360 EECOKDS OF THE FEDERAL CONVENTION T?e?day MADISON A?gu?t ? regulating trade between the States will protect them agst each other-- Should this not be the case, the attempts of one to tax the produce of another passing through its hands, will force a direct exportation and defeat themselves -- There are solid reasons agst. Congs taxing exports. I. it will dis- courage industry, as taxes on imports discourage luxury. 2. The produce of different States is such as to prevent uni- formity in such taxes. there are indeed but a few articles that could be taxed at all; as Tobo. rice & indigo, and a tax on these alone would be partial & unjust. 3. The taxing of exports would engender incurable jealousies. Mr Williamson. Tho' N-- C. has been taxed by Virga by a duty on I2,ooo Hhs of her Tobo. exported thro' Virga yet he would never agree to this power. Should it take take place, it would 'destroy the last hope of an adoption of the plan. Mr. Govr Morris. These local considerations ought not to impede the general interest. There is great weight in the argument, that the exporting States will tax the produce of their uncommercial neighbours. The power of regulating the trade between Pa & N. Jersey will never prevent the former from taxing the latter. Nor will such a tax force a direct exportation from N--Jersey-- The advantages possessed by a large trading City, outweigh the disadvantage of a moder- ate duty; and will retain the trade in that channel-- If no tax can be laid on exports, an embargo cannot be laid, though in time of war such a measure may be of critical importance --Tobacco, lumber, and live-stock are three objects belonging to different States, of which great advantage might be maed by a power to tax exports -- To these may be added Ginseng and Masts for Ships by which a tax might be thrown on other nations. The idea of supplying the West Indies with lumber from Nova Scotia, is one of the many follies of lord Sheffield's pamphlets. The State of the Country also, will change, and render duties on exports, as skins, beaver & other peculiar raw materials, politic in the view of encouraging American Manu- factures. Mr. Butler was strenuously opposed to a power over exports; as unjust and alarming to the staple States.
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