09 April 2009

CL reports that Governor Barbour mum on cigarette tax level he'll OK

The Clarion Ledger quotes Governor Barbour on his position and concerns regarding an increase in the state cigarette tax. One of his concerns is that some Legislators will over estimate new revenue, particularly in a poor state during a recession. This issue has been addressed many times by health policy economists. Based on years of socioeconomic studies, conservative models developed by the Campaign for Tobacco Free Kids project that a $1 increase in the state cigarette tax can prevent 26,300 kids form smoking and raise $135 million in new revenue. It's important to understand that the estimates are based on conservative assumptions, in order not overestimate the benefits of a tax increase.