Tariff Act Of 1789

The U.S Congress enacted the Tariff Act of 1789, which can also be known as the first major U.S tariff. To explain a little further, tariff acts are connected to federal trade policy by not only regulation, but they are one of the main factors of a way that the federal government controls taxes. This Tariff Act of 1789 was not only designed to raise revenues by placing a tax on the import of foreign goods, but encourage domestic production in business in the United States. In the same year, the Tonnage Act was also passed; this act placed a 50 cents tax on foreign ships entering American ports, 30 cents, on American built but foreign owned ships and 6 cents, on American ships. These two acts were the first two main tariffs in the United

This tariff was the first real protectionist measure that the United States had taken, raising the taxes to 20-25% on all foreign goods. After the war of 1812 the United States had taken a hard hit. In 1824, the federal government passed another protectionist tariff, whose purpose was to protect American industry from cheap British products like wool, iron, and agriculture goods. From the beginning of the United States of America frequent tariffs were passed in order to regulate and control the taxation of products being both imported an exported over seas with other countries. Many of the taxes, like the Tariff of 1824 were used in order to protect the American economy. By regulating the taxes of traded goods, the United States was able to keep the import and export of products balanced most of the

This tariff was first created to protect northern industries and factories but ultimately in the end made the south pay higher taxes on products that they did not produce. Later, in 1832 Congress began to balance back tariffs; with additional reductions that were enacted the following year with the “Compromise Tariff” which was ultimately created to fix the problem that the “Tariff of Abominations” and “Tariff of 1832” had created. In 1842, rates had again risen from the “Black Tariff” which was originally created to fix previous problems but by 1846, the rates were already decreasing, and ultimately lowered in 1857. Following the 1857 act, tariffs averaged around 20 percent. The outbreak of the civil war was soon to follow and because of this, a series of “War Tariffs” would be passed that would remain for generations to follow. After the “War Tariffs” were passed a few years later in 1914 the Federal Trade commission act came to pass and was signed by Woodrow Wilson, this acts soul purpose was to “outlaw unfair methods of competition” as well as “unfair acts or practices that affect buying or selling of products.” Today, the Federal Trade Commission is a United States regulatory agency that was designed to monitor and prevent deceptive, unfair and anti-competitive