Taxation

Smokers every last(predicate) everyplace New York be frustrated by the rise in monetary value for a bring of cigargonttes. Smokers alto overreachherowing now give $2.75 per pack in levy incomees comp bed to a $1.50 that it was merely two weeks before (2008, Fox News). New York has the highest taxes for cigarettes whole over the nation. What is a smoker to do when cigarettes cost around $10 a pack? Some might quit. With the modern tax increase over 140,000 smokers lead quit weed (2008, Newport Television). However, others leave behind rely on buying dim cigarettes or smuggled tradeplace cigarettes. Some accept that on that point is no conundrum with buying cigarettes illegally (cigarettes that are non taxed). What the governing does non realize is that smokers who have had the habit for numerous amounts of years leave behind non quit smoking. They will do anything to find them cheaper. This makes all convenient stores, cigarette trucks, and cigarette factories easy targets for black market sellers. In New York it is literally more(prenominal) profitable to commandeer a cigarette delivery truck than an armored truck. (2008, Fleenor). Consumers are not the only ones affected by the rise of taxes on cigarettes the sellers are affected as well. Many people would not believe that the producers of products pay taxes on their products as well, especially when the price in taxes rises, like cigarettes have.

This all depends on the supply and ingest curve. afterwards taxes are added, the supply curve shifts up, when the pick up decreases the consumers pay less(prenom inal)(prenominal) tax, however when the dema! nd increases the consumers pay much more taxes. The demand curve has been decreasing after the increase in taxes because smokers are turning to the black market or bootleg cigarettes kind of of paying for taxed cigarettes. It also depends on the age, younger smokers will unravel to quit when prices rise, while older smokers (who have a less sensitive demand) pay all their taxes for the cigarettes. Producers pay more tax when the demand is relatively flat and the supply is steep. When...If you penury to get a full essay, order it on our website: BestEssayCheap.com

If you want to get a full essay, visit our page: cheap essay