According to the CDC, roughly 20% of the American population, some 43 million people, smoke (and within that group 80% smoke every day). That number is down significantly from just a few decades ago, but the rate of decline has leveled off in recent years. Some attribute the slow-down to creative marketing tactics by the tobacco companies (such as cigarettes marketed to women in pink packages) while others blame the Bush Administration for not making tobacco control a priority. The most likely reason is money — the price of cigarettes has not changed significantly in the last few years, so people don’t have that extra incentive to quit.
Beginning today, however, the price of cigarettes is going to jump, significantly, as the new federal cigarette tax goes into effect. The tax, which President Obama signed in February, will raise the tax on tobacco products from 39 cents a pack to $1.01. As many as a dozen states are consider additional taxes as well, to help generate much needed income. Before the tax hike, cigarette prices averaged about $5 a pack. While some tobacco companies will absorb part of the tax to offset increases, prices across the board will go up. As the prices go up, the number of people who smoke is expected to go down — significantly.
So what?
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