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Blowing Smoke: Does Tax Evasion via Cross-Border Sales Erode the Impact of Cigarette Taxes?

Alex Cohen is the Director of Learning and Evaluation for the Richard M. Fairbanks Foundation. Smokers, like all people, respond to incentives. One powerful incentive is price. When something becomes more expensive, people are less likely to consume that item. This fact is borne out in the extensive literature on the impact of cigarette taxes on smoking: As prices rise through taxes, fewer people smoke. This happens by keeping non-smokers, including youth, from starting in the first place and by encouraging current smokers to quit. But do increases in cigarette taxes in one state incentivize smokers (or tobacco retailers and wholesalers) to cross the border into neighboring states where cigarettes […]

Indiana’s obesity epidemic is on the rise. How can we reverse this alarming trend and help Hoosiers lead healthier lives?

Claire Fiddian-Green is the President & CEO of the Richard M. Fairbanks Foundation. One in three Hoosier adults is obese, and more than two in three are overweight or obese, costing Indiana an estimated $8.5 billion in 2017– most of which is borne by households and the private sector. A report released today by the Richard M. Fairbanks Foundation underscores these findings, showing that obesity has increased dramatically in Marion County and Indiana, becoming one of the most significant preventable causes of morbidity and mortality. The report shows that in Indiana, obesity rose from 20 percent in 1995 to 34 percent in 2017 – a rate that is the 12th highest […]