Mr. FORDNEY. The consumption of wool in the United States last year was about how much? Five hundred million pounds?

Mr. CAMPION. No; I do not think it would come anywhere near that. The woolen industry in the last 12 months has not been running at the rate of 50 per cent, surely.

Mr. FORDNEY. When the conditions are normal how much wool is consumed in this country?

Mr. CAMPION. The normal consumption in all branches of the industry is about 600,000,000 pounds.

Mr. FORDNEY. The total value of the woolen industry, practically, is about $500,000,000 then, is it not?

Mr. CAMPION. No, sir.

Mr. FORDNEY. Of the woolen industry of the United States, or $1 per pound?

Mr. CAMPION. No; $400,000,000.

Mr. FORDNEY. Then your profit of 5 cents per yard is about 5 per cent of its total selling value, is it? Mr. CAMPION. Yes; I think so. But you can not get a profit. If your cloth is worth $3 you will not be apt to get 15 cents a yard profit, as Mr. Hill knows very well. These gentlemen do not seem to be harmonized on what they want. While they have eliminated the power to recommend from their various bills they speak of "findings," their findings," and "report their findings," and "with power to act." Is it not in their minds that they want a tariff commission, as they have expressed it, with power like unto that of the Interstate Commerce Commission, with power to recommend, even if not to change rates from day to day? Would not that bring about this disturbance that you and Mr. Fordney and I so much deprecate?

Mr. LONGWORTH. It would if it was in the bill, but I do not see it in the bill.

Mr. FORDNEY. I think it is in the bill in every line. [Laughter.] The CHAIRMAN. This concludes the hearings, so far as I know. If anything comes up hereafter the committee will be called together on the subject. There will be a hearing to-morrow morning on the subject of the internal-revenue tax on opium and the manufactures thereof, at 10 o'clock. Without objection, the committee will stand adjourned until 10 o'clock to-morrow morning.

(The committee thereupon adjourned.)

[H. R. 26232, 61st Cong., 2d sess.]

A BILL To create a tariff commission.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That to secure, compile, and furnish Congress accurate and reliable information that may be available in future changes of the customs and tariff laws, and to aid the President of the United States and other officers of the Government in the administration of all such laws, there is hereby created a commission, to be known as the "Tariff Commission."

SEC. 2. That said commission shall consist of five commissioners appointed by the President of the United States, by and with the consent of the Senate. The commissioners first appointed under this act shall continue in office for the terms of two, three, four, five, and six years, respectively, from and after the first day of January, anno Domini nineteen hundred and eleven, the term of each to be designated by the President; but their successors shall be appointed for terms of six years, except that any person chosen to fill a vacancy shall be appointed only for the unexpired term

of the commissioner whom he shall succeed. The commissioner first named shall be the chairman of the commission, and upon the expiration of the term of office of the commissioner holding the position of chairman, or upon the death, resignation, or removal of the commissioner holding such office, the President of the United States shall designate a member of said commission to be the chairman thereof. The members of said commission shall be appointed solely with a view to their qualifications specified in this act and without regard to political affiliations. So far as possible the composition of said commission shall be as follows: Two members having special knowledge of the producing interests of the United States; one member a lawyer who has made a special study of the customs and tariff laws of the United States, and who has had special experience in connection with the administration thereof; one member who is familiar with the industrial and commercial conditions, and the customs and tariff laws of such foreign countries, the products of which enter largely into competition with the products of the United States; one member an economist and statistician who has given special attention to the subject of the prices and the cost of production both in this country and in foreign countries, on articles affected by the customs and tariff laws. No person who is a Member of Congress, and no person who is in any manner pecuniarily interested in the production or importation of any article or articles enumerated in the customs and tariff law shall be eligible to hold such office. Said commissioners shall not engage in any other business, vocation, or employment. Any commissioner may be removed by the President of the United States for inefficiency, neglect of duty, or malfeasance in office. Each commissioner shall receive an annual salary of seven thousand five hundred dollars. The commission shall appoint a secretary, who shall receive an annual salary of three thousand dollars, and the commission shall have the power to fix the compensation of such other employees as it may find necessary for the proper performance f its duties.

SEC. 3. That it shall be the duty of said commission to investigate the cost of production of all articles covered by the tariff with special reference to the prices paid foreign labor, and the prices paid for raw materials, whether domestic or imported, entering into manufactured articles, the condition of domestic and foreign markets effecting American products, including detailed information of the cost, and of every element thereof, of producing at the place of production and at the place of consumption of all articles specified in the tariff law, both in this country and the country from which such articles are imported, so that the cost of all such articles produced abroad may be compared with the cost of like articles produced in this country, together with all other facts which, in the judgment of said commission, will be helpful to Congress in providing equitable rate of duties on any article; and in general to thoroughly investigate all the various questions relating to the agricultural, manufacturing, commercial, and mining interests of the United States so far as the same may be necessary or helpful to Congress in the enactment of customs tariff laws, and in aiding the President and other officers of the Government in the administration of such laws.

SEC. 4. That said commission shall tabulate the results of its investigations and submit the same to Congress, together with any explanatory report of the facts so ascertained, at such time or times as Congress, or either branch thereof, shall designate; and said tabulation of said facts and the report in explanation thereof shall be laid before Congress at the earliest possible moment for its use, information, and guidance; and at the request of the Ways and Means Committee of the House and the Finance Committee of the Senate said commission shall sit with the above-named committees of the House and of the Senate during the sessions of said committees when said committees are drafting or considering any bill affecting the customs and tariff laws of the United States.

SEC. 5. That to enable the President to secure information as to the effect of tariff rates or other restrictions, exactions, or any regulations imposed at any time by any foreign country on the importation into, or sale in, any such foreign country of any agricultural, manufactured, or other product of the United States and to assist the President and other officers of the Government in the administration of the customs laws, as required by law, the said commission shall furnish the President any tabulations or reports or other information in the possession of the said commission, and shall from time to time advise the President as to the state of the commerce of the United States with foreign countries to the end that the President shall take such steps in the application of the maximum and minimum tariffs and other administration provisions of the tariff laws as in his opinion will best protect the interests of the United States.

SEC. 6. That it shall be the duty of the said commission to study and investigate all rulings and classifications of the Treasury Department by which new articles not specifically provided for in the customs tariff law, are not included in the operation

of said law; and also make a study of the classifications used in the administration of customs tariff laws of the leading commercial nations of the world, and to submit to Congress the result of said investigations, together with a draft for a scheme for the scientific classification of tariff schedules.

SEC. 7. That the said commission shall have the power to sit and hold hearings in any part of the country, and it shall be the duty of the said commission, through one or more members thereof, to personally visit the various producing sections of the country and personally investigate the conditions of each section with reference to the tariff; it shall also have the power to visit, through one or more of its members or employees, such foreign countries as may be found necessary in the prosecution of its work; it shall have the power to call upon any of the existing Government departments or bureaus for information on file in such departments or bureaus which it may require in connection with the work it is authorized to do by this act. Said commission in pursuing its investigations, as above provided, shall have the power to subpoena witnesses, to take testimony, administer oaths, and require the production of books and papers for the purpose of the accurate ascertainment of the facts which it shall be the duty of said commission to investigate and report to Congress, as hereinbefore provided.

SEC. 8. That the principal office of the said commission shall be in the city of Washington, and said commission may hire suitable offices for its use and procure all necessary office supplies. Should said commission require the attendance of any witness, either in Washington or any place not the home of said witness, said witness shall be paid the same fees and mileage that are paid witnesses by the courts of the United States.

SEC. 9. That said commission shall promulgate rules and regulations for the safe keeping of all papers, correspondence, tabulations, reports, explanations, and other information gathered by it, and, except on the order of the President of the United States, or of Congress, or of either branch thereof, no information of any kind obtained by said commission shall be made public.

SEC. 10. That all of the expenses of the commission, including all necessary expenses for transportation incurred by the commissioners, or by their employees under their orders, in making any investigations, or upon official business in any other places than in Washington, shall be paid on the presentation of itemized vouchers approved by the chairman of the commission. The sum of two hundred and fifty thousand dollars is hereby appropriated for the salaries and expense of the commission authorized by this act.

[H. R. 28433, 61st Cong., 3d sess.]

A BILL To create a Tariff Commission and defining its powers and duties.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That a commission is hereby created and shall be known as the Tariff Commission, which shall be composed of five commissioners, who shall be appointed by the President, by and with the advice and consent of the Senate. The commissioners first appointed under this act shall continue in office from the date of qualification and for the terms of two, four, six, eight, and ten years respectively, from the first day of July, anno Domini nineteen hundred and eleven, the term of each to be designated by the President; but their successors shall be appointed for terms of ten years, except that any person chosen to fill a vacancy shall be appointed only for the unexpired term of the commissioner whom he shall succeed. Any commissioner may, after due hearing, be removed by the President for inefficiency, neglect of duty, or malfeasance in office. No person shall be eligible to appointment as a commissioner under this act who is a Senator or Representative of the United States or is a Senator or Representative elect of the United States at the time of his appointment. Not more than three of said commissioners shall be members of the same political party. Said commissioners shall not engage in any other business, vocation, or employment. One of said commissioners shall have a practical knowledge of the manufacturing industry; one of said commissioners shall be a representative of labor; one of said commissioners shall be a lawyer who has made a special study of the tariff laws and customs practice in the United States; one of said commissioners shall have expert knowledge of costs of production and accounting; one of said commissioners shall be an economist who has made a special study of wages and cost of living. No vacancy in the commission shall impair the right of the remaining commissioners to exercise all the powers of the commission. Each commissioner shall receive a salary of ten thousand dollars per year. The President shall designate a member of the commission to be the chairman thereof during the term for which he is appointed. The commission shall appoint a secretary and such other employees as it may find necessary to the proper performance of its duties and fix the salary or compensation of each.

SEC. 2. That the principal office of the commission shall be in the city of Washington, in suitable offices which shall be furnished by the Secretary of the Treasury, who, likewise, shall furnish the commission with all necessary supplies. The commission, however, shall have full authority, as a body, by one or more of its members or through its employees, to conduct investigations at any other place or places, either in the United States or foreign countries, as the commission may determine. Said commission shall promulgate rules and regulations for the safe-keeping of all papers, correspondence, tabulations, reports, explanations, and other information gathered by it. All of the expenses of the commission, including all necessary expenses for transportation incurred by the commissioners, or by employees under their orders, in making any investigation in any other place than in the city of Washington, shall be allowed and paid on the presentation of itemized vouchers therefor approved by the chairman of the commission.

SEC. 3. That the commission hereby created shall have authority, and it is hereby directed, to ascertain the difference in the cost of producing articles of the same, or substantially the same, quality and kind in this country and in competing foreign countries. The commission in such investigation shall ascertain, in so far as practicable in connection with the several articles covered by its reports in the United States and in competing foreign countries, the wages, hours of service, and the efficiency of labor employed, and the standards of living of such laborers. The commission shall likewise ascertain the cost of raw material, the cost of labor, the fixed charges, depreciation upon the true value of the capital invested, and all other items necessary to determine the true cost of the finished product. Said commission shall ascertain the market conditions and the prices at which protected products of the United States are sold in foreign countries as compared with the prices of products sold in the United States. The commission shall investigate the effect of transportation rates upon the markets and prices of dutiable products, the relation between Government revenues and tariff schedules, and shall, pursuant to the purposes of this act, in so far as practicable, make an investigation of all questions and conditions relating to the agricultural, manufacturing, mining, commercial, and labor interests with reference to the tariff schedules and classifications of the United States and of foreign countries. The commission shall have the power to call upon any of the existing departments or bureaus of the Government for information on file in such departments or bureaus which it may require in connection with the work it is authorized to do by this act, and it shall be the duty of every such department or bureau of the Government to furnish such information on request from the commission. It shall be the duty of said commission to hold from time to time hearings at such places as it may designate to determine industrial, commercial, and labor conditions in relation to the tariff. Such hearings shall be public, except as otherwise provided herein. The commission shall, whenever practicable, give at least ten days' public notice of any and all such hearings, and at any such hearing any person may appear before said commission and be heard, or may be represented by attorney, and may file any written statement or documentary evidence bearing upon any matter it may have under investigation: Provided, That said commission in any investigation may, upon the request of any witness examined, take such evidence at a secret session: Provided further, That the testimony of any witness in regard to any secret process used in the production of any article shall not be reduced to writing, but that all other testimony shall be reduced to writing for the guidance of the said commission in arriving at conclusions and making reports to Congress. A majority of the commission shall constitute a quorum for the transaction of business. Said commission may from time to time make or amend such general rules or orders as may be requisite for the orderly regulation of proceedings before it, including form of notices and the service thereof. Every vote and official act of the commission shall be entered of record. Any of the members of the commission or its secretary may administer oaths and affirmations and sign notices.

SEC. 4. That for the purposes of this act, in the case of articles on the dutiable list and such other articles as the commission may decide to investigate, the said commission is authorized to require of any person, firm, copartnership, corporation, or association producing any such article or articles the production of all books, papers, contracts, agreements, invoices, inventories, bills, and documents of any such person, firm, copartnership, corporation, or association, and make every inquiry necessary to a determination of the value of such property. Said commission is authorized to require by notice the attendance and testimony of witnesses and the production of all books, papers, contracts, agreements, inventories, invoices, bills, and documents relating to any matter pertaining to such investigation. Such attendance of witnesses and the production of such documentary evidence may be required from any place in the United States at any designated place of hearing, and witnesses shall receive

the same fees as are paid in the Federal courts. In case of failure to comply with such a notice, or in case any person, firm, copartnership, corporation, or association shall fail to comply with any of the requirements of this act the said commission shall make a report to Congress of such failure, specifying the names of each person, the individual names of such firm or copartnership, and the names of the officers and directors of each such corporation or association guilty of such failure, and such report shall specify each particular in which such person, firm, copartnership, corporation, or association has failed to comply with such requirements, and shall also specify the article or articles on the dutiable list produced by such person, firm, copartnership, corporation, or association and the tariff schedule which applies to each such article. The information as to costs of production secured under the provisions of this section from any person, firm, copartnership, corporation, or association shall not be disclosed to any business competitor or rival of such person, firm, copartnership, corporation,

or association.

SEC. 5. That the commission shall ascertain whether any persons, firms, copartnerships, corporations, or associations engaged in the production or sale of any dutiable article cooperate by agreement or arrangement of any kind to control production, prices, or wages in the United States, or to control prices in any foreign market. The commission shall also ascertain whether any person, firm, copartnership, corporation, or association owns or controls such a proportion of any dutiable product as to enable such person, firm, copartnership, corporation, or association to control production, prices, or wages in the United States or to control the price of such product in any foreign market. In making such investigations the commission shall give notice thereof in writing to such person, firm, copartnership, corporation, or association and afford an opportunity for the parties to present testimony and to be heard in person or by counsel.

SEC. 6. That said commission shall make annual reports to Congress of its investigations and recommendations and such special reports as it may deem advisable. Said reports shall be printed as public documents. The annual report shall be published and ready for distribution on the first Monday of December of each year. Upon demand of either House of Congress, the commission shall make a report of all testimony and information upon which its reports are based.

SEC. 7. That there is hereby appropriated for the fiscal year ending June thirtieth, nineteen hundred and twelve, for the purposes of this act, from any moneys in the Treasury not otherwise appropriated, three hundred thousand dollars: Provided, That so much thereof as may be necessary shall become immediately available upon qualification by members of the commission.

SEC. 8. That all acts or parts of acts in conflict with the provisions of this act are hereby repealed.