A thought struck me today as I was walking down St-Denis street, seeing all those smokers huddled on terrasses. How did governments across the world manage (politically) to revoke such an in-your-face right from a very high percentage of the population? Normally such a move is political suicide.
Perhaps many decades of negative publicity got the best out of smokers.
I also find it odd that smokers have not successfully contested taxation of tobacco, since smoking has a positive externality on the bulk of society (people dying quickly after retirement consume less state sponsored resources). Even adopting a paternalistic point-of-view, all taxation of tobacco should be given back to smokers in one form or another, not redistributed equally to everyone.
Saturday, June 13, 2009
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3 comments:
I felt compelled to make a comment here. Although the purpose may be to find common ground, I will take this opportunity to perhaps explore the joys of intellectual argument instead.
Although tobacco (along with tar and other toxic crap found in cigarettes)does kill many and this would in fact perhaps help alleviate the impending doom we will face over our aging population. Cigarettes do not kill instantly! Most smokers who die will first get very ill (emphysema, lung cancer, blood clots and reduced circulation leading to amputations...) which are much larger problems we continuously deal with on our under funded and over-burdened healthcare system paid for by tax payers such as yourself and I.
I am not aware of the effectiveness that these anti-smoking laws have had on reducing the amount of smokers and of the first and second hand effects it has had on our health. I will however stand by my choice to not have to inhale other people's fumes when eating dinner in a restaurant or having a drink at a bar.
Smokers are free to make their own choices but they should not be allowed to have a return on the tax they pay for tobacco.
I have never smoked, I don't like to be exposed to second hand smoke, and find it unfortunate that a non-negligible fraction of women in my age group have taken up the habit. I'm also glad that smoking in most public places is not allowed.
Government intervention to prevent smoking in vulnerable groups (such as adolescents) also make much sense.
That said, I think people should be allowed to do as they please, as long as they are not harming others too much; for example if they smoke at home or in a well ventilated area.
Smokers in Canada are getting a raw deal from the government. The least the government could do is give the money back to them, possibly through prevention schemes. Here are the numbers:
A 1997 study conducted in the Netherlands showed that smoking reduces lifetime health care cost by 14%. In Canada, this means: $5170 * 80 years * 14% = 57904$.
A 2003 study conducted in the UK showed that smoking reduces life expectancy by 10 years. The government also saves 10 years worth of Old Age Security Benefits: 500$ * 12 * 10 = 60000$.
Finally, lifetime taxes on tobacco represent in Canada: 4.5B$ / (30M * 19%) * 50 = 40000$.
Under the current system, smokers cost 160000$ less than non-smokers to the state during their lifetime.
$5170 = health care cost per person, per year (2008)
19% = ratio of population who smoked in 2007 in Canada.
80 years = life expectancy
80 years = life expectancy
30M = population of Canada (1999)
4.5B$ = tobacco tax revenue (1999)
So perhaps we may agree that indeed smoking (in our opinion) is a bad habit.
Where I do not understand your arguments however, lies in the apparent sympathy you have for tobacco tax payers.
As much as you may believe that Canadian smokers pay high taxes on tobacco, most OECD countries are charging even more.*
The federal and provincial governments in Canada generate aproximately $5.235 Billion in revenues from tobacco taxes each year. Of that, about $2.6 Billion is spent on healthcare costs for smokers alone and another $6.8 Billion is spent on pensions related to smoking.*
An average of 45000 Canadians die from smoking related illnesses each year*. In a country with a population of around 33.7 million** that amounts to 0.1335% of the population***.
Smokers are free to decide if they want to smoke and pay the tax or quit while they're ahead.
*http://www.smoke-free.ca/pdf_1/TOBACCOINCANADA2003.pdf
**http://www.statcan.gc.ca/edu/clock-horloge/edu06f_0001-eng.htm
***Assuming the calculation: deaths from smoking (45000) / population of Canada (33.7 million) = 0.001335 (or 0.1335%)
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