What do you think? Hike the price of cigs?
A bill to raise a tax increase on tobacco products by 50 cents in Louisiana is being reintroduced to a house committee today. The amount is a decrease from the originally proposed $1.00 tax. The “Louisiana Healthier Family Act” (House bill 889 read here) was originally introduced to the House Ways and Means Committee back in April (it failed 7 to 11).
Rep. Karen Carter Peterson continues fight to raise tobacco tax in LA
Money raised with the new taxes would go to health care programs, with half going for payments to providers in the
state Medicaid program.
Smokers out there- would this get you to quit smoking? Do you think your children will be less likely to smoke with a higher price to pay?
After a recent federal hike, CDC says a 10 percent increase in cigarette costs reduces consumption by up to 5 percent.
Raise the taxes…. maybe everyone will quit smoking!
With the elasticity of demand for cigarettes so low, a 50 cent tax will do little to reduce smoking. The tax will be a nuisance for smokers, but the amount is designed to maximize tax revenue for the state. If the purpose is to minimize smoking then the tax should be $50 per pack. Since the tax revenue will be going into health care the state doesn’t want smokers to quit.
The tax definatley helps with quitting. I don’t buy them as often and usually only light up when I absolutley think I can’t go any longer without one. Kids won’t be able to get them because who wants to pay over $5 for a pack of smokes when you can spend that at the movies or on a date. I don’t think it will stop smokers from lighting up though. People have been doing things that are bad for them for decades. Drugs, alcohol, etc. But for me, I’d like to think this helps.