Charles Kader: Another study blames Indian tobacco industry

Wednesday, January 16, 2013  

"A recent study by the economist John Dunham on behalf of the New York Association of Convenience Stores (NYACS) attempted to show that untaxed packs of cigarettes were acquired on a one to one basis for every taxable pack of cigarettes purchased by New York State citizens. Conclusions reached by this report included the assertion that New York State failed to do enough “…to further close down an obvious avenue of tax avoidance,” i.e., Native American businesses which were circumventing established state tax schemes. The report immediately drew news outlet headlines.

Mr. Dunham’s policy group counts Big Tobacco among its clientele.

A sociology mentor of mine would reference the adage “lies, damn lies and statistics” in class. Although the Dunham study may have taken some liberties with the raw data, the point it was trying to make was made; the problem is that New York cigarette taxes are too high. This conclusion was also reached by Jonathan Taylor in 2008 in an economic impact study commissioned by the St. Regis Mohawk Tribe. Taylor wrote presciently, “taxes diminish the losers by more than the winners gain.”"

Get the Story:
Charles Kader: Big Tobacco: Corporate Insight and the Red Road (Indian Country Today 1/16)