xii REPORT OF THE

upon its full value, and frequently upon a larger valuation
than the property could possibly be sold for in the market,
while his next neighbor may hold fifty times the amount in
mortgages upon real or leasehold property, the safest and at
this moment the most remunerative investment which can be
made, and pay no taxes whatever. A merchant owning, or
having in his possession a stock of goods, large or small,
must pay full taxes on his place of business, and on his stock
of goods, and besides also a license tax for the privilege of
exposing them to sale with a view to profit, while his
neighbor may own a million of dollars worth of coupon
mortgage bonds of railroad or other companies, which are
exempt from taxation, and pay no taxes.

The small manufacturer who works by hand has, it is
true, an exemption of his tools from taxation, but his stock of
goous is liable to assessment, and as he must have a house to
live in, and a house to transact his business in, he is taxed on
both.

The large manufacturer, however, is now contending that
not only his plant and machinery should be exempt, but
thai the whole capital employed in the business must also
be exempt, although it may yield an annual income of
fifteen or twenty per cent.

While the Legislature may believe it expedient to grant
special privileges to enterprises of untried or uncertain re-
muneration, if such enterprises are believed to tend to useful
ends, and the welfare of the community, I can see no reason
why the exemptions or privileges should be continued long
attor the success and profitableness of the enterprises has
been fully established.

It cannot be doubted that the prosperity of the State will
be greatly enhanced by the establishment of successful
manufactures, but it is also believed that to be successful,,
they must be originated by men who rely more on their own
intelligence, industry, perseverance and indomitable energy,
than they do upon special privileges and exemptions granted
by law. The man who undertakes an enterprise under the
belief that the community intends to insure its support by
law, will hardly succeed if all the special privileges the