CGD Blog Posts Examine Arguments For, Against Raising Tobacco Taxes
Center for Global Development’s “Global Health Policy Blog/Views from the Center”: Tobacco Taxes Need to Be a Much Bigger Part of the Fiscal Policy Discussion
Masood Ahmed, president of CGD, discusses the effectiveness of tobacco taxes, describing how “the cost is very low relative to the revenues and fully justified by the health gains.” Ahmed goes on to describe “three common objections to tobacco taxes and why they don’t hold up: 1. Tobacco taxes will not raise sufficient revenue? Experience suggests otherwise. … 2. Tobacco taxes are regressive and hurt the poor? To the contrary, evidence shows that the poor benefit more than the rich. … 3. Tobacco taxes will lead to illicit trade? That’s possible but the evidence shows that many countries have successfully tackled this…” (5/12).
Center for Global Development’s “Global Health Policy Blog/Views from the Center”: The World’s Most Profitable Slow-Motion Disaster: Tobacco
William Savedoff, senior fellow at CGD, discusses the challenges of addressing tobacco taxation globally, examining tobacco companies’ arguments against raising tobacco taxes and offering counterarguments. Savedoff writes, “The bottom line: raising tobacco taxes will save lives. … But raising tobacco taxes won’t necessarily reduce tobacco company profits” (5/15).
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