Nicotine activates cholinergic neurons (which mainly use acetylcholine to communicate to other neurons) in many different regions
throughout your brain simultaneously. This stimulation leads to increased release of acetylcholine from the neurons, leading to heightened activity in cholinergic pathways throughout your brain. This cholinergic activity calls your body and brain to action, and this is the wake-up call that many smokers use to re-energize themselves throughout the day. Through these pathways, nicotine improves your reaction time and your ability to pay attention, making you feel like you can work better. Many smokers believe this to have a stimulating effect.
Stimulation of cholinergic neurons promotes the release of the neurotransmitter
dopamine in the reward pathways of your brain. This neural circuitry is supposed to reinforce behaviors that are essential to your survival, like eating when you're hungry. Stimulating neurons in these areas of the brain brings on
pleasant, happy feelings that encourage you to do these things again and again. When drugs like ....... or nicotine activate the reward pathways, it reinforces your desire to use them again because you feel so at peace and happy afterwards.
Release of glutamate, a neurotransmitter involved in learning and memory - Glutamate enhances the connections between sets of neurons. These stronger connections may be the physical basis of what we know as memory. When you use nicotine, glutamate may
create a memory loop of the good feelings you get and further drive the desire to use nicotine.
Nicotine also increases the level of other neurotransmitters and chemicals that modulate how your brain works. For example, your brain makes more
endorphins in response to nicotine. Endorphins are small proteins that are often called the body's natural pain killer. It turns out that the chemical structure of endorphins is very similar to that of heavy-duty synthetic painkillers like morphine. Endorphins can lead to feelings of euphoria also. If you're familiar with the runner's high that kicks in during a rigorous race, you've experienced the "endorphin rush." This outpouring of chemicals gives you a mental edge to finish the race while temporarily masking the nagging pains you might otherwise feel.
You can read more about nicotine here and in dozens of other sites:
http://science.howstuffworks.com/nicotine4.htm
On the other hand, nicotine has been used successfully in many studies involving anxiety. However, we cannot really compare fighting anxiety to relaxation. Try yoga, meditation, and exercise. Far safer in moderation, and much more healthy.