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Increase in shisha prices in the UK and EU

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Old March 2nd, 2009, 02:40 PM
sweetlake's Avatar
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Default Re: Increase in shisha prices in the UK and EU

Originally Posted by PCServe View Post
omg ... really? i thought the netherlands are much cheaper, than germany ...
No, they are not cheaper and the problem is they don't sell much different flavours or brands....
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Old March 2nd, 2009, 02:49 PM
Hajo Flettner
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Default Re: Increase in shisha prices in the UK and EU

Originally Posted by abu ronin View Post
Personally, I'm more concerned w/American children having health insurance than I am w/yours and mine tobacco prices.
This statement is so wrong headed on so many levels I am not sure where to begin. I suppose I am struck by the notion that tobacco consumers alone should be expected to for the SCHIP when in theory everyone's kids are expected to benefit from the program. Although I should know better I am also surprised by the notion that tobacco consumers owe the rest of society something given that we pay higher insurance premiums then anyone else, pay more in taxes then anyone else despite having shorter lives and hence, collecting less social security. Lots of individual choices made by consumers have far worse public health impacts then tobacco consumption yet such decisions are not taxed and condemned and some are even celebrated. I will also point out that since tobacco consumers tend to have lower incomes then the rest of society tobacco taxes are extremely regressive. Seeing that you are a fairly leftist guy Iíd assume you'd be against taxing the less well off more heavily to pay for benefits given to everyone else but I guess not.

In any case, the tax increases that Obama is depending upon to fund SCHIP won't do so for a bunch of obvious reasons. When you tax something the price of that product goes up and consumption goes down. We know this from being conscious but also from a long history of tobacco tax increases reducing consumption to such an extent that the higher tax rates result in lower tax revenues. As people in the industry lose jobs they become a burden on the welfare state rather then contributors to it and the all the things that SCHIP is supposed to do fail because the funds simply are not there.

If you actually want to understand why taxing tobacco at ever higher rates doesnít and canít help fund anything read the following: http://www.heritage.org/research/healthcare/wm1548.cfm
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Old March 2nd, 2009, 03:03 PM
Hajo Flettner
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Default Re: Increase in shisha prices in the UK and EU

Originally Posted by wonderland View Post
its really not just tobacco going up... in my lounge the price for bottled pop has gone up, chips have gone up, slim jims... it never seems like that much until i add it up... its amazing what $0.05 increase can do to a final number.
You are seeing part of Obama's "printing press stimulus program" in action. When you spend a few trillion you don't have not only does the deficit go up but that money enters circulation because a lot more of it is printed which causes something called inflation. Basically when you have more money entering an economy that is producing less (i.e. you have a recession or, more accurately a depression) it devalues the currency. What this means is that not only will your great grand children be paying interest payments on the new debt generated but the price of everything will go up meaning that your purchasing power will go down even if your income doesn't.
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