Alberta, Canada, Anti-Tobacco Groups: Burn Cash to Smoke

Taxation AImed at the Reduction of Smoking

The issue of smoking has been elevated to that of major social debate in Alberta, Canada, Rosemary Westwood of Canwest News Service reports. Anti-tobacco groups are arguing that if you want to smoke, pay the price, or, perhaps more accurately, pay the tax.

In Westwood's article, "Albertans should pay up to light up: Anti-tobacco groups," several health agencies that are part of a movement called The Campaign for a Smoke-Free Alberta, have suggested that people who want to smoke should have to pay two
Alberta, Canada, Anti-Tobacco Groups: Burn Cash to Smoke
Date: August 27, 2008
 dollars.

What has generated this current action?

As the Canada.com report goes on to explain, the smoking rate has begun to climb among people age 15-19 by five percent. This increase is described in the article as "alarming" by Les Hagen who is the executive director of Action on Smoking and Health. Further, Hagen goes on to say that "The most significant tool we have to reduce tobacco use among young people is tobacco taxation."

Is there a reason for this smoking increase? Is there a reason that taxation might be the key tool considered for prevention? Yes is the correct answer to both questions.

The Campaign for a Smoke-Free Alberta indicates that the booming Alberta economy has put so much money in the pockets of people ages 15-24, that the existing taxes on cigarettes have failed to keep pace with their impact on the available funds of this age group.

The reason for looking to taxation as an answer is because in 2002 cigarettes started being taxed at the rate of $18 per carton of 200 cigarettes or $2.25 per pack. This led to a whopping 24% reduction in smoking. The tax was augmented by one in 2007 of $5 per carton.

However, as reported, the tax is becoming of no effect as the economy prospers.

Alberta's medical care is a public program augmented by public funds in addition to modest payments by those enrolled in the plan.

Obviously Canada is much more aggressive in their taxation of tobacco than the United States. Does that show up in health care costs and effectiveness? Canada ranks 30th in rankings of 191 World Health Organization nations and the United States ranked 37th.

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