the duties must be raised above 20 per cent., in order to meet the wants of the government; and that the fact of so raising them will, by one of its provisions, repeal the act. Such is, indeed, the provision; and it is ao less true that its insertion was necessary to secure the passage of the act, and its passage that of the Bankrupt Act. Such being the fact, honour and good faith forbid the repeal of the proviso. But will they be respected? I would be happy to think so, but am incredulous, because the policy of the party stands in the way. Yes; to restore the land fund would raise the income some three or four millions of dollars annually. That would reduce the necessity of raising the duties proportionally; and that would be inconsistent with the policy of the party, to which everything must yield.

The same cogent argument will prevent all serious efforts in favour of economy and retrenchment. We have been told by gentlemen that there was great waste, extravagance, and fraud in the public disbursements; and able committees have been appointed in both houses to detect abuses, and reduce the expenditures of the government. Well: I am one of those who believe that there are, and have been, great abuses in the disbursements; who never doubted that the surplus revenue would lead, and has led, to frauds, waste, and extravagance; but I have little hope of seeing them corrected, or of witnessing any considerable reduction in the expenses of the government, while you, gentlemen, shall retain power. I doubt not the committees will be vigilant in hunting out fraud and maladministration: that is something. I wish every instance may be detect ed and brought to light, fall the blame where it may. But as to any sub stantial reform, either by economy or retrenchment, I expect none; and that for the all-powerful reason-your system of policy forbids. So far from looking for either, I anticipate the very reverse from this bill. If the negotiation for the loan should be successful, it will but replenish the treasury, to be wasted in extravagant appropriations; raising still higher the standard of expenditures, and creating new demands on the treasury, to be supplied by what is so desired by you still higher duties. The result must be, that the credit of the government,, instead of improving, will be worse a year hence than at present.

I (said Mr. C.) regard this bill, not only as the offspring of the fixed policy of gentlemen, but as intended as one of means of perpetuating it. The great length of time which the proposed loan would have to run, and the decisive vote against the amendment offered by the senator from Mississippi (Mr. Walker), to pledge the revenue from the lauds to pay its interest and redeem the principal, leave but little doubt on that point. Thus regarding it, I cannot look forward without the apprehension of the most disastrous results to the credit and finances of the government. If persisted in, it must ultimately prostrate public credit, or force the government to an entire change of its system of finance. It will not only throw the entire burden of supporting the government on duties on imports, but will lead to an imposition of them the most unjust and unequal, and, at the same time, least favourable, in proportion to the burden imposed, to a productive revenue. The very spirit of the system, which leads to the imposition of the whole burden of supporting the government on the imports, will as surely lead to such an imposition of the duties as may be regarded the most favourable to the protective policy, without regard either to revenue, or justice, or equality.

Acting in the spirit of the system, it is easy to see that those who have the control will lay the highest rate of duties on all articles which can be manufactured at home, with the view of excluding entirely foreign articles of a similar description. That is the professed object of the system.

But the effect of such duties would be, to a vast extent, in the present state of things, to lop off almost entirely what might be a great and productive source of income under a moderate and judicious system of duties laid expressly for revenue.

Under the influence of the same policy, there will, no doubt, be a large list of articles entirely exempt from duties. The chairman of the Committee on Finance (if I did not mistake him) estimated the amount of the free articles under the tariff to be established, at thirty millions of dollars. [Mr. Evans said, "That is the amount now, as the law stands."] Yes (replied Mr. C.), and is intended to be the amount after it is modified to suit the wishes of the party. It is no conjecture.

I hold the proof in my hand-a bill reported to the other house by a member from Massachusetts (Mr. Saltonstall), chairman of the Committee on Manufactures, and a gentleman deep in the confidence of his party. It proposes a free list of at least thirty millions, and a system of duties not much, if any, less odious and oppressive than the tariff of 1828. This long and heavy list is made up of articles of a description not produced in the country, and which, for the most part, are consumed in the manufacturing region, or for which manufactures are given in exchange abroad. If revenue was the principal object, the very principle on which they are to be excepted would make them the most legitimate objects of high duties. They are the very articles that could be taxed highest, without danger of being superseded by home articles of a similar description, and which, for the same reason, would throw the burden equally on the consumers. But revenue is not the object; and they must be exempted, be the inequality or the effect on the revenue and credit of the government what it may. If to the probable amount of free articles be added the amount required to meet the interest of the debt abroad-say seven millions; and if to that be added the very great reduction which the high duties to be laid on the protected articles must make in their importation, some conception may be formed of the narrow basis on which the revenue of the government must stand, if the system of policy of the party should be carried out in its spirit, as it is intended to be. The whole weight will press on what the advocates choose to call luxuriessuch as linen, worsted stuffs, silks, spirits, wines; most of which may come, indirectly, into competition with home-made articles, for which they may be substituted; and all of which, or nearly so, are got in exchange, not for manufactures, but the productions of our soil; and are, therefore, according to the genius of the system, legitimately objects of high taxation.

Such, gentlemen, must be the system of imposts, if the influence which has heretofore controlled you should continue to do so; which, I fear, hardly admits of a doubt. It is precisely the system proposed to be established by the bill of the other house. It may, indeed, be modified, to catch a few Southern votes; but there is little hazard in saying that it is what is desired, and will be approached as near as may be practicable. It is on such a tariff that you propose to rely exclusively for revenue to maintain the public credit, and to support the government, at a rate of expenditures graduated by the highest scale; and this you expect to do in the present depressed state of credit, crippled condition of commerce, and deranged state of the currency. I shall not stop to discuss the influence which these, and the many other causes that might be enumerated, must have in diminishing, far below all ordinary calculation, the income from such a tariff; the advanced growth of our manufactures in most of the important branches; the effects of high duties on the articles for which our great agricultural staples are for the most part exchanged; and the

great extent of smuggling, which cannot but take place in the present condition of the country; but I will venture to tell you that you will be utterly disappointed in your expectation of an adequate revenue from such a tariff. The income will fall far short, and the credit of the country will receive a shock from which it will be hard to recover it. The end will be, the abandonment of your system, or a resort to internal taxes; when an entire change of our financial system will follow.

Thus thinking, I cannot vote for this bill. I would rather meet the dif ficulties at once, than to contribute by my vote to postpone the shock, by sustaining a system which I solemnly believe must lead to such dangerous consequences. I would rather let the patient take his chance, than to countenance what I cannot but regard as the most dangerous quackery. But we are not reduced to the alternative of doing nothing or taking this bill. There are other, and safe and speedy measures of relief, if you would but agree to abandon your system of policy and adopt them. They are so obvious, that I cannot persuade myself that they have been overlooked; and am forced to believe that they have not been adopted because your policy forbids it. If you could be persuaded to yield that, and substitute for this bill a provision to fund the outstanding treasury-notes in six per cent. stocks, payable in four, five, or six years; to surrender the public lands, and pledge them for the faithful redemption of that stock; and pass a joint resolution refusing to receive the notes of banks that declined to receive your treasury-notes at par, the market would speedily be freed from that excess which depresses the credit of treasury-notes, and the residue would rise at once to par with specie. If the banks agreed to receive them, their interest and that of the government would be combined to uphold their credit at par; and, if not, the fact that they would be exclusively received with specie in the public dues would give a greatly increased demand for them, which would have the same effect.

That done, follow up with a rigid system of economy and retrenchment; lop off all expenses not necessary for the defence of the country and the frugal administration of the government; put an end to waste, extravagance, and fraud; and, after you have made your appropriations, and revised the duties with an eye mainly to revenue and equality of burden-if there should be an estimated deficit in the income, before the increased duties could be made available, it may be met by the use of your own credit directly, or the negotiation of a small loan, which could then be had on fair terms, and for a short period. It is by this simple process that you may relieve the government from its present embarrassment, restore its credit, and raise what supplies may be necessary at home, without going abroad at present. I have (said Mr. C.), on my part, insuperable objections to sending our credit abroad in the world at this time. It stands low at present; and, as an American and Republican, I am too proud to have it exposed to the contumely of the rich and powerful bankers of Europe, to which it must necessarily be at such a period. I would adopt any expedient, or make any reasonable sacrifice, to avoid such disgrace. Adopt the measures I have suggested, which, instead of sacrifice, will afford relief on terms more favourable than the most sanguine can anticipate obtaining supplies from abroad, and it will be avoided. I can imagine but one objection, and that the oft-repeated one-your system-forbids.

Having now said what I intended in reference to this measure, let me add, in conclusion, that if I could be governed by party feelings and views at such a juncture as I conceive this to be in our affairs, instead of the solemn and earnest desire I feel to see the credit of the government restored, and the country extricated from its present difficulties, I would

rejoice to see the party opposed to me pursuing the course they do. feel the most thorough conviction that, under their system, the credit of the government, instead of improving, will grow worse and worse; and will end, if persisted in, not only in the overthrow, but in the dissolution of the party, and affixing permanent odium to their measures and policy, but, in the mean time, with no small hazard to the country and its institutions.

XXXVI.

SPEECH ON THE PASSAGE OF THE TARIFF BILL, AUGUST 5, 1842.

MR. PRESIDENT-The Tariff Bill of 1828 has, by common consent, beer called the bill of abominations; but, as bad as that was, this-all things considered-is worse. It is, in the first place, worse, because it is more onerous; not that the duties are on an average higher-for they are probably less by about 10 per cent. This, it is estimated, will average about 36 per cent. ad valorem on the aggregate of the imports; and that averaged, according to the best estimate that I have been able to make, about 46. But this difference is more than made up by other considerations; and, among them, that allowed long credit for the payment of the duties; this requires them to be paid in cash, which will add to their burden not less than 4 or 5 per cent. Again: there has been a great falling off in prices on almost all articles, which increases, in the same proportion, the rate per cent. on the cost of all specific duties-probably not much less than 50 per cent. ; which, considering the number and the importance of the articles on which they are laid in this bill, will much more than make up the difference. To these may be added its arbitrary and oppressive provisions for valuing goods and collecting duties, with the fact that it goes into operation, without notice, immediately on its passage, which would fall heavily on the commercial interest; and the undue weight it would impose on the less wealthy portions of the community, in consequence of the higher duties it lays on coarse articles of general consumption.

It is, in the next place, worse, because, if it should become a law, it would become so under circumstances still more objectionable than did the tariff of 1828. I shall not dwell on the fact that, if it should, it would entirely supersede the Compromise Act, and violate pledges openly given here in this chamber, by its distinguished author, and the present Governor of Massachusetts, then a member of this body—that, if we of the South would adhere to the compromise while it was operating favourably to the manufacturing interest, they would stand by it when it came to operate favourably to us. I pass, also, without dwelling on the fact that it proposes to repeal the provision in the act of distribution, which provides that the act shall cease to operate if the duties should be raised above 20 per cent.-a provision, without which, neither that nor the Bankrupt Bill could have become a law, and which was inserted under circumstances that pledged the faith of the majority to abide by it. I dwell not on these double breaches of plighted faith, should this bill become a law: not because I regard them as slight objections; on the contrary, they are of a serious character, and likely to exercise a very pernicious influence over our future legislation, by preventing amicable adjustments of questions that may hereafter threaten the peace of the country; but because I have, on a former occasion, expressed my views fully in relation to them. I pass on to the objection that, if this bill should pass, it would against the clear light of experience. When that of 1828 passed, we had but little experience as to the effects of the protective policy. It is true that the act of 1824 had been in operation a few

years, which may be regarded the first which avowed the policy that ever passed; but it had been in operation too short a time to shed much light on the subject. Since then, our experience has been greatly enlarged. We have had periods of considerable duration both of increase and reduction of duties, and their effects respectively on the industry and prosperity of the country, which enables us to compare, from authentic public documents, the result. It is most triumphantly in favour of reduction, though made under circumstances most adverse to it, and most favourable to increase. I have, on another occasion during this session, shown, from the commercial tables and other authentic sources, that, during the eight years of high duties, the increase of our foreign commerce, and of our tonnage, both coastwise and foreign, was almost entirely arrested; and that the exports of domestic manufactures actually fell off, although it was a period exempt from any general convulsion in trade or derangement of the currency. On the same occasion, I also showed that the eight years of the reduction of duties, which followed, were marked by an extraordinary impulse given to every branch of industry-agricultural, commercial, navigating, and manufacturing. Our exports of domestic productions, and our tonnage, increased fully a third, and our manufactures still more; and this, too, under the adverse circumstances of an inflated, unsteady currency, and the whole machinery of commerce deranged and broken. And yet, with this flood of light from authentic documents before us, what are we about to do? To pass this bill, and to restore the old, and, as was hoped, exploded system of restrictions and prohibitions, under the false guise of a revenue bill, as I shall next proceed to show. Yes, senators, we are told by the chairman of the Finance Committee, and others who advocate it, that this bill is intended for revenue, and that of 1828 was for protection; and it is on that assumption they attempt to discriminate between the two, and hope to reconcile the people to this measure. It is, indeed, true that the bill of 1828 was for protection. The treasury was then well replenished, and not an additional dollar was needed to meet the demands of the government; and, what made it worse, the public debt was then reduced to a small amount; and what remained was in a regular and rapid course of reduction, which would in a few years entirely extinguish the whole, when more than half of the revenue would have become surplus. It was under these circumstances that the bill of 1828, which so greatly increased the duties, was introduced, and became a law-an act of legislative folly and wickedness almost without example. Well has the community paid the penalty. Yes, much which it now suffers, and has suffered, and must suffer, are but its bitter fruits. It was that which so enormously increased the surplus revenue after the extinguishment of the debt in 1832; and it was that surplus which mainly led to the vast expansion of the currency that followed, and from which have succeeded so many disasters. It was that which wrecked the currency, overthrew the almost entire machinery of commerce, precipitated hundreds of thousands from affluence to want, and which has done so much to taint private and public morals.

But is this a revenue bill? I deny it. We have, indeed, the word of the chairman for it. He tells us it is necessary to meet the expenditures of the government; of which, however, he gave us but little proof, except his word. But I must inform him that he must go a step farther before he can satisfy me. He must not only show that it is necessary to meet the expenditures of the government, but also that those expenditures themselves are necessary. He must show that retrenchment and economy have done their full work; that all useless expenditures have been lopped off; that exact economy has been enforced in every branch, both in the collection and disbursement of the revenue; and, above all, that none of the resources of the government have been thrown away or surrendered. Has he done all that? Or has he showed that it has been even attempted? that either he or his party have made any systematic or se