman from South Carolina has caretuily selected, for ludicrous effect, a number of the unprotected articles, cosmetics, perfumes, oranges, &c. I must say, that this exhibition of the gentleman is not in keeping with the candor which he has generally displayed: that he knows very well that the duties upon these articles are trifling, and that it is of little consequence whether they are re- pealed or retained. Both systems, the American and the foreign, compre- hend some articles which may be deemed luxuries. The Senate knows that the unprotected articles which yield the principal part of the revenue, with which this measure would dispense, are coffee, tea, spices, wines, and silks. Of all these articles, wines and silks alone can be pronounced to be luxuries; ist portions , might we ' protecting iign legisla- ompted the urrcnclered leigii goods, actures, by luties on n- voluntari- d remain in r. Madison, discussing, : to exercise ch may now opinion Mr. ic House of cbates.] im has in the at it is the If there be nimous, and that power- w England } jority of her igland there >nle can rea- 'tled. They iovernment. elopment of this House, system. In lien, Louisi- ption,she is \^irginiawill istacles from of Eastern avor of the _ certainly, its doctrines ever should been urged imendment, ti mated his jnt upon it- )n luxuries, ore, relieve tleman from fnber of the say, that which he upon these hey are re- n, compre- knows that enue, with , and silks. e luxuries; r \ as And, as to wines, we have already ratified a (rcaly, not yet prouiul^a(r(l, by which the duties on them arc to be coiisi«it*rably reduced. It the universality of the use of objects of consumption determines their classification, coflee, tea, and spices, in the present condition of civilized society, may be considered necessaries. Even if they were luxuries, why should not the poor, by cheap- ening their prices, it that can be elfected, be allowed to use them? Why should not a poor man be allowed to tie a silk handkerchief on his neck, oc- casionally regale himself witli a glass of cheap French wine, or present his wife or daughter with a silk gown, to be worn on Sabbath or gala days r I am quite sure that I do not misconstrue the feelings of the gentleman's heart, in supposing that he would be happv to see the puor, as well as the rich, mode- ratelv iiululging themselves in tuese innocent gratifications. For one, I am delighted to see the condition of the poor attracting the consideration of the opponents of the tarit!'. It is for the great body of the People, and especially for the poor, that I have ever supported the American System. It attbrtfs them protitable emplovmeot, and supplies the means of comfortable subsist- ence. It secures to them, certainly, nece vernment, whilst the question is pending and undecided, to make such an ex- change." The difference in value between a stock bearing three per cent, and one bearing seven per cent., must be really much greater than the difterence between 96 and 126 percent. Supposing them to be perpetual annuities, the one would be worth more than twice the value of the other. But my Direc- tion to the Treasury plan is, that it is not necessary to execute it — to continue tliese duties, as the Secretary proposes. The Secretary has a debt of twenty- four millions to pajT; lie has, from the accruing receipt) of this year, fourteen hii )B>l:. Iileasp, partly irith their own lion toth« re- nino niillions p:iying off the 433, including uckt I had re- tvaH not more le within thi^ I report, that !cn millions ol perceive any uggested; and ury, asHUining duties on un- n»e ignorancr inion,thcScc- (round the Se- Jthough, when altogether un lid the RegiHtci e National In- gentlemen are ifhich they pos- (thcrs have rt- r thinking thut ill not say tiuv rtainly place a oblige the Sie r>king Fund, to ent stock par- the purchase oi on, may be ad- i/ authority, to y of the Trea- ebt, bearing a the act by pur- impeachment, public debt re- IS in the Trea- apply that sur- tne interest ot think, be wise 8c. The post s session,' must trc, that I can ive been made ,t their market market price, them. If the •th much more be fair in Go^ ike such an cx- ; per cent, and trie difference annuities, the iut my oDJec- .: — to continue iebt of twenty lyear, fourtceri millions, and we are now told by the Senator from Maryland, that thiH !«iiiTt of fourteen millions is exclusive of any of the duties accruing this year. Ili proposes to raise eight millions by a sale of the bank stock, and to anlicipaU-, from the revenues receivable next year, two millions more. These three items, then, of fourteen millions, eight millions, and two millions, make up the 8uin required, of twenty -four millions, without the aid of the duties to which the resolution relates. The gentlemari from Maryland insists that the General Government has been liberal towards the West in its appropriations of public lands for internal improvements; and, as to fortifications, ne contends that the expenditures near the mouth of the Mississippi, are for its especial benefit. The appropria- tions of land to the States of Ohio. Indiana, llhnois, and Alabama, have been liberal; but it is not to be overlooked, that the General Government is itself the greatest proprietor of land, and that a tendency of the|improvement8. which these appropriations were to effect, is to increase the value of the unsold pub- lic domain. The erection of the fortifications lor the defence of Louisiana was highly proper; but the gentleman might as well place to the account of the \\«'st. the disbursements for the fortifications intended to defend Baltimore, Philadelphia, and New York, to all which capitals Western produce is sent, and, in the security of all of which, the Western People feel a lively interest. They do not object to expenditures for the army, for the navy, for fortifications, or for any other defensive or commercial object on the Atlantic, but they do think that tlieir condition ou"ht also to receive friendly attention from the (ieneral Government. With respect to the State of Kentucky, not one « ent of money, or one acre of land, has been applied to any object of internal improvement within her limits. The subscription to the stock of the canal at Louisville was for an pbject in which many States were interested. The Senator from Maryland complains that he has been unable to obtain any aid for the rail road which the enterprise of Baltimore has projected, and, in part, executed. That was a great work, the conception of which was bold and highly honorable, and it deserves national encouragement. But how has the Committee of Roads and Canals, at this session, been constituted? The Se- nator from Maryland possessed a brief authority lo organize it, and. if I am not misinformed, a majority of the members composing it. appointed by hirn. are opposed both to the constitutionality of the power and the expediency of exercising it. And now, sir, I would address a few words to the friends of the American System in the Senate. The revenue must^ ought to be reduced. The coun- fiy will not, after, by the payment of the public debt, ten or twelve milljons 01 dollars become unnecessary, bear such an annual surplus. Its distribu- tion would form a subject ot perpetual contention. Some of the opponents of the System understand the stratagem by which to attack it, and are shap- ing their course accordingly. It is to crush the System by the accumulation of revenue, and by the effort to persuade the People that they are unnecos- aarily taxea^ whilst those would really tax them who would break up the native sources of supply and render them dependent upon the foreign. But the revenue ought to be reduced, so as to accommodate it to the fact of the payment of the public debt. And the alternative is or may be, to preserve. the protecting system, and repeal the duties on the unprotected articles, or to § reserve the duties on unprotected articles, and endanger, if not destroy^ the vstem. Let us then adopt the measure before us, which will benefit all classes: the farmer, the professional man, the merchant, the manufacturer, tht! mechanic; and the cotton planter more than all. A few months ago, there was no diversity of opinion as to the expediency of tliis measure. All, then, seemed to unite in the selection of these objects, for a repeal of duties which were not produced within the country. Such a repeal did not touch our do- imestic industry, violated no principle, offended no prejudice. Can we not all, whatever may be our favorite theories, coitlially unite on this neutral ground? When that is occupied, let us look beyond it, and see if any thin^ can be done, in the field of protection, to modify, to improve it, or to satisfy those who are opposed to the System. Our Southern brethren believe that it is iiijurious to tnem, and ask itslrepeal. We believe that its i\|i'! r I I 36 . almndonmMit will be projuiliral to them, and ruinous to every oilier section of the IJnion. However Ktrotij; their convirtioui* may lie, they are not Ntronxcr than ourH. Betw#en the pomts of the pi-e»ervatior '»f the HyHtem ami its ab Holute repeal, there is no prinriplc of union. It n can be ahowrrio operate immoderately on any quarter; if (he meaouro of protection to any article can be demonstrated ^o be undue and inordinate, it would be the dutyof Congresi to interpose and apply a remedy. And none will co-operate more heartily than I snail, in the performance of that duty. It is quite probable that bene- ficial modihcations of the System may be made, without impairing its effica- cy. But, to make it fulfil the purposes of its institution, the measure of protection ought to be adequate. If it be not, all interests will be injuriously affected. The manufacturer, crippled in his exertions, will produce less per- fect and dearer fabrics, and the consumer will feel the consequence. This is the spirit, and these are the principles only, on which, it seems to me, that a settlement of thit great question can be made, satisfactorily to all parts of our Union. APPEIVDIX. A. .i view of the Tonnage of/ the United Slates from 1816 /o 1829. Years. Registered. Enrolled and liceaaed. ToUl. 1815 864,204.74 613,833.04 1,368,127.78 1816 800,769.63 671,458.85 1,372,218.53 1817 809,724.70 590,186.66 1,399,911.41 1818 606,088.64 609,095.61 1,225,184.20 1819 612,930.44 647,821.17 1,260,751.60 1820 619,047.63 661,118.66 1,280,166.24 1821 619,096.40 679,062.30 1,298,068,70 1822 628,160.41 696,648.71 1,324,699.17 1823 630,920.76 696,644.87 1,336,565.68 1884 669,972.60 719,190.37 1,389,163.02 1836 700,787.08 722,323.69 1,428,111.77 1826 737,978. 15 706,212.68 1,534,190.83 1SS7 747,170.44 873,437.34 1,620,607.78 18M 812,619.39 928,772.50 1,741,391.87 1839 841,406.16 976.994.41 1,818,490.57 As the tonnage account was corrected at the treasury in 1829, the following deduc- tions are to be made from that year: Registered tonnage sold to foreigners for 1829, 14,093.22 Do. do. lost at sea, . 17,692.83 Do. do. condemned as unseaworthy, . 11,464.70 Corrections by striking from the balance of outstanding tonnage, vessels sold to foreigners, lost, and con- demned in previous years, and heretofore credited, 156,315.74 Enrolled and licensed tonnage arising from the same cause, ...... Add to this the actual tonnage, The apparent tonnage, as above. 358,136.12 657,692.71 1,260,797.81 1,818,490.67 i ft As there are no data to ascertiun when the correction thould have been made, the only mode of showing the comparative amount of tonnagq^ or rather tlis gradual increase I *r section of lint HtronKcr I and its ab ;rto operate ' article can of Congress tore lieartily e that bene- ng its efficn- ineasure of e injuriously Lice less per- ce. This is me, that a 1 parts of our 19. ToUl. i J68, 127.78 )72,ai8.53 }90,911.'ll 225,184.20 260,761.60 ^80,166.24 198,958,70 324,699.17 336,565.68 389,163.02 128,111.77 534,190.83 820,607.78 741,391.87 Rl 8,490.57 >llowing deduc- t,093.22 7,692.83 1,464.70 6,315.74 8,136.12 7,692.71 0,797.8'. 8,490.67 made, the only lual incr^ise 87 between 1816 and 1899, it by continuing the error to 1839, which had been included in the preceding yean. Rut we want the rctumB of 1830 and 1831, to exhibit the prosperous state of the coasting trade, during which periods it has rapidly advanced, and during the year 1831, more vessels for the foreign and coasting trade have been built, than in any year lince the adoption of the conetilufion- This great change has been eH'ected in the coasting trade, by the extension of manu- factories, viz. ships and brigs huve been required, instead of schooners and sloops, to transport cotton, rice, tobacco, flour, and the other great staples of agricultural indus- try, from the Southern to the Middle and Northern States, and to convey the products of manufacturing and mechanical industry of the latter to the former.* The freight paid for cotton irom New Orlrann to Boston, the last vear, 1831, for the supply of the factories of Lowell, only, was o\ r 62,000 dollars. The number of vessels employed, including the repeated voyages, which entered into and departed from each State and territory during the year 1830, was 4,745; whose tonnage entered was 96.'i,227, and the departed 071,760, employing 43,756 seamen. This can only include such vessels as are actually required to enter and clear at the custom houses; therefore, docs no*, present more than /mZ/'that trade, B. Chronological Table of the values of Real Estate in the city of New York, during two commercial periods, of seven years each. 1st Period. — Foreign Commerce, regulated by the Tariff of 1816. 1817, Real estate, assessed at 1818, 1819, 1820, 1821, 1822. 1823, 1824, |67,709,4S& 69,846,186 60,490,446 62,063,858 60,619,820 53,331,674 60,184,229 62,019,730 168,425,396 64,803,060 72,617,770 77,139,880 76,835,680 87,603,680 96,716,486 Decrease in seven years, $6,779,706 2d Period. — Internal Commerce with the Western States. 1826, (Erie Canal finished) • 1826, " •' . . 1827, .« « .... 1828, •• " - ' • 1829, «« «« - - - . 1830, (Part ofthe Ohio Canal finished) 1881, •« <« .... Increase in seven years, • $43,706,766 c. . Report of the Committee on the Manufacture of Wool. The committee, directed by the Convention of the friends of Domestic Industry, convened in New York, in October last, represent to tlie permanent committee, that the committee on the manufacture of wool forthwith issued circulars, with various in- terrogatories, to tile manufacturers of wool, in the several States represented in the convention; that tliey have as yet received but partial returns, and ask leave of tlie' permanent committee for further time to complete their report. It is much to be re- gretted, that the requisition of the permanent committee cannot earlier be complied witli, in submitting the actual returns; but, when it is considered over what an extent of country these inquiries reach, it is not surprising that information of such magni- tude should require more time for the actual returns. From information already re- ceived, and from calculations bused upon that information, the committee are justified in submitting the following as general results; in thus doing, they, with much confi- * Tlie uonaumpUon of (he coat of Henntytvania, in the Noiilirrn portt, liax renulreil a vatt increaM o( (hecuaitiii^ iraile, anil the deiuanil fur inackei'«l and utiivr flih, in tlif Middle and Suuthern State*. 'Wp, 'HI! 38 dsnce, beliAve that the amount will fall short of the actual retiima, as to the extent and manufacttipe uf wool. All which is respectfiilly submitted. E. H. R0BBIK9, Chairman. No. 1. The probable number of sheep in tlie United States is twenty millions, and worth, on an average, two dollars per head, . . . $40,000,000 The sheep farms, generally, do not support three sheep to the acre, summer and winter through, although the land be pretty good, and well managed. Of tlxe twenty milUons of sheep, it is supposed that aboutifive millions are in the State of New York, having had 8,469, 539 in 1825, the latest returns at hand; and it ia known, that many of these sheep are fed upon lands worth from fifteen to thirty dollars per ^cre; and, in Dutchess county, in which are .ibout five hundred thousand sheep, the lands on which they are fed ai-e worth about twenty-five dollars per acre. It is then probable, that the average worth of land in the United States, capable of supporting three sheep to the acre, through the year, are worth ten dollars per acre; twenty millions of sheep will require 6,666,666 acres, say 6,500,000 acres, at $10, Capital in sheep, and lands to feed them, The twenty millions of sheep produce fifty millions of pounds of wool, annually, the average value ofwhich, for three years, 1829, 1830, 1831, exceeded forty cents per pound, or, - - {^20,000,000 (The crop of 1831 was worth more than $25,000,000.) The crop of wool, having reference to the whole quantity made into cloth of various qualities, is worth - 40,000,000 Which is about the gross annual product of wool and its manufactures in the United States. If tlie woollen goods imported, valued at five millions of dollars, be added, there will be allowed for each person in the United States, three and a half dollars' worth of woollens per an- num, including blankets, carpets, &c. as well as clothing. The fixed and floating capital vested in the woollen manufactories of the United States, such as lands, water rights, buildings, machinery, and stock on hand, and cash employed, may be estimated at t r u 66,000,000 $105,000,000 a t w P in Cl 40,000,000 ^ Capital directly vested in the growth and manufacture of wool, $145,000,000 The proportion between the amount of wool used in the factories, and worked up by household industry, are as 3 to 2; and, on the average, it will employ one person to work up one thousand pounds of wool', annually, or fifty thousand persons in the whole. It is reasonable to suppose that each laborer subsists two otlier persons, say 150,000 in all, deriving a direct support from the woollen manu- facture, whether household or otherwise. Each pewon will consume at least twenty-five dollars* worth of agricul- tursd products annually, is $3,750,000 worth of subsistence. The average product of lands, cultivated for the supply of food, does not exceed two dollars and fifty cents per acre yearly, after subsisting * the cultivators, and those dependent on them; it will, therefore, re- quire 1,500,000 acres of land to feed thosc'manufacturers and their de- pendents, worth, say fifteen dollars per acre, is - . 32,500,000 Capital involved in the growth and manufacture of wool, in the U. S. $167,500,000 The annual value created by, or accruing to, agriculture, because of tlie growth and manufacture of wool, may be thus shown : Wool, ...... $20,000,000 Provisions to man-i cturers, .... 9,760,000 Fuel, timber, and other products of the land, supplied, . 600,000 Charges for transportation, and food of horses, and otlier animals, •m- ployed because of the factories, . . , 600,900 924,760,000 t Tl lia asc < yp.t CUH in I allf and att ent we, alw exo less Ike dm. i the axtent and S, Chairman. B, and worth, on $40,000,000 •e, nd lat 39 se :e; n.l ,ve nd re, of 65,000,000 4 89 The folIoMrhipf should rightfully be added, to show the whole opf ration of the woollen manufacture in the United States: For every one hundred thousand pounds of wool manufactured, there is '' a constant employment, equal to the labor of six men, in the erection and repair of buildings, mill wrights' and^ blacksmiths' work, and in the building and repairing of machinery, whether for wool worked up in the factories or in families; say three thousand men, whose labor sub- sists at least nine thousand other persons — twelve thousand in all, and consume, each, twenty-five dollars' worth of agricultural produce an- nually, i* . • - - - - $105,000,000 ol, 31, )00 300 res five [1 in an- the and 1, \ md 40,000,000 (145,000,000 )0l. >ns. ■ nu- :ul. * oes ing re- de- rth 22,500,000 $167,500,000 e growth and $20,000,000 8,750,000 500,000 ►m- 600,900 300,000 ' $25,050 ,000 Making the wiiole number of persons employed, because of the manufacture ofwool, onft hundred and sixty-two thousand, and requiring of the product of agriculture, for materials and subsistence, the very large amount, per annum, of twenty.five ntillions and fifty thousand dollars. No. 2. The subject of the woollen manufactuBe might be much further pursued, as to the employment of persons and capital in other various branches of industry connected with it — making of iron; mining coal; the whale fishery; the foreign and coasting trade, and nil the p.t be of their opinion, who are for having all the ports of England made free — all our custom houses demolished — and all the products and manufactures of the world brought in free', of all duty, that we may send them out again, as free, to all other countries: alleging that this is tlie practice of Holland, the Hans Town, Hamburg, Leghorn, &c.; and that It is by these means they have worked themselves into so vast and extensive a trade, in furnishing other People with foreign commodities. But these notions are entirely wrong. For, as to the Dutch, tliey lay duties on their importations as well as we, &c, *« But what is of the utmost consequence to us is, that, by laying high duties we are always able to check the vanity of our People in their extreme fondness of wearing exotic manufactures. For if it were not for this restraint, as our neighbors give much less ivages to their workmen than we do, and consequently can sell cheaper, the Italians, the French, and the Dutch, would have amtinued to pour upon us their silks, paper, hats, ilruggtts, stuffs, rattetns, and even Spanish wool clothes; [for they have tii« wool of 40 tlvat country as cheap as wc ; and are become masters of that biisIneRS, by the gfreat encouragement they have given to able workmen from other countries, to settle with them:] und thereby have prevented the growth of those manuj'atturea amongst us; and so might have reduced us to the low estate we were in before their establishment. •■ And, therefore, it will ever be a maxim, strictly to be observed, by all prudent Govern- ments, who are capable of manufacturing within themselves, to lay such 'duties on the foreign as may favor their own, and discourage the importation of any of the like sorts from abroad. By this means the French have, in our time, nursed up a woollen manu- factory, and brought it to snch perfection as to furnish themselves with all such wool- len godils as they formerly bought of us to a very great value: and arc even become com- petilors with tM, in foreign markets," [It seems, then, that, at least so long as one ccnt-iry ago, the modern doctrine of Free Trade had its advocates; and that France, following the example of Great Britain, and rejecting this doctrine, pursued what is called the American System. The wealth of power enjoyed by France and England, attributable mainly to the encouragement which tliey aflbrded to their own industry, contrasted with the languor, debihty, aud dependence, all around them, afford a practical demonstration of the wisdom and the folly of these opposing doctrines.] •' The proper means to discourage the importation of foreign manufactures and to promote the increase of our ov/n, is to lay such duties on tlie foreign, as may encou- rage our People to vie with them : and this we have formerly practised, in some instances to our advantage. But we should go on further, and advance the duties on all such foreign manufactures which we might well supply ourselves with, in such a proportion that our manufactures might be enabled to afford what they make cheaper than they could be imported." — Page 172. 4. To what point shall protection or encouragement be carried? [Speaking of the encouragements necessary to colonial industry, to render it^acces- sory to the British policy, our author .says.] •• After all, it will hardly be possible to bring any of those Improvements to the de- sired perfection, without steady resolution in the Government to sustain and support them, and, as it were, to carry them in their arms: for new enterprises will always be subject to accidents and discouragements too difficult for private persons to surmount, without the assistance of the public, as occasion may require, of which we have a plain instance in our attempt upon pitch and tar: for the encouragement whereof a large bounty was given /or several years, till It came to be imported in such vast quantities, that we had not only enough for our own consumption, but even to export to our neigh- bors: from which great plenty we were ready to persuade ourselves that this business was su fficiently established, and therefore, neglected the continuance of the bounty. Since which, the importation of tiiose commodities from Russia, Sweden, and Norway, is re- nssumed, 8tc. So that we arc likely to be soon beaten out of that trade again, unless tve shall better secure it to ourselves, eitlier by renewing the bounty or advancing the duty upon foreign pitch and tar." [Such were the opinions of a writer, who looked with a keen and observing eye to the great interests of Aw country j and who, -instead of being misled by the wild theo- ries of the day, was influenced by practical results, and the experienca of ages. 1 am not so ignorant or so presumptuous us to suppose, that these quotittions can add any tiling to your information or research. But, upon this engrossing question, 1 was desirous to contribute, if I could, an Inimble mite in support of measures upou which 1 believe depend the prosperity and happiness of the whole Union.] .•■*■ , by the gfreat to settle with xmgat US; and hment. •■ And, ident Govern- 1 'duties on the f the like sorts ivooUen manu- iiU such wool- en become com' rn doctrine of ' Great Britain, n. The wealth :ncouragement ", debiUty, aud wisdom and the factures and to as may encou- some instances ties on all such ch a proportion ?aper than they render itjacces- nients to the de- un and support 3 will always be ns to surmount, we have a pHun diereof a large vast quantities, irt to our neigh- tat this business bounty. Since Norway, is re- c again, unless r advancing the ^serving eye to the wild theo- fages. uotittions can sing question, measures upon iin.] 4« E. • Statement of the annual amount of Exports av I Imports, to and from England, Scot- land, and Ireland, from the 1st of Octobtrf 1820, to the 30th June, 1831. TEARS. Exports. Imports. In the year ending 30th September, 1821, $20,777,480 $26,087,108 1822, 24,498,347 34,806,287 1823, 21,866,939 27,935,141 1824, 21,620,179 28,088,317 1825, 37,102,978 36,713,246 1826, 21,991,875 26,131,969 1827, 26,392,306 30,287,113 1828, 23,060,669 32,811,210 1829, 24,291,693 25,279,489 1830, 26,329,352 23,519,214 In the nine months ending 80th June, 1831, 26,031,710 29,918,993 $273,963,528 $320,578,087 273,963,628 $46,614,659 Tbbasdrt Departusnt, Register's Office, January 25, 1832, T. L. SMITH, Register. Note. The records do not exhibit the valu« of imports, prior to the 1st October, 1820. F. The expenses of planting cotton, in Louisiana may be estimated, upotl a general average, of less than one third of the crop, or of three cents a pound. Plantations, of from five to ten thousand dollars a year, lost about one-third, for the expenses of making the crop, induing *he ordinary and necessary expenses of plain living for the support of the family. In plantations yielding more than ten thousand dollars, the expenses bear a less pro- portion, and those less than five thousand dollars, a greater, to the amount of tlie crop. At the present prices of lands and slaves, the latter of which are high, plantations will yield ten per cent, and often upwards; and, when the capital is large, the profit will be much greater. It may be safely computed, that plantations yield a clear profit of seven per cent., and, in favorable years, of ten per cent. The above estimate is founded on nine and ten cents for cotton. Of tliese expenses, it may be calculated that pork, and the wages of the overseer, compose one half. The overseers, in general, save nearly all their pay. One half the remainder is made up of cotton bagging, cordage, horses, mules, oxen, and taxes. The cotton bagging, and cordage is made of hemp, in Kentucky; is much stronger and safer for b^ing than the foreign; and, besides, weighs much heavier. It now sells, in consequence of the competition, at from sixteen to twenty cents. The planters estimate that, at these prices, it will, at ten cents a pound, with the cordage, sell with the cotton for as much as it costs. About one fourth of the expenses of a plantation are for woollens, cottons, blankets, shoes, hats, salt, sugar, coffee, medicine, iron, tools, &c. all articles paying duties, a^ different rates. In a crop of ten thousand dollars, tlie expenses may vary from two thousand eight hundred to three thousand two hundred dollars; of which it may be said, from seven to flight hundred are for articles paying duties. These expenses depend much upon management and economy. 'iii If iff I ililli M i tt li ■!, 42 G. New York, October S\. 1891. B. B. HoWBLi, Esq. Dear Sir: In conformity with your request, 1 herewith gfive you a statement of the iron produced in Litchfield county, Connecticut, with the manufactures of iron and steel in said county; to which I have added the other productions of the county, as estimated by the delegates of the convention from that county. "It may not be per- fectly accurate, as a portion of it is founded upon conjecture j but the total will rather run short of, than overrun, the true amount, as a very considerable list of articlea, each of small comparative value, are entirely omitted. I am, very respectfully, your obedient servant, JOHN M. HOLLEY. ,! FttlM. Value. Pig, and bar iron, 8cc. $293,000 Brought forward, Shoes and boots. $451,700 112,000 Manufacturetofiron, &c. • Carriages and wagons. 38,000 Scythes, • $56,000 Clocks, - 382,000 Hoes, 7,lfi0 Leather, ' 181,000 Axes, 26,500 Cabinet work, and chairs, 27,000 Rat and mouse traps, - 9,500 Cordage, 500 Shoe Ucks, and sparables, 40,000 Machinery, part wood, and part Shovels and spades, 6,500 iron and steel, 19,000 Augers, 200 Brick, clay furnaces, and mar- Steel, 8,000 ble. 38,200 Pitchforks, 20,000 Rakes and brooms. 5,000 Ploughs, 3,800 Lime, 5,000 Musical instruments. Buttons, Cheese, 2,200 20,000 $177,660 115,000 Other productions. Butter, 17,600 Wool, $151,000 Woollen cloths. 215,000 $1,414,200 Cotton cloths, 15,000 Pig and bar iron. - 293,000 Hats, 70,700 Manufactures of iron, &c. Total, 177,650 Carried forward. $451,700 $1,884,850 t H. Abstract of returns of thirty-five fVooUm Factories, in the county ef fVorcetter, Massa- chusetts. Amount of capital invested, including tlie annual average amount of stock and goods on hand, ...... $2,310,000 Quantity of wool manufactured, very littla of which is produced in Mas- sachusetts, 2,530,000 pounds, annually. Annual quantity of broadcloths, . 642,000 yardi. " cassimeres, , . 366,000 " " sattinet, . . 1,146,000 " Average annual value of goods, ..... Aggfi'egate amount of wages, ..... Articles of American production used in the above factories, besidM wool, say cotton, for warps of satdnets, pot and pearl ashes, woad, alum, vitriol, copperas, and other chemicals, glue patM, soap, Sig . TmssIb, lime, bran, fuel, leather, for cards and belts, 2,671,350 298,562 16t,466 81 1831. BUtement of urea of iron the county, ^ not be per- gj will rather of ftrticlei. iOLLEY. Valut. $451,700 112,000 38,000 382,000 181,000 27,000 500 )art DSU*« 19,000 38,200 5,000 5,000 2,200 20,000 115,000 17,600 $1,414,200 293,000 177,650 $1.884,850 48 I. . Extract from an article in the Charleston City Gazette, copied into the New OrUana Em- porium, January 4. 1st. The greatest fluctuation in the price of cotton was before the tariff of 1824. 2d. Cotton, like every other article of merchandise, has its fixed price, not in Ame- rica, but in the market of the world, and depends upon the proportion batween de- mand and supply, just as corn, which, when it is scarce, sells high, and when plenty sells low. To illustrate how perfectly the price depends on the demsind, it is stated that the crop of 1819, amounting to eighty-eight millions of pounds, sold for* twenty-one mil- lions of dollars; while the crop of 1823, amounting to one hundred and seventy mil- lions of pounds, was sold for only twenty millions of dollars ! And this before the light tariff of 1824. The cause of this difference in the price of cotton is found in the state of the markets, which were hungfiy in 1819, and had not a great supply, but were overfed in 1823, and could hardly digest the crop of that year. The price of cotton fluctuated before the present tariff, and, if the same causes of fluctuation exist, they will produce the same effects, independent of the tariff. It is true cotton has come to be sold at ten cents per pound, that used to bring twenty cents. In this reduction of his profits, the cotton planter oni_ shares the same with the wheat grower. Flour is sold at five dollars per barrel, wlnch formerly brought eight and ten dollars; and the products of the earth generally are low, because they are very abundant. Witli respect to cotton, this is to be said further. No mode of investing money in agi'icultural pursuits, this side of the sugar plantations, has afforded so great an income as the culture of cotton. 8o tliat has happened to tlie cotton planter, which happens to all, viz : a diminution of his income, from the multitudes of those who adopted his lucrative business. To seek relief from this depressed price of cotton, by repealing the tariff law, is a most inconsiderate step : for the tariff not only creates a new market for raw cotton, but it also converts some of the finest country for growing cotton, into sugar plantations. The tariff, by protecting domestic sugars, enables the Louisianian to raise sugar. Re- move the tariff from sugars, and the Louiaanian cannot compete with the West Indian. Cotton he can raise to better advantage than the Carolinian. So the relief of the cot- ton planter, sought by the repeal of the protecting tariff, would multiply cotton grow- ers and c\it off the northeastern market at one and the same blow. What a stroke of nullifying policy that would be ! The price of any thing in market is governed by the stock in market; if that is gfreat, the price is low; if small, the price is high. Whatever has a tendency to consume the stock, increases the price; and whatever has a tendency to increase the stock, di- minishes the price of that article in the market. The terrible manufactures at the North do not add to the stock of cotton; they di- minish the stock, and raise the price in the market of the world. They consume vast quantities of cotton, and clear the market of what might otherwise become a drug. A repeal of tlie tariff law would wind up the Northern factories. When these ceass to be consumers, the price of cotton must fall lower than it now is. 'esttr, Ma$sa- k and goods $2,310,000 2,«71,260 298.662 16M65 I