Emphysema Beware -- The Government is Here!!

Tim Harford over at Slate has a crackerjack article on why smokers will welcome higher cigarette taxes. 

So, do high cigarette prices make smokers happier? If smokers are rational, they don't. But if smokers are wracked by temptation and are trying unsuccessfully to quit, then higher prices might make them happier by encouraging them to smoke less or even to stop entirely.

This turns out to be a controversial point for economists, surely members of the only profession that could argue about whether smoking is rational. The "rational addiction" theory was put forward by the celebrated pair Kevin Murphy and Nobel laureate Gary Becker. They argue that people weigh the health risks of smoking, the possible social and psychological benefits, and the fact that it is habit-forming before deciding whether to light up.

Weak-willed as I am, I will totally agree with this thesis.

• The $20 Pack: Why Smokers Are Happier When Cigarettes Cost More -- Slate