enough has been said to demonstrate the mischievous tendency of this tax, and the urgent necessity for its extensive modification.
If it be conceded that the tax on the transmission of letters is the one most in need of reduction, the next consideration is, What is the greatest extent, under the present circumstances of the revenue of the country, to which reduction may be safely carried?
It has, I conceive, been satisfactorily shown that reduction in postage to a considerable extent would produce an increase of revenue. A second reduction would therefore be required to bring back the revenue to its present amount; and still a third reduction to bring it within the proposed limits.
It would be useless to attempt to ascertain the measure of each of these steps in the reduction of the rates of postage, which, indeed, are only stated with the view of showing that a very extensive reduction in the whole will be required to effect any important diminution in the amount of revenue.
In order to ascertain with as much accuracy as the circumstances of the case admit, the extent to which the rates of postage may be reduced, under the condition of a given reduction in the revenue, the best course appears to be, first to determine as nearly as possible the natural cost of conveying a letter under the varying circumstances of distance, &c.; that is to say, the cost which would be incurred if the Post Office were conducted on the ordinary
