HOW TO RAISE REVENUE. 745 



imports should be levied, not merely for revenue and tlie sup- 

 port of the state, but also in furtherance of some individual 

 interests. 



Sugar. Next in importance to the domestic consumption of 

 distilled spirits as an easily available source of national revenue 

 is the consumption of imported sugars. In the twenty-four 

 years from 1867 to 1890, when imported sugars paid duties, the 

 lowest sum received in any one year was $31,000,000 (in 1872), 

 and the highest $58,000,000 (in 1887). After 1885 to 1890 inclusive 

 at least $50,000,000 annually could be counted upon from this 

 one item of imports, and the duty, estimated on an ad-valorem 

 basis, varied from sixty-two to seventy-eight per cent, according 

 to the fluctuations in the price of sugar. Such a long average de- 

 gree of taxation made but little change in the consumption of the 

 country, distributed itself very evenly over the whole population, 

 and averaged less than seventy cents per capita of a population 

 ranging from fifty to sixty millions. After April, 1891, duties on 

 sugars were abolished, except half a cent a pound on sugar above 

 No. 16 (continued with a view of protecting the refining interests 

 of the United States), on confectionery, and small discriminating 

 duties on sugars coming from countries which are believed to pay 

 a bounty on exported sugars. The results of this extraordinary 

 policy, which has been not inaptly characterized as one of the 

 most disgraceful pieces of fiscal legislation ever perpetrated in a 

 free country, was that the duty on imported sugars, which 

 amounted to over $50,000,000 in 1891, ran down to $176,795 in 1892, 

 and $163,956 in 1894. The Government, moreover, with a prac- 

 tical repeal of all duties on raw sugars, began the disbursement 

 of money for bounties on domestic sugar, which amounted in 

 round numbers since 1892 to about $35,000,000. Increased impor- 

 tations brought up the revenue from sugar to $15,599,342 in 1895, 

 and $29,897,000 in 1896, the latter representing an import of 3,666,- 

 842,395 pounds, which, if subjected to a duty of one cent per 

 pound, would have yielded a revenue of $36,666,000. 



With the absolute necessity for increased revenue to meet 

 increased expenditures, there is no good reason why the duties 

 on the import of sugars should not be so adjusted as to insure a 

 permanent annual revenue of at least $50,000,000, which amount, 

 with a consuming population smaller by at least ten millions, 

 was exceeded in 1885. During the month of January, 1897, the 

 import price of sugar was two cents per pound for cane and one 

 and nine tenths for beet. If on this basis of import prices the 

 average rate of duty under the present tariff namely, forty per 

 cent were levied, only four fifths of a cent a pound duty would 

 be collected. 



A question of importance which next presents itself, and about 



