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THE

QUARTERLY JOURNAL

OF

ECONOMICS

VOLUME XXVIII

CAMBRIDGE, MASS., U. S. A.
PUBLISHED BY HARVARD UNIVERSITY

1914

Reprinted with permission of the publishers by

KRAUS REPRINT CORPORATION, NEW YORK 17, N.Y.

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COPYRIGHT, 1913-14, BY THE President and Fellows OF HARVARD College
PRINTED IN THE UNITED STATES OF AMERICA

CONTENTS FOR VOLUME XXVIII

ANDERSON, B. M., Jr. "Unearned Increments," Land Taxes and
the Building Trade. Note

BOWLEY, A. L. The British Super-Tax and the Distribution of

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III. Ultimate Results of Permitting and Regulating Com-

binations

IV. The Alleged Advantages of Combination

GANNETT, L. S. Bernhard's Unerwünschte Folgen der deutschen
Sozialpolitik and its Critics. Review

GEPHART, W. F. Fire Insurance Rates and State Regulation
GRAY, L. C. Rent under the Assumption of Exhaustibility
HANEY, L. H. The Social Point of View in Economics. I, II 115,
HEILMAN, R. E. The Development by Commissions of the Prin-

ciples of Public Utility Valuation

HILL, J. A. The Income Tax of 1913

31

772

338

381

402

664

677

PERSONS, W. M. Books on Business Cycles: Mitchell, Aftalion,
Bilgram. Review

795

Mediation and Arbitration of Railroad Wage Controversies:
A Year's Development

360

RIPLEY, W. Z. Railroad Over-Capitalization

601

The Tariff Act of 1913.

SECRIST, H. Home Rule in Taxation

SPRAGUE, O. M. W. The Federal Reserve Act of 1913

TAUSSIG, F. W. Abraham Lincoln on the Tariff: A Myth. Note

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SUBJECTS

Abraham Lincoln on the Tariff: A Myth. Note. By F. W.

Taussig

Agricultural Credit in the United States. By J. E. Pope
Bernhard's Unerwünschte Folgen der deutschen Sozialpolitik and
its Critics. Review. By L. S. Gannett

PAGE

701

561

British Super-Tax and the Distribution of Income. By A. L.

Bowley.

255

Business Cycles, Books on.

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Competitive Price, A Contribution to the Theory of. By J. M.

Clark

Davenport's Economics and the Present Problems of Theory. By

A. S. Johnson

417

Deposit Guaranty, Four Years More of. By T. Cooke

Development of Alaska by Government Railroads.

Note. By

A. H. Brooks

586

Elsas' Ausnahmetarife. Review. By S. Daggett

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Depreciation and Rate Control. By A. A. Young

558

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Keynes' Indian Currency and Finance. Review. By E. W.
Kemmerer

373

Public Ownership of Telegraphs and Telephones. Note. By A. N.
Holcombe

581

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THE

QUARTERLY JOURNAL

OF

ECONOMICS

NOVEMBER, 1913

THE TARIFF ACT OF 1913

SUMMARY

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The principle of a competitive tariff," 1. “Legitimate” industries, 3. The Tariff Board and the methods of revision, 5. Sugar duty lowered at once, to be abolished after three years, 8. Wool free, 11; lower ad valorem rate on woolens, 13. - The probable consequences, 15. Moderate rates on cottons, 17.- Comparatively high rates retained on silks, 20. — Other changes: pottery (23), iron and steel (24), free list extended (25). — Administrative sections strengthened, to prevent evasion of ad valorem rates, 26. Many reductions will be only of nominal effect, 28. - What the future may bring, 29.

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THE Tariff Act of 1913 is described both by friends and enemies as a radical measure. It is said not only to lower duties, but to introduce new methods of assessing them and to rest upon principles essentially different. How far can it be said to make sweeping changes?

The new principle of which most has been made by the advocates of the act is that of a competitive tariff." In 1909, the Republicans had professed to act on quite a different principle, - that of equalizing cost of production. These two have been set forth by both sides as starting from opposite poles in the

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