Running head: SIN TAX 1 SIN TAX 7 Sin Tax STUDENT TEACHER English 215 06/14/2015 In general cigarette smokers and alcoholics believe that their smoking habit affects only their health but researchers have proved that it also affects their work lives and business (Indiana, 2011). Employees who smoke during working hours go outside the office frequently for the smoke. It creates a disturbance for other staffs when they are looking out for them. The productivity of the team performance decreases as well. Problems related to Smoking and alcohol abuse can have an economic, environmental, and health impact that in turn affects the country and its economy. All countries should create a system for minimizing the effects of smoking and alcohol abuse by imposing restrictions on their citizens and businesses (smith, 2007) Alcoholism is a serious disease that affects the lives of millions of individuals around the globe. It also destroys families, depresses national security, compromises economic vitality, and overwhelms the country's health care systems (WHO, 2004). More than 50% of all adults have a family history of alcoholism. 30% of adults aged 18 years and over have had alcoholism or engaged in alcohol abuse at some instance in their lives. Drinking impacts their families, communities, and society in general. Untreated addiction costs America $400 billion per year, and recent research findings show that alcoholism and alcohol abuse alone cost the economy of the country about $185 billion annually.(alcoholism and alcohol-induced diseases in America 2011) 15% of this value is the cost of medical expense and alcohol treatment; more than 70% is due to reduced and forgone income. Approximately 16 million people in America are living with a disease caused by smoking. For every person who dies because of smoking, at least 30 people live with a serious smoking-related illness. Smoking causes cancer, diabetes, heart complications, stroke, lung infections, and chronic obstructive pulmonary disease (COPD). Smoking also increases the risk for tuberculosis, eye diseases, and immune system complications. It also causes erectile dysfunction in males. Globally, tobacco use causes approximately 6 million deaths per year. If the trend continues, statistics show that smoking will cause nearly 8 million deaths annually by 2030. Cigarette smoking causes more than 480,000 deaths per year in the United States, including 41,000 deaths resulting from passive smoking. It is approximately 20% of deaths every year or 1,300 deaths per day. New research shows that smokers die ten years earlier than nonsmokers. If smoking persists at the current rate among U.S. youth, 5.6 million of today's Americans below the age of 18 years are expected to die prematurely from a smoking-related illness. Sin tax Commodities that are con.

1. Running head: SIN TAX
1
SIN TAX 7
Sin Tax
STUDENT
TEACHER
English 215
06/14/2015
In general cigarette smokers and alcoholics believe that
their smoking habit affects only their health but researchers
have proved that it also affects their work lives and business
(Indiana, 2011). Employees who smoke during working hours
go outside the office frequently for the smoke. It creates a
disturbance for other staffs when they are looking out for them.
The productivity of the team performance decreases as well.
Problems related to Smoking and alcohol abuse can have an
economic, environmental, and health impact that in turn affects
the country and its economy. All countries should create a

2. system for minimizing the effects of smoking and alcohol abuse
by imposing restrictions on their citizens and businesses (smith,
2007)
Alcoholism is a serious disease that affects the lives of
millions of individuals around the globe. It also destroys
families, depresses national security, compromises economic
vitality, and overwhelms the country's health care systems
(WHO, 2004). More than 50% of all adults have a family
history of alcoholism. 30% of adults aged 18 years and over
have had alcoholism or engaged in alcohol abuse at some
instance in their lives.
Drinking impacts their families, communities, and society
in general. Untreated addiction costs America $400 billion per
year, and recent research findings show that alcoholism and
alcohol abuse alone cost the economy of the country about $185
billion annually.(alcoholism and alcohol-induced diseases in
America 2011) 15% of this value is the cost of medical expense
and alcohol treatment; more than 70% is due to reduced and
forgone income.
Approximately 16 million people in America are living
with a disease caused by smoking. For every person who dies
because of smoking, at least 30 people live with a serious
smoking-related illness. Smoking causes cancer, diabetes, heart
complications, stroke, lung infections, and chronic obstructive
pulmonary disease (COPD). Smoking also increases the risk for
tuberculosis, eye diseases, and immune system complications. It
also causes erectile dysfunction in males.
Globally, tobacco use causes approximately 6 million
deaths per year. If the trend continues, statistics show that
smoking will cause nearly 8 million deaths annually by 2030.
Cigarette smoking causes more than 480,000 deaths per year in
the United States, including 41,000 deaths resulting from
passive smoking. It is approximately 20% of deaths every year
or 1,300 deaths per day.
New research shows that smokers die ten years earlier than
nonsmokers. If smoking persists at the current rate among U.S.

3. youth, 5.6 million of today's Americans below the age of 18
years are expected to die prematurely from a smoking-related
illness.
Sin tax
Commodities that are considered sinful traditionally attract
the heaviest duties, and it is these that are the focus of this
paper. Governments rely on indirect taxes on consumer goods as
a source of revenue. ‘Sinful' commodities such as tobacco and
alcohol have always been taxed more than other commodities.
Other countries have called for new taxes on food with a lot of
fat and sugary drinks, as well as a minimum cost for a unit of
alcohol.
Those people that consume unhealthy food place a lot of
burden on public health facilities hence justifying the addition
of tax to discourage people from consuming these products and
saving the country some money.
Cigarette taxing is recognized as one of the most
significant policy mechanisms to reduce smoking. Given that
smoking and drinking often occur together, a study has
examined cigarette taxation and found that increases are
associated with modest to moderate reductions in alcohol
consumption among vulnerable groups. (Sherry M, 2014).
Tobacco can increase the subjective effects of alcohol and
increases the risk for heavy alcohol drinking. Smokers drink
more often and more likely than non-smokers to meet the
requirements for alcohol abuse or dependence. The co-
occurrence of smoking and drinking is particularly of clinical
importance given proof that health consequences, exponentially
increase with combined abuse of alcohol and tobacco as
opposed to singular abuse of both alcohol and cigarette.
Cigarette taxes have broad population reach and have been
recognized as one of the most significant policy instruments to
reduce smoking (McKee, 2011). Increases in cigarette taxes lead
to a decrease in smoking, increases in quitting, and decrease in
cigarette-related morbidity and mortality. By increasing
cigarette prices by raising taxes, smokers are forced to reduce

4. or stop smoking and discourage non-smokers from starting to
smoke. By further increasing alcohol taxes, this also encourages
leaving or reduction of intake in the nonsmoking alcoholics
(McKee, 2011).
As well as causing bodily harm, excessive drinking can
lead to mental health problems. Alcohol is in the category of
depressants. It means that it slows down the central nervous
system hence affecting mood. It makes those people who abuse
alcohol to suffer from depression and other kinds of mental
illness. Alcohol consumption is strongly associated with
suicidal tendencies. Most people who take their lives are under
the influence of alcohol when they do it. Drinking too much
leads to slow responses and poor judgment.
Alcohol is a primary source of non-useful calories. The
body stores glucose as excess fat. Not only does it contribute no
vitamins or minerals, it also prevents the absorption of nutrients
from other sources. When you stop drinking, your body can
absorb vitamin C, thiamin, vitamin B12, folic acid, and zinc.
Excessive alcohol drinking has proven to be a problem for
individuals with weight issues. If one has weight goals to
maintain, they find it is much easier to stay active when sober.
Exercise help's, but the effectiveness of working out diminishes
as consumption rises. Alcohol slows down muscle recovery and
metabolism hence compromising your endurance.
These facts show the benefits of stopping drinking.
Without alcohol one get more fitness from their exercise
meaning workouts are more satisfying. One has more energy
during the day and gets more restful sleep at night. One is all-
around healthier and a more resilient individual. It is further
transferred to the nation and as the phrase goes "healthy
democracy is a working country." By increasing the tax on
cigarettes, there will be a reduction in smoking which also
reduces the above health risks and in turn benefits individuals
and the government.
Analysts agree that an increase in price will reduce
alcoholic drink sales and consumption. Many individuals will

5. drink less often hence forced to switch to lower proof liquor and
cheaper soft drinks and other non-alcoholic beverages. Research
indicate that a 10% increase in beer prices would cause a 4%
decrease in sales, with a slightly larger decrease for a similar
price increase for wine and liquor.
The revenue collected from Federal, state and local
alcoholic beverage sources was estimated to be $102billion in
2012. The value is less than $185 billion, which is the cost of
alcoholism and alcohol abuse. It is an indication that there is a
need to increase taxes on alcohol and cigarette.
Alcoholism is a dear habit. Depending on one's lifestyle,
the level of addiction, and the type of brand, one could be
spending approximately $70 to $300 a week on alcohol and
drinking related activities. That's an average of $3640 to
$15,600 a year or $36,400 to $156,000 over a decade of
alcoholism. Alcoholism can also have an enormous effect on
one's earning potential. Once one quits drinking, they can start
focusing on getting a job, or advancing their education or career
again. All those wasted hours spent while a person is in a
drunken state can be put towards more productive ends. It
brings a positive change in the individual's economic status that
is further transmitted to the country's economy.
A common reason people abuse alcohol is that it helps
them to be more sociable. It is certainly true that drinking
lowers inhibitions, but there is also a none pleasant side to this
effect. There are several social reasons why one should quit
alcohol that includes: If people engage in drinking too much, it
can not only make them talkative but also argumentative,
meaning that they say things that they later deeply regret. If
people find that they have a tendency to say hurtful or silly
things when under the influence, then increase in tax is a good
idea to ensure they quit drinking due to unaffordability hence
reducing the chance of committing this mistakes.
Going to the bar regularly suits some people. There are
plenty of social events that do not involve alcohol. Alcohol
fueled conversations can seem deep and meaningful at the time

6. but once the participants sober up they can be hard to remember
or not worth remembering. High prices will ensure most of the
participants quit clubbing and engage in other social events.
When one is a full-blown alcoholic, every aspect of their
life suffers. Their health, relationships, career, and emotional
well-being. The more they spiral into the self-destructive cycle
of alcoholism, the more damage to them and every facet of their
life. Quitting alcohol not only give one an immediate
improvement in their overall health, it also allows one to put
slowly their life back together.
A decrease in alcohol and cigarette consumption lead's to
decrease in conflict. Overtime, alcoholics isolate themselves
from those who actually care about them. Once they sober up
they can slowly rebuild those damaged relationships. A person
also starts to form new, healthy relationships as well.
Communication also improves gradually for the better.
References
Harwood, H.; Fountain, D.; and Livermore, G. (2000). The
Economic Costs of Alcohol and Drug Abuse in the United States
1992 (updated for 1998). Report prepared for the National
Institute on Drug Abuse and the National Institute on Alcohol
Abuse and Alcoholism. NIH Publication No. 98-4327.
Centers for Disease Control and Prevention, National Center for
Injury Prevention and Control. Retrieved 13 February 2011
from CDC Alcohol Screening. Website:
http://www.cdc.gov/InjuryResponse/alcohol-
screening/index.html