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Jump to full article: Mackinac Center for Public Policy, 2008-12-02
Author: Mr. Michael D. LaFaive, Mr. Patrick Fleenor, and Todd Nesbit, Ph.D. * Dec. 2, 2008
Intro: In this study, the authors consider cigarette smuggling from two angles. First, they employ a statistical model to estimate the degree to which cigarette smuggling occurs in 47 of the 48 contiguous U.S. states. Second, they review the historical experiences of three states -- Michigan, New Jersey and California -- known to have problems with cigarette smuggling. The author's findings suggest that state policymakers should reassess the value of cigarette taxes as a revenue and public health tool.
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