Governments will lose revenues if they increase cigarette taxes
because people will buy fewer cigarettes
The evidence is clear: calculations show that even substantial
cigarette tax increase will still reduce consumption and increase
tax revenues. This is in part because the proportionate reduction
in demand does not match the proportionate size in the tax increase,
since addicted consumers respond relatively slowly to price
rises. Furthermore, some of the money saved by quitters will
be spent on other taxed goods. Historically, raising tobacco
taxes, no matter how large the increase, has never once led
to a decrease in cigarette tax revenues.
Tobacco control interventions are not cost-effective.
Tobacco control is highly cost-effectiove
as part of a basic public health package in low and middle income
countries. Measured in terms of the cost per year of healthy
life saved, tax increases would cost between $5 - $17 for each
year of heathly life saved depending on various assumptions.
This compares favorably with many health interventions commonly
financed by governments, such as child immunization.
Outdoor air pollution is as harmful as indoor secondhand smoke.
Secondhand smoke (or ETS) is a very serious form of indoor
air pollution. In the US, secondhand smoke causes about 3,000
lung cancer deaths a year, compared to less than 100 lung cancer
deaths per year from traditional forms of outdoor air pollution.
The tobacco inductry only markets to informed adults.
Smokers develop strong brand preferences and loyalty during
their childhood years, and most adults continue to smoke the
brand they used as adolencents. It is not only important to
major cigarette companies that large numbers of children smoke
but that the underage smokers choose their brands - and that
cannot happen unless kids are exposed to the cigarette companies'
brand advertising and other promotional efforts.
With a ban on tobacco advertising and sponsorships, sports will
collapse.
"We're in the cigarette business. We're not in the
sports business. We use sports as an avenue for advertising
our products... We can go into an area where we're marketing
an event, measure sales during the event and measure sales after
the event and see an increase in sales."