The government doesn't "make" money on tobacco taxes. If it is analyzed properly, the costs to the government of smoking related diseases exceeds the revenue generated by tobacco taxes. That doesn't mean these taxes are appropriated properly though. States, in particular, divert money from tobacco taxes to other purposes while foisting health care costs onto the federal government.
A huge amount of taxes are spent on Medicaid and Medicare to deal with smoking related illnesses. That few percent that comes out of your paycheck doesn't come close to paying Medicare's costs associated with smoking related illnesses in the elderly. When someone gets cancer or emphysema and loses his job and, therefore, his insurance, it's Medicaid that picks up the costs, most of which are incurred near the end of life when private insurance companies have bowed out of the equation and the patient has exhausted his private resources. When a person is disabled by emphysema and becomes dependent on SSI, the government is paying the costs of smoking.
This idea that government won't ban cigarettes because they want the revenue is absurd. By that logic, other substances would be legalized and taxed and there wouldn't be any outlays for health consequences. The government doesn't ban or not ban something based on revenue and it never has. Cigs are a net loss for the government, but they're already committed to paying the price for people who have already smoked for 30 or 40 years. They won't ban it only because, by law, they CAN'T ban it. Tobacco is legally protected from any ban in the U.S.. That's entirely a result of our corporate controlled system of government, not some cost/benefit analysis.
The whole rationale for taxing cigarettes is to offset health costs and to discourage a practice that costs society (via the government) a lot of money. That's the main argument AGAINST taxing e-cigs. E-cig use does not pose the health risks that cost the government money and therefore should be recouped from smokers via taxes. E-cig users should receive a rebate for the money they're not going to cost the government.
Do you think E- Cig will make real cigarettes obsolete ?
I sure wouldn't mind some regulation as to quality and purity of ingredients, but it drives me crazy to know that ecigs will be completely in the hands of politicians very soon.
I gotta jump in here and comment, even though I normally prefer to get to the end of the thread first.
Smoking actually reduces health care costs by getting people to die sooner. The easiest way to think of this is a person will incur a certain amount of costs in their lifetime, and the older they get, the higher these costs will be. In the end stages the costs will be the highest. So if someone does not smoke, they still will die in the end and still rack up a lot of costs in the end as smokers do but will have lived more years and therefore will have incurred more health care costs.
Another thing is that even if this were not the case and smokers cost the government more in health care spending, these costs would be independent of taxation. So in other words, if you didn't have the tax, you would still have the costs. So this is still a money grab.
However, the truth is that taxation causes less people to die too soon by making more people quit, so it raises taxes and also ends up raising, not reducing health care costs. There really isn't any doubt about this.
In a way, we are living in the Wild West of vaping, where only a tiny percentage of people do it. If and when it becomes popular enough, you can bet that they will tax the crap out of it, to make it similar in cost to smoking. So in a way I have mixed feelings about vaping becoming too popular as we eventually will wake up the monster and we do not want that![]()
I can't imagine e-cigs ever being anything but a niche product. I've been smoking them for half a year now, and the thing I've noticed is that I still have to hide when I smoke. People see smoke and freak out... oh, forget trying to prove a point by smoking in a restaurant. I'd be beaten. Socially, e-cigs are the exact same as regular cigarettes.
Plus, the learning curve on e-cigs is WAY too high to get people to switch. It was so frustrating when I started that I make sure to warn the people who ask me about switching. Sure, I can hand them enough info, but even that's too much for most people. I guess what I'm saying is that regular cigarettes are way too easy compared with the electronic kind. It's a vice. Instant gratification is way better.
Cloud Wizard:6261830 said:Being a veteran, I'd like to take a bit less cynical view and say this IS AMERICA! I know smoking is "bad" for you, but so is alcohol, McDonalds, sun screen, traffic, cell phones and vitamin enhanced smoothies. People should always have the right to choose....
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Well you know what , I thought about that I mean it could be altered in design and used for drugs.
Scary thought.
And if your aunt had testicles, she'd be your uncle. E-cigs aren't tobacco products because of social reasons. They were declared that by law. Once they were declared such by law, they become subject to tobacco taxes, regardless of any stigma. What needs to happen is conclusive proof that e-cigs are harmless and a viable alternative to smoking. Better yet, they need to be proven to be a cessation method. You don't see tobacco taxes imposed on nicorette gum, even though they are no less a tobacco product than e-cigs. The only difference is that the law calls nicorette a cessation product and calls e-cigs a tobacco product.But the regulation side of the sword is sharpened by the negative sentiment towards tobacco. If E-Cigs are ever proven safe and can shake the stigma of being a "tobacco product" the imposition of heavy taxes and regulation will be much more difficult than it has become for actual tobacco.
The vast majority of nicotine used in e-cigs is extracted in China from Chinese tobacco plants. Tobacco companies don't make a dime off it. They can't corner the market on tobacco in China. If they managed to get Chinese nicotine banned from import, their wouldn't be enough tobacco plants in the country to furnish the nicotine for e-cigs, patches, etc. The government controls how many tobacco plants are grown in the U.S. and it's highly unlikely they'd raise that quota to satisfy the demands of vapers. If imported nicotine was banned, synthesis would be the only alternative.If they aren't as stuck on maintaining their business model as the RIAA and MPAA have been and readily adopt ecigs, big tobacco will still be quite happy as they have the market cornered on tobacco and thus they have the Nicotine market cornered as well as apparently, synthesizing it is exponentially more expensive than extracting it.
This is true, but who is going to pay for enough science to convince the gov't and the public. This is the two-edged sword in the recent court declaration that e-cigs aren't drug delivery systems. If e-cigs had been declared a drug, BP would be conducting clinical trials and financing the science to prove their safety and efficacy. Only BP has the money to do that. BT could do it if they wanted to, but they don't have the motivation unless they can monopolize the e-cig industry. BT could never make from e-cigs the kind of profits they make from cigarettes unless they were the only players in the e-cig market.Whether ecigs ever supplant analogs depends on numerous factors. But the main one is getting some science behind them. If science can prove they aren't (relatively) dangerous, then them eventually supplanting tobacco is possible. But I doubt they'll ever completely eliminate analogs as many people simply like smoking. But it could be reduced to the same market size as pipe tobacco and cigars one day.
There are entire websites, that can't be mentioned here, that do exactly what you are saying can't be done. The hardware exists for use on an otherwise standard e-cig, including an eGo. Don't tell them what you are claiming. They apparently have quite lucrative businesses doing the impossible.Vaporizers for that have already been around for decades.
Ecigs are unsuitable for that as they do not normally reach high enough temperatures and the substances involved foul up and clog Ecig hardware.
People have already tried it to see if it could be done. And it can be. But it's absolutely pointless and extremely inefficient. Plus, it's not odorless like nicotine so the vapor still gives away that there's a drastic difference.
I think the incidences of people making those associations are grossly exaggerated among vapers. There's a certain amount of unfounded paranoia on the subject. Not that it doesn't happen, it's just not as common as many vapers perceive it to be. It is a good reason NOT to vape a cig-style e-cig in public. The more people recognize that an e-cig doesn't necessarily look like a cigarette, the better off we'll be.Right now people make that connection with ecigs because ecigs aren't recognizable to the masses so anything that makes "smoke" that isn't a cigarette tends to automatically be associated with other things as they're the only things that use "strange looking devices" to imbibe them.
Your fingertips to God's ears. It would help if vapers would do their part and not vape cig-style e-cigs in public. Too many of them want to vape something that looks like a cigarette, then wonder why people treat them like a smoker.In time that will likely change and the knowledge to recognize the difference between an ecig and paraphernalia will become much more widespread.
That ignores the fact that, even though a smoker may die sooner, the health costs of their final years is likely to be more than the final years of an older, but otherwise healthy, non-smoker. A 60 year old smoker who spends his last years being treated for cancer, or undergoing a lung transplant, or having 3 heart attacks, will rack up a lot more costs than an 85 year old non-smoker who dies of pneumonia or complications from a broken hip......
Smoking actually reduces health care costs by getting people to die sooner. The easiest way to think of this is a person will incur a certain amount of costs in their lifetime, and the older they get, the higher these costs will be. In the end stages the costs will be the highest. So if someone does not smoke, they still will die in the end and still rack up a lot of costs in the end as smokers do but will have lived more years and therefore will have incurred more health care costs.
Yeah, you'd have the costs, but there would be no way to offset them. Supposedly, at least a portion of the taxes are supposed ot offset the health care costs. Another portion is supposed to prevent future health care costs with anti-smoking campains. That arument is like saying I don't need a job because I'd have expenses whether I was working or not.Another thing is that even if this were not the case and smokers cost the government more in health care spending, these costs would be independent of taxation. So in other words, if you didn't have the tax, you would still have the costs. So this is still a money grab.
There is plenty of doubt about this. There are other costs attributable to smoking. Some of them don't have anything to do with end care or age. There is lost productivity and medical costs from increased incidences of bronchitis and other respiratory problems. There are costs associated with the loss of a breadwinner in a family. There are intangible costs as well. To assume that it's cheaper for society to have people die before they get old neglects any value of the elderly and any contribution they make to society. Let's just put anyone over 60 on an ice floe. Think of the money we'd save.However, the truth is that taxation causes less people to die too soon by making more people quit, so it raises taxes and also ends up raising, not reducing health care costs. There really isn't any doubt about this.
The monster's already awake. You'd have to have been snoozing yourself not to have noticed it. Government is not the impetus to raising taxes. Any profit to the gov't from tobacco is peanuts, if it exists at all. The government was going to raise the taxes on RYO tobacco. Congress proposed a raise from $1.25/lb to $4/lb. Then, the tobacco companies swarmed in with their lobbyists and the proposed $4 tax became a $25 tax. If taxes are raised to parity with tobacco cigarettes, you can bet it'll be the tobacco industry repeating what they did to RYO, not the government trying for some money grab. The government just doesn't make enough money on tobacco to worry about it. One mindless and needless military weapons contract could be scrapped and they'd save more money than they profit from cig. taxes.In a way, we are living in the Wild West of vaping, where only a tiny percentage of people do it. If and when it becomes popular enough, you can bet that they will tax the crap out of it, to make it similar in cost to smoking. So in a way I have mixed feelings about vaping becoming too popular as we eventually will wake up the monster and we do not want that![]()
That's the problem. BT is the biggest single enemy of e-cigs. Worse than BP, the gov't or the anti-nicotine brigade.I think the vaping industry will continue to grow at brisk pace, but IMHO, Ecigs can't make analog cigarettes obsolete until further long term health studies are conducted. But... if big tobacco continues to feel threatened, they will jump into the vaping industry head first! There is too much money at risk for big tobacco to "sleep at the wheel"- as the vaping industry gains traction. We are beginning to see signs of this as lorrilard purchased Blu.
This exact sort of thing happened in the cell phone industry... as cell phone technology advanced and took a bite out of traditional telephone companies, we saw Sprint, ATT, and other telecommunication giants buy the entire cell phone business up.
And if your aunt had testicles, she'd be your uncle.
E-cigs aren't tobacco products because of social reasons. They were declared that by law. Once they were declared such by law, they become subject to tobacco taxes, regardless of any stigma.
If they managed to get Chinese nicotine banned from import, their wouldn't be enough tobacco plants in the country to furnish the nicotine for e-cigs, patches, etc.
There are entire websites, that can't be mentioned here, that do exactly what you are saying can't be done. The hardware exists for use on an otherwise standard e-cig, including an eGo. Don't tell them what you are claiming. They apparently have quite lucrative businesses doing the impossible.
This is true, but who is going to pay for enough science to convince the gov't and the public.
I think the incidences of people making those associations are grossly exaggerated among vapers. There's a certain amount of unfounded paranoia on the subject. Not that it doesn't happen, it's just not as common as many vapers perceive it to be.
It is a good reason NOT to vape a cig-style e-cig in public. The more people recognize that an e-cig doesn't necessarily look like a cigarette, the better off we'll be.
It would help if vapers would do their part and not vape cig-style e-cigs in public.