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Gloor said raising the cost of tobacco products through increased taxation has been an effective way to ease the stranglehold of tobacco addiction on people as it becomes a financial incentive to quit tobacco use.
“That is especially true among your youth as it can be as dramatic as between 20 to 25 percent either give it up or don’t start,[link widoczny dla zalogowanych],” Gloor said. He said tobacco manufacturers could absorb a tax increase, but “I expect this will be passed on to consumers.
That will reduce consumption, as well as keep the funding level for prevention efforts at current levels.” Also, as a former hospital administrator,[link widoczny dla zalogowanych], he had a deeper motivation to get people to quit their tobacco addiction ― the personal health cost to individuals and society. “We sometimes forget,[link widoczny dla zalogowanych], when we are talking about cigarette tax, that the reason we or any other state has one is to try to recapture the costs associated with taking care of people with smoking-related illnesses,” Gloor said.
He said the long-term implications of getting people to quit their tobacco addiction are huge for Nebraska and society in general. It would save $500 million in long-term health care costs, 20,000 young Nebraskans would not take up smoking, and 9,400 Nebraska lives would be saved from premature smoking-related deaths.
Tobacco addiction causes 8,800 deaths annually in Nebraska, according to the American Cancer Society. Given that diseases and fatalities caused by tobacco use have a time lag of 20 to 25 years, it is not this government that will have to pay the medical bills for the mass addiction to the weed, says Zhi Xiuyi,[link widoczny dla zalogowanych], head of the Lung Cancer Diagnosis and Treatment Centre of the Capital Medical University in Beijing.
Cases of lung cancer in China have soared by 465 per cent since 1980, and account for nearly a quarter of cancer deaths, says Zhi, also head of the department of tobacco control and lung cancer prevention at the Cancer Foundation of China. In the past, when individuals, work units and companies covered health insurance and medical care,[link widoczny dla zalogowanych], the nominal cost to the government was negligible,[link widoczny dla zalogowanych], says Zhi.
However, the government is rolling out its own health insurance programme across the country, so it will become more liable for the costs of smoking-related illnesses, he says. “At the end of the day, all Chinese,[link widoczny dla zalogowanych], including non-smokers, will be burdened with the medical costs of smokers.”
Raising taxes and prices have been proved to be the most effective means to reduce smoking, says Teh-wei Hu, professor of health economics in the School of Public Health, University of California, Berkeley. However, cigarettes have become more than twice as affordable in China since 1990, and smoking is much cheaper than in other countries,[link widoczny dla zalogowanych], says Hu, also a senior policy adviser to China’s Ministry of Health.