So it could be less money, but better health. Think that would cause mixed feelings at the Statehouse?

Puff

Delaware didn't raise it's cig taxes this year - but all the surrounding states have - cig tax revenue rose by 59%.

I wonder why?????

Anyone remember the Laffer Curve? Simply stated, if marginal tax rates increase, tax revenues will only increase to a certain point and will then actually decline as the tax rate continues to climb. I make a point to teach this to all my microeconomics students.

In the case of cigarettes, not only will some people cut their smoking as taxes rise, but entrepreneurs (likely the mob) will take advantage of the high price and increase supply.

All this talk about health concerns is bunk. If the government were seriously concerned about health they would seek to outlaw tobacco--isn't that the arguement used for guns? No, the government just wants our money and sin taxes are a more politically acceptable way to get it.

And most likely their tax revenues will be up significantly. See what happens when you get greedy, class?

Well I just got my refill supply from Stuffyourown.com. Considerably cheaper, and it doesn't go to the state coffers.

Well I just got my refill supply from Stuffyourown.com. Considerably cheaper, and it doesn't go to the state coffers.

I roll a carton for under $8.00! It's wonderful. The savings are wonderful! And your right! The state can pull the money out of "someplace else." heh!

No, the government just wants our money and sin taxes are a more politically acceptable way to get it.

Exactly. If tobacco was the killer they are making it out to be, it wouldn't have lasted over a hundred years, and the government would be working to ban it. Not bleed the smokers dry! We all know it's about money.

Exactly, and when they say it isn't about the money... it's about the money.

Tennessee only raised theirs by 7 cents totaling 20 cents.

The only way this can work is if all 48 contiguous states should agree to make their tobacco taxes exactly the same. States are immune to anti-trust.

The only way this can work is if all 48 contiguous states should agree to make their tobacco taxes exactly the same.

Hey it's working for me - what do you think I plan to use to garner support to defeat the demonrat governors proposal to cover Delaware's deficit on the backs of Delaware smokers? If she gets her way with an increase - the increases in revenue seen because of the surrounding states will vanish because it will no longer be worth coming to Delaware from PA, NJ, or MD.

As does theft, smuggling, etc. I know cigarette taxes are not about health, and I don't think they're about money (to the state) either.

and I don't think they're about money (to the state) either.

You could have fooled me. :-}