FREE Cigarette Tax Economics Essay - Example Essays
Some commentators have expressed concern that high tobacco prices are regressive, i.e. that low income smokers pay a higher proportion of their income in tobacco duty. However, the evidence shows that low income smokers are most likely to respond to price increases by quitting. Overall, the public health benefits of high tobacco taxation are greater than the potential harms of the increased price among low-income smokers who do not quit. Using money raised from tobacco duty to pay for stop smoking services targeted at low income smokers is one way of addressing concerns that tobacco tax is unfair for poor smokers.
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This gap represents a 6.8 million carton difference, an outstanding decrease in cigarette sales.
To all smokers the tax increase means a substantial amount of money will be necessary to maintain their habits.
Results for tobacco tax essay - EDU Essays
In a smokers reduction movement the state of New Jersey doubled the sales tax on cigarettes forcing smokers to spend an extra forty cents on every pack they bought.