This Day in Wall Street History 1869: Congress passes Morrill's Tarif

February 24, 1869, was a banner day for protectionists and industrialists alike, as Congress passed the Morrill Tariff Act, which hiked duties on imports to an average rate of 47 percent. The legislation was also another victory for Congressman Justin Morrill, who, starting in 1861, had drafted a series of tariffs designed to protect U.S. industry from the specter of international competition. However, as some historians have noted, overseas rivals didn't pose much of a threat to American manufacturers in 1869; Morrill's latest tariff seemingly padded industrialists' pocketbooks at the expense of the poor, who were forced to pay ever-higher prices for import goods. Over the next few years, though, lawmakers reversed course and rolled back some of the protectionist duties. The Tariff of 1870 placed 130 items--primarily raw materials--on the "free list," while tariff law passed in 1872 effectively slashed rates on manufacturing goods by 10 percent.  Source: www.history.com