CANADA-Continued.

Rice, cleaned, 14 cents per pound.

Rice and sago flour, and sago, 25 per cent. ad valorem.

Rice, when imported by makers of rice starch for use in their factories making starch, three-fourths of 1 cent per pound.

Wheat, 15 cents per bushel.

Wheat flour, 75 cents per barrel.

Biscuits of all kinds, 25 per cent. ad valorem.

Macaroni and vermicelli, 25 per cent. ad valorem.

Starch, including farina, corn starch or flour, and all preparations having the qualities of starch, 12 cents per pound, the weight of the package to be in all cases included in the weight for duty.

Seeds, viz., garden, field, and other seeds for agricultural and other purposes, when in bulk or in large parcels, 10 per cent. ad valorem; when put up in small papers or parcels, 25 per cent. ad valorem. Mustard, ground, 25 per cent. ad valorem.

Mustard, cake, 15 per cent. ad valorem.

Sweet potatoes and yams, 10 cents per bushel.

Tomatoes, fresh, 20 cents per bushel and 10 per cent. ad valorem. Tomatoes, and other vegetables, including corn and baked beans in cans or other packages, 12 cents per pound; the weight of the cans or other packages to be included in the weight for duty.

Pickles, sauces, and catsups, including soy, 35 per cent. ad valoreni.

Malt, 15 cents per bushel, upon entry for warehouse, subject to excise regulations.

Extract of malt (non-alcoholic), for medicinal purposes, 25 per cent. ad valorem.

Hops, 6 cents per pound.

Compressed yeast, in bulk or mass of not less than 50 pounds. 3 cents per pound; in packages weighing less than 50 pounds, 6 cents per pound, the weight of the package in the latter case to be included in the weight for duty.

Yeast cakes and baking powders, 6 cents per pound, the weight of the package to be included in the weight for duty.

Trees, viz, apple, cherry, peach, pear, plum, and quince of all kinds, 3 cents each.

Grapevines and gooseberry, raspberry, currant, and rose bushes; also fruit plants, n. e. s., and shade, lawn, and ornamental trees, shrubs, and plants, 20 per cent. ad valorem.

Blackberries, gooseberries, raspberries, strawberries, cherries, and

CANADA-Continued.

currants, n. e. s., 2 cents per pound, the weight of the package to be included in the weight for duty.

Cranberries, plums, and quinces, 25 per cent. ad valorem.

Prunes, 1 cent per pound, including raisins and dried currants. Apples, dried, desiccated, or evaporated; dates, figs, and other dried, desiccated, or evaporated fruits, n.e.s., 25 per cent. ad valorem. Grapes, 2 cents per pound.

Oranges, lemons, and limes, in boxes of capacity not exceeding 22 cubic feet, 25 cents per box; in one-half boxes, capacity not exceeding 14 cubic feet, 13 cents per half box; in cases and all other packages, 10 cents per cubic foot holding capacity; in bulk, $1.50 per 1,000 oranges, lemons, or limes; in barrels not exceeding in capacity that of the 196-pound flour barrel, 55 cents per barrel.

Peaches, 1 cent per pound, the weight of the package to be included in the weight for duty.

Fruits, in air-tight cans or other packages, 2 cents per pound, the weight on which duty shall be payable to include the weight of the cans or other packages.

Fruits, preserved in brandy or preserved in other spirits, $1.90 per gallon.

Jellies, jams, and preserves, 3 cents per pound.

Honey, in the comb, or otherwise, and imitations and adulterations thereof, 3 cents per pound.

No 54

CANADA-Competition in Freights.

The Canadian Pacific Railway brought into the United States from China and Japan via British Columbia, during the year ended June 30, 1892, 23,239,689 pounds of freight, and it carried from the United States to be shipped to China and Japan via British Columbia, 24,068,346 pounds of freight. There were also shipped from the United States over this road from eastern ports of the United States to our Pacific ports, during the same year, 13.912.075 pounds of freight, and there were received over this road at the United States eastern ports from ports on the Pacific coast 13,293,315 pounds of freight. Mr. Joseph Nimmo, jr., former Chief of the Bureau of Statistics, when before the Senate Select Committee on Relations with Canada, April 26, 1890, said that "the value of goods thus transported between different points in the United States across Canadian territory probably amounts to $100,000,000 a year.”

CANADA-Continued.

There is no disposition on the part of the people or Government of the United States to interfere in the smallest degree with the political relations of Canada. That question is wholly with her own people. It is time for us, however, to consider whether, if the present state of things and trend of things is to continue, our interchanges upon lines of land transportation should not be put upon a different basis, and our entire independence of Canadian canals and of the St. Lawrence as an outlet to the sea secured by the construction of an American canal around the Falls of Niagara and the opening of ship communication between the Great Lakes and one of our own seaports. We should not hesitate to avail ourselves of our great natural trade advantages. We should withdraw the support which is given to the railroads and steamship lines of Canada by a traffic that properly belongs to us, and no longer furnish the earnings which lighten the otherwise crushing weight of the enormous public subsidies that have been given to them. The subject of the power of the Treasury to deal with this matter with. out further legislation has been under consideration, but circumstances have postponed a conclusion. It is probable that a consideration of the propriety of a modification or abrogation of the article of the Treaty of Washington relating to the transit of goods in bond is involved in any complete solution of the question.

No. 55.

CAPITAL AND LABOR.

A few years ago the London Times had an exhaustive article on this subject and as to the cost of production. Taking 100 per cent., the Times classified it thus: In England 56 per cent. goes to labor, 21 per cent. to capital, and 23 per cent. to government. In France 41 per cent. goes to labor, 36 per cent. to capital, and 23 per cent. to government.

In the United States 72 per cent. goes to labor, 23 per cent. to capital, and 5 per cent. to government.

In the United States our industrial system is not an accident; it is operated by an industrial law in which there are three elementscapital, labor, and material. Their proportions run very nearly as follows: Capital, 20 per cent., labor 20 per cent., and material 60 per cent.

Material is subject to the law of labor, which changes the natural into artificial material, which allows a greater per cent. to labo than to capital.

CAPITAL AND LABOR-Continued.

But in all the manufacturing interest in the United States there is a law of economic distribution under the operation of our protective system which is maintained by preventing foreign competition from reducing or increasing the prices at which any article is sold. Our tariff laws have been so adjusted that the foreign comEetitor was not able to pay the tariff and then change the course of the market by the price at which he might sell his goods.

By examining the report of the Census Bureau on manufactures, it will be found that each and every item reported conforms to this law. The variation is not greater than 5 per cent., usually. Where such variations occur, it goes to labor rather than to capital. The following tables exemplify the result of the Eleventh Census, as reported (the figures are taken from Extra Census Bulletin No. 67, March 15, 1894):

In this example wages have an advantage over material and miscellaneous cost of 7 per cent., capital holding its just share of 20 per cent.; otherwise, the foregoing rule is true and the statistics in the manufacture of agricultural implements is borne out by this table.

CAPITAL AND LABOR-Continued.

Here material and miscellaneous cost fall below their proportionate share, 2 per cent., while labor is increased one-half above its proportionate share, reaching 30 per cent., capital losing 8 per cent.

In this example we find that the material cost is 1 per cent. above its proportionate share, being 61 per cent. instead of 60 per cent.; wages 23 per cent. instead of 20 per cent., being 3 per cent. above its share, capital losing to wages and material 4 per cent.

In this table material and cost lose 13 per cent., capital loses 5 per cent., and wages gain 18 per cent.