The advantages and disadvantages of copyright are essentially the same in character, though the dangers are less. Since the large part of the reward of an author or an artist is in the repute he may secure, there is little danger of fostering an unfair spirit of monopoly. The franchise is subject to the same principles, but its dangers in practice are very great. So long as the advantages to the corporation securing the franchise may be enormous, if it is sufficiently extended, there is great temptation to bribery, both in the original issue and in the maintenance of inspection and municipal control. Nothing has so interfered with good government of cities as the manipulation of franchises. These abuses underlie the popular call for municipal ownership of water works, lighting plants and street railways.

_Protective duties._--A still more widely extended method of stimulating industry by special incentives is seen in what is called a protective tariff. This is a system of duties upon articles produced in foreign countries so levied as to check the natural competition by increasing their cost to consumers. The increased cost of such articles, if not too great to destroy the demand, increases the incentive to manufacture similar articles within the country.

Rural Health and Welfare — Part 115

The schedule of tariffs becomes then a very important element in all productive industry, and requires the nicest adjustment to the needs and abilities of the nation. If associated, as is usually the case, with the raising of government revenues, the adjustment becomes more difficult, and requires the judgment of experts in commerce as well as in statistical knowledge of industries and government necessities. While in any country the existing tariff is presumed to have been established to meet public need, the fact that there is necessarily a restriction upon freedom of exchange makes it always open to question. The tariff laws, like all laws restricting freedom of action, must always have evident reason for existing. The burden of proof rests with the one who defends such laws. This is especially true with reference to tariffs, because the trend of civilization is certainly toward greater freedom of intercourse in all directions. The barriers between nations are generally giving way before the introduction of ready transportation and quick communication. The statesman who maintains the necessity of restrictive tariff must always stand ready to explain this obstacle to more complete association. For this reason we have the constant agitation of tariff questions and the impossibility of permanent settlement in any particular.

Rural Health and Welfare — Part 115