"fraternity," which is one of the corner-stones of all secret organizations. There can be no question of the effectiveness of farmers' clubs as educating influences. They can do some things to better advantage than any secret society. It seems difficult, however, to devise any bond of union by which their united influence can be exerted in state and national affairs. Certainly there could be a state and national organization of farmers' clubs, just as there is of political clubs, but the lack of any rule of discipline common to all would be quite sure to result in efforts to commit the organization to action on controverted topics, which in turn would lead to disruption. The freedom of the meetings of the clubs would render this the more certain to be attempted, and the more likely to succeed. If this rock were escaped there would be that of the lack of revenue. No society, secret or non-secret, can make its influence felt outside the circle of its habitual attendants, except by the expenditure of money. I am a member of one farmers' club, and familiar with several. None of them have any revenue of consequence, and the general opinion is that any serious attempt to raise it from the membership would merely break up the clubs. Some clubs which have a large nominal membership find themselves entirely unable to contribute to the small expenses without which no popular movement can make any progress. The early meetings of farmers' clubs are likely to be well attended and interesting. After a time the regular attendants who can talk or write have said. to each other about what they have to say; there is no ritual to occupy a little time; no "initiations" to prepare for and carry through; there is seldom the fraternal feeling which, in a hearty rural community, is apt to find expression in the loaded boards of the "Harvest Feast," which invariably brings out the membership; there are no "communications" from superior authorities suggesting discussion or action for the common weal; there are no visits from state or national officers to renew interest and inspire to effort. In the absence of all these the tendency is for the attendance at farmers' clubs to gradually fall off, until the local press no longer deems them worthy of attention, for dues to become delinquent, and

the club to pass out of existence. When this does not happen. it is usually because some one provides work to do in which the club is interested. Some local improvement or business organization fostered and promoted by a club will maintain interest. There are some working clubs. They are more apt than secret societies to provide "club rooms" for their members, where agricultural books and papers can be found for reference, and where farmers' wives and daughters can rest and "freshen up" after a dusty ride to town. Where a revenue can be had for the purpose-and it takes very little-the club is likely to become a valuable center of influence. It is a valuable form of organization, doubtless capable of accomplishing anything which a friendly society can accomplish, but, considering the notions of mankind, and especially farmers, perhaps not so likely to do so. It will depend upon the community, but I think there are many more rural communities that can permanently sustain a Grange or an Alliance than will be found to keep up an effective farmers' club.

The foregoing covers the forms of farmers' organizations other than those for actually transacting business, that are most common in the United States. Business organizations of farmers include marketing societies, cooperative creameries, irrigating companies, and doubtless other business organizations* which have not come under my observation. The principles which should govern the formation and management of these companies have been sufficiently discussed in the preceding chapters of this book.

*In 1898 the U. S. Department of Agriculture undertook to get a list of cooperative societies of farmers in the United States. The list has not been published, as I write, but I collected the data for the State of California, and, excluding those which gave no promise of permanence, I reported seventy irrigating companies, thirty-two marketing societies, three milling companies, four fire insurance companies, and ten organized for other purposes. A large number of cooperative creameries have been organized in the state, but it was not found possible, except by a personal visit to each one, to determine how many were still adhering to the cooperative plan. The list of societies reported was incomplete, and of the marketing societies reported two were central organizations representing twelve or fifteen local societies, all of considerable magnitude. At the present time there are about fifty marketing societies in operation in California.

BOOK SIXTH.*

The Questions of the Day.

CHAPTER I.

A

THE FARMER AND THE TARIFF.

TARIFF on merchandise imported into a country is presumed to be primarily a means of raising a national revenue. In that aspect, however, it is by no means a "question of the day." Practically all parties in the United States have agreed to regard a tax on imports as an important if not the principal source of revenue for the national government. The question upon which the people are divided is as to the policy to be pursued in forming the tariff; the extremists of one party insist that the tariff should be arranged solely with reference to producing the necessary revenue with the least possible disturbance to business, the tax being made as nearly uniform as possible upon all goods imported, or if any are taxed more than others, such articles to be those not produced in this country. The extremists upon the other side insist that in framing the tariff the items should be carefully examined one by one, and such tax imposed on commodities which can be produced here as shall as nearly as possible prevent their importation, only enough import trade in such goods being left to supply the necessary revenue, and that no article which can not be produced in this country shall be taxed at all, except in time of war. Between these extremes there is

*See Appendix G for documents relating to the subjects of this book,

every conceivable shade of opinion. The intent of this chapter is to make the clearest possible statement of the reasons urged by each party to this controversy in support of its views. Extremists are more likely to be logical than compromisers, and it is believed that by a clear statement of the arguments of the extremists upon both sides, the reader will be best prepared to understand for himself the merits of the innumerable compromise measures which from time to time are proposed. Neither party in this country has ever been able to pass, or at least to long maintain upon the statute-book, a tariff act logically constructed according to the theory of the most clear-headed of the party. In fact, the views of such men seldom find expression in party platforms, which are always drawn up by "practical" men, with the view, not of declaring economic truth, but of carrying elections. As a rule, therefore, such platforms are capable of two or more meanings, in order that in each section of the country that meaning may be applied by political orators which seems most likely to win votes. The exceptions to this rule are too few to be worth considering, which relieves me from the necessity of any further reference to political declarations upon the subject of the tariff.

Before taking up the main topic it will be useful to devote a little time to the general subject of taxation, of which a tariff act forms only a part. The American citizen pays taxes for the support of at least three and usually four or more different governments; in all cases he contributes to the national, state, and some local government, and usually to more than one local subdivision, as county, town, city, school district, road district, irrigation district, or the like. Assuming an equal per capita division of taxes, and five inhabitants to one taxpayer, the taxpayers of San Francisco, for example, contributed, for the fiscal year ending June 30, 1897, per capita, to the United States, $23.75; to the State of California, $27.35; to the city of

* The Morrill tariff act of 1861 was in the main it stood for many years.

revenue measure,

possibly an exception to this rule, and But it was originally passed as a war

San Francisco, $56.20; total per taxpayer, $107.30. The amounts paid were $1,520,000, $1,752,250, and $3,599,785 respectively. The population of the United States is assumed to have been seventy-three million, and that of San Francisco, three hundred and twenty thousand. In this case the city absorbs all local taxes. The aggregate of taxation is very serious and tends to increase.

Taxation is coexistent with civilization, and from time immemorial the devising of a just method of assessing taxes has been the most difficult problem of statesmanship. It has never been solved and probably never will be. It is perfectly safe to say that no entirely just tax was ever yet assessed and collected. It is the most intricate and puzzling of all problems. Even if we assume that whatever is logically just can be practically carried out-which is not true-it seems impossible to make any single statement of principle which will be true without modification. It is not even true that men should pay entirely according to their ability, for nearly all agree that those who indulge in such articles as spirits, tobacco, opium, and the like should pay in extra taxation for their indulgence, and there are many who believe that those who withhold from others who would use it, land or water which they do not themselves use, should pay extra taxes as a compensation. The principle adopted in all highly-taxed countries is to closely scrutinize every industry, and place upon it whatever burden it can bear without being destroyed, or if not necessary to go to that extreme, whatever it should fairly pay as compared with other industries, its income-producing power being the main factor considered. To the sums obtained in this way are added the proceeds of taxation of unproductive property used for purposes of luxury, and upon commodities whose use it is desired to discourage. In highly-taxed countries it is absolutely necessary to pay strict attention to the income-producing power of the different industries, as otherwise there will be taxes which can not be paid.

There has hitherto not been sufficient pressure of poverty in the United States to compel any adequate study of methods of taxation. While taxes, especially local taxes, have often been