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LORD SALISBURY AT j LIVERPOOL. Lord Salisbury, addressing a great meeting in Hengler's circus at Liverpool on Wednesday night, said it was just a year since he received the Seals from Her Majesty's hands as Foreign Secretary. He could now present his report on the year's proceedings, and he maintained that that report was favourable. The noble marquis reviewed the changes of tactics on the part of Mr. Gladstone with regard to Home Rule, and vindicated the policy which Ministers had adopted. The statements of the ex-Premier and of Mr. Shaw Lefevre in respect to Conservative opinion upon Home Rule were denied and the charge against the Government of paltering with Free Trade principles was answered in some detail. Mr. Gladstone, the Premier went on to say:—He spoke about it at Dover, and lie not only said all kinds of things about me, but he said that Lord Hartington and Mr. Goschen were not to be trusted in the matter of free trade. That did seem to me the most grotesque misstatement which it was possible for a man to make, and to show the poverty of the resources which were still at his disposal for the purpose of his party. (Cheers.) There is a character in Pilgrim's Progress who is called Mr. Facing-both-ways. (Laughter.) Since the time of that eminent man there is nobody who has had to solve the problem which my friend has just put. (Laughter.) To go back to Free Trade. Mr. Glad- stone was pleased to say that my statements were very unclear and difficult to understand, and lie coupled with that a compliment to my intellect which im- plied that I was very insincere. Mr. Gladstone's com- pliments usually have a back-handed blow of that kind. (Laughter.) I am afraid that on the question of clearness of explanation my ideas are not exactly similar to Mr. Gladstone's. (A voice: I hope not.") But at least I know that when he clearly explains his future policy in respect to Ireland it costs me several hours of hard study, and I end with a bad headache. (Laughter.) I wish to say a few words to illustrate and enforce the statement to which lie took exception. The statement was that I objected to Protection, but that I did not on that account approve of all the fiscal arrangements and all the fiscal doctrines to which Mr. Gladstone had given his sanction. I believe that many fiscal doctrines injurious in their character, and not only consonant with free trade, but absolutely opposed to it, are sheltered under its broad mantle, and you are required to believe them. (Cheers.) Let ire give you one or two illustrations. Mr. Forwood—(cheers)—alluded in terms of just praise to the efforts of my friend Baron Henry de Worms—(cheers) -in favour of abolishing bounties upon sugar. (Loud cheers.) Now that is one very good case in point. What does bounty on sugar do ? It favours the con- sumer-undoubtedly it does-and what I may call your free trader presumes that everything that favours the consumer, whether it be legitimate or whether it be not, must be sanctioned by the doctrine of free trade and so you see people writing in the newspapers that because it is good for the consumer it ought to be encouraged. They do not see that advantages to the consumer secured by illegiti- mate means are only transitory in their character, and that when they have served the purpose of destroy- ing the industry against which they have been levelled the advantage to the consumer will cease. (Cheers.) Let me take another matter-the duties upon articles of luxury-articles such as silks and laces, and wines, and so on. (Hear, hear.) It is of course very desirable to admit them free if you had no taxes, but the question is which bears heaviest on the springs of industry-a tax which afflicted the man who used lace and silk and wine, or a tax which afflicts the ordinary income-tax payer ? (Hear, hear.) Why, it is obvious that you might stop the whole consumption of laces and silks and wine without inflicting a very deep wound on the well- being of the country, but the weight which the income- tax places on the springs of prosperity and of industry is very serious indeed. (Hear, hear.) I must correct this by saying that I am discussing now an abstract point. Do not imagine that I am giving you what is called an advance copy of Mr. Goschen's Budget. (Laughter and cheers.) I think that many of the steps Mr. Gladstone induced us to take were unwise steps but you very often cannot retrace your steps, even when the direc- tion in which they were originally taken was one which you ought not to have adopted and therefore there are many reasons which will prevent our return to a sound position which would not have been strong enough to have induced us originally to abandon it. Now, let me give you another point. I speak in regard to railway rates, Railway rates, as you know, are so adjusted in this country that it is often cheaper to send a thing from New York through Liverpool to London than from Manchester to Birmingham. The result is that the foreigner gets an artificial protection imposed by our laws. The con- sumer undoubtedly benefits for the moment, but the effect is to deprive native industry of the ad- vantages it would otherwise enjoy, and where that industry is destroyed we will find that consumer and producer on English soil are bound up in a common loss. (Cheers.) Let me take one other instance, in which I think you in this district feel some interest. I mean the question of limited liability com- panies. The principle of limited liability companies is exceedingly sound, enabling the small capitalists to unite together in order to do what before only large capitalists could do. It was very sound as long as only small capitalists were there, but when it be- came extended from small capitalists to people who subscribed their-unbounded expectations—(cheers)— then the result was no longer beneficial. No doubt for the moment it might lower prices, and so benefit the consumer but what it did was to introduce falseness and hollowness into trade, to lower wages, to compete with sound manufactures and undertakings, and gradually to produce severe depression in the industry to which it was attached. (Hear, hear.) It is another case to warn you that you should not be deluded by the mere fact that the consumer is advantaged into thinking that, simply because he gains, therefore the arrangements under which he gains must be sound. You must look beyond, and ask first what sort of consumer Le is—whether he is a luxury consumer or a consumer of necessaries, and then whether the arrangements under which he gains is one which, under sound principles, can be approved, and which is, therefore, likely to endure. (Hear, hear.) I am afraid you will think that I have gone some way in exposing Mr. Gladstone's kind comments upon my speech, but unfortunately, as we sit in different Houses, this is the only opportunity that I have. (Cries of Go on," and Give it him hot and cheers.) Lord Salisbury claimed that in regard to Ireland public opinion had rallied to the cause of law and order, and argued that consolidation rather than separation, was alone the remedy for the evils under which both Ireland and England suffered. Vacillation had been England's great crime against Ireland in the past. It was our half-hold of Ireland that had done all the mischief. There was no coercion in the present Government of Ireland; all they desired was to enforce the Sixth and Eighth Commandments. No Government, concluded the noble Marquis, can succeed, no Government can last— I do not care by what theories it is sustained or on what reasoning it is based-unless it shows that it can govern, that it can form a distinct theory of Government, can act with consistency of purpose, and maintain its resolution to th3 end. (Hear, hear). It is now for you to say whether you have that tenacity and that resolution. If you have it not, it will be announcing to the world that the qualities by which your Empire is built up are no longer there to sustain it, and that it is at the mercy of the first acci- dent that will throw it down. But I am convinced that this is not the truth, and that in spite of the con- sistent prophecies that we hear around us that the resolution to enforce the law must disappear the day of the first contested election—I am convinced that those who speak this language misread the true character, the true firmness of purpose of the democracy of England. (Cheers.) At all events, be sure that the dearest interests of your sister country and the great Empire which has come down to you from your fathers depend upon your resolution and tenacity in the present instance. Be worthy of those from whom you have inherited this great trust, and show to posterity that it was not any fall, but rather a rise, rather a great advance in the destinies of Eng- land, that trusted the sacred trust of the integrity of the Empire and the prosperity of the vast institutions it contains to one of the most democratic Constitu- tions which the world has yet seen. (Cheers, during which the noble Lord resumed his seat, having spoken an hour).

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