Cigarette paradox: Raise taxes, lower revenue

An odd thing happened the last time New Jersey raised its cigarette tax: It lost money.

Really? REALLY? ODD? You raise the tax on something and people buy less of it....Hmmmm?
That is odd. Dumbass.

Pennsylvania also saw revenues fall when it last raised cigarette taxes.

Pennsylvania, too, saw revenue slide as taxes rose. Rendell raised cigarette taxes 35 cents in 2004. At first the commonwealth saw a modest income bump, but in the first full fiscal year after the tax hike, cigarette tax revenue fell by $72 million, roughly 8 percent.
Revenue has never gotten back to fiscal 2004 levels, when the increase first hit.

Apparently, those in charge never even passed Economics 101. Dumbasses.

http://www.philly.com/philly/hp/news_update/20090305_Cigarette_paradox__Raise_taxes__lower_revenue.html

Found at GrassrootsPA: http://grassrootspa.com/