That may be what someone is saying - nicnik? ... but the two Branston articles that Bill linked is not free market - it's gov't "steering". More tax for cigs, tax credits (subsidies) for ecigs - stick and carrot - which he says has "worked in the past". His example, although he may be taking about the European experience - making it more profitable to make unleaded gas (I actually doubt that as well but didn't look into the whole Euto history). But in the US, there were mandated regulations - catalytic converters. then a ban on unleaded - stick, stick and no carrot
The way to do a free market test would be to either tax them both the same by removing the extra tax on cigarettes and raise no taxes on ecigs. Ie. no gov't steering and let the market decide.
Branston - Deputy Director of the Centre for Governance & Regulation in the University's School of Management

Basically the Cass Sunstein-version of that school.