http://online.wsj.com/article/SB124804682785163691.html
Allow me to summarize the process:
Allow me to summarize the process:
- Government creates the entire cigarette smuggling industry because of punitive tax increases to cover budget deficits (and agenda)
- Tax revenue falls close to or below levels prior to tax increases, budget problems remain intact
- Government now has to increase law-enforcement to reduce the smuggling, which in turn creates additional bureaucracy and increases the budget deficits to support the administration and enforcement efforts.
- The results of the enforcement cause further impacts to the budget deficits in the judicial processes and imprisonment.
- There is collateral damage of lives and families destroyed in the enforcement process on both sides
- New budget deficits exceed previous year, politicians have the brilliant idea to gap the budget by increasing punitive taxes on cigarettes