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The Aftermath of Hamilton's “Report on Manufactures”

Published online by Cambridge University Press:  01 September 2004

DOUGLAS A. IRWIN
DOUGLAS A. IRWIN
Affiliation:
Professor, Department of Economics, Dartmouth College, Hanover, NH 03755. E-mail: [email protected]
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Abstract

Alexander Hamilton's “Report on Manufactures” (1791) is a classic document of U.S. economic policy, but its fate in Congress is not well known. It is commonly believed that the report was never implemented. Although Hamilton's proposals for bounties (subsidies) failed to receive support, virtually every tariff recommendation was adopted by Congress in early 1792. These tariffs were not highly protectionist because Hamilton feared discouraging imports, which were the critical tax base on which he planned to fund the public debt. As a consequence, protectionist interests shifted their political support from the Federalists to the Jeffersonian Republicans during the 1790s.

Type
ARTICLES
Information
The Journal of Economic History , Volume 64 , Issue 3 , September 2004 , pp. 800 - 821
Copyright
© 2004 The Economic History Association

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