<p> A Brief History of Tariffs</p><p> Hamiltonian Economics: protective tariff rejected - southern resistance (Democratic- Republicans/Madison) revenue tariff enacted to help fund national debt </p><p> War of 1812: need for national defense industrialization/armaments British seek to strangle infant U.S. industry with below-cost dumping first protective tariff passed by national minded Democratic- Republicans (1816) constant increases (every four years) raises protection (1816-1832) </p><p> Tariff of Abominations (1828): outgoing J.Q. Adams administration (Federalists/National Republicans) highest tariff to date stifles most foreign trade southern Democrats (South Carolina/Calhoun) blame tariff for farm recession nullification crisis threatens Union </p><p> Clay’s Compromise Tariffs (1832-1848): nullification crisis (civil war) avoided by compromise reductions tariff reduced (every four years) until reduction reaches 1816 level by 1848 </p><p> Morrill Tariff (1862):southern secession from congress allows for northern wish-list legislation highest tariff to date offers war-time protection for Yankee industry </p><p> Mills Bill (1887): Cleveland's first term effort to reduce tariff fails to pass the Senate makes tariff reform main issue of 1888 election </p><p> McKinley Tariff (1890): Republicans call Harrison victory mandate for higher tariff Ohio Senator McKinley gains national prominence with steering tariff through Congress </p><p> Wilson-Gorman Tariff (1894): Cleveland (2nd term) seeks tariff reduction/claims McKinley Tariff stifles trade claims treasury shortfall/shrinking gold reserves cause of Panic of 1893 tariff compromised in congressional debate - little to no real reductions occur Cleveland disgusted with "protectionist" of bill/allowed to become law without signature </p><p> Dingley Tariff (1897): Republican claim McKinley victory mandate for higher tariff Dingley Tariff highest ever/completely stifles trade and hurts national treasury</p><p> Payne-Aldrich Tariff (1909): Taft commits political suicide taking on pro-tariff forces in own party gains no real reductions because of "protectionist" exemptions (Wilson-Gorman Tariff) </p><p> Underwood-Simmons Tariff (1913):progressive victory/Wilsonian era Wilson gains first real tariff reductions since Clay's compromise </p><p> Fordney-McCumber Tariff (1922): restores high rates - return to normalcy platform </p><p> Smoot-Hawley Tariff (1930): includes agricultural goods to high rates attempt to protect domestic market for farmers results in European tariff retaliations and lost foreign market</p>