The Tariff Of Foreign Goods

953 WordsAug 6, 20154 Pages
A tariff is a tax on foreign goods. The price of foreign goods increases with the tax, and provides revenue for the government, which makes American products more appealing. This is because the foreign goods that were cheaper are now more expensive. However, why was there a need for tariffs in the early 19th century (1800)? The reason is because, American industries were young, Britain flooded the US market with cheap goods after the War of 1812, and foreign goods have been often cheaper. In order to make sure American businesses could prosper, there had to be tariffs on the foreign goods. The tariff of 1816 was the first substantial protective tariff of the American System; supported by Henry Clay, but opposed by John C. Calhoun and Southern cotton growers. The tariff of 1824 increased the rate of the protective tariff and opposition in the South grew. In the Tariff of 1828 (Tariff of Abominations), there were higher protective tariffs to New England Mills; and Southerners were outraged including Calhoun. On July 11, 1804, a bullet from Aaron Burr’s pistol put an end to the life of Alexander Hamilton. However, it did not put an end to Hamilton’s vision for America. In 1806, a twenty-nine year old Kentuckian entered the U.S Senate and breathed life into Hamilton’s vision. His name was Henry Clay. For the next forty years, the man whom Abraham Lincoln called “My beau-ideal of a statesman” to natiously strove to implement a federal economic policy that closely followed
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