Tobacco Policy in The United States: A Historical Sketch and Current Evaluation of Two Polar States

1. Tobacco Policy in The United States:A Historical Sketch and Current Evaluation of Two Polar States

2. History of the Tobacco Policy • Year 1604, England - The first government restrictions on the use of tobacco. Soon followed by other countries. • Tobacco regulations have had 3 main points of discussion over the history: health, morality and economics. • Tobacco regulations cover production; revenue and consumption. • The US has experienced all 3 types of regulation over the history.

3. Regulations on the production in the U.S. • The Agriculture Adjustment Act; 1933, 1938 and 1949 – price supports for tobacco; • Tobacco Inspection Act, 1935 – regulations for the quality of tobacco; • Tobacco Control Act, 1936 – regulated the production of tobacco. In the 1990s the political climate become less favorable to the tobacco industry.

4. Regulations on the revenue in the U.S. • Since 1790s, taxing tobacco become an important source of revenue, representing already 31% of federal tax collections in 1880. • Iowa was the first state to tax tobacco, enacting a tax on cigarettes in 1921.

5. Regulations on the consumption in U.S. • The heart of the public debate. • Proponents: the use of tobacco is immoral plus public health concerns - so, the government should regulate. • The first anti-tobacco advocacy groups formed in the 1830s. • By the middle of 20th century the morale debate had given way to the health debate.

6. Regulations on the consumption in U.S. (cont.) • The federal government took a role in regulating the consumption of tobacco in the 1960’s, in the light of health concerns. • The medical epidemiology studies reached different conclusions. • The health debate also gave rise to an organized anti-smoking advocacy coalition among health associations. • In 1965, the Cigarette Labeling and Advertisement Act was passed in Congress.

7. Action against the tobacco companies • The Public Health Cigarette Smoking Act of 1969 – ban on television advertisements for cigarettes. • In the 1990’s secondhand smoke became the next target of government tobacco regulation: • In 1990 – smoking banned in domestic flights; • In 1994 – the Pro-Children Act, smoking prohibited in federally funded childcare centers; • In 1997 – smoking banned in government facilities

8. Response of the tobacco industry • Producing research that said that secondhand smoke was not dangerous. • Defensive in terms of government regulation. • Heavy investments into political avenues through lobbying and campaign contributions. • Public image campaigns through advertisements.

9. Pro-Tobacco Coalitions • Bulk of contributions to Republicans; • A well funded and organized advocacy coalition. The main members beside tobacco companies are the Tobacco Tax Council, the Tobacco Merchants Association, the Tobacco Institute. • The greatest success of the coalition is its ability to keep tobacco unregulated by the FDA.

10. Anti-tobacco Groups • Groups with specific agendas which form an advocacy coalition: Campaign For Tobacco Free Kids, and the American Lung Association; • To inform and influence public opinion, public awareness and education campaigns are used.

11. Case Study: New York and the Anti-Tobacco Fight • New York has the most advanced tobacco regulation in America. • The State of NY vs. Philip Morris case – the NY was awarded $25 billion. • New York has made many strides in anti-smoking legislation: • 1989 – the Clean Indoor Air Act; • 2003 – the 1989 Act was amended to include restaurants and bars.

12. Case – Study: New York (cont.) Advocacy Groups against tobacco: • Common Cause – they are related to the tobacco lobby in New York through their “Connect the Dots” campaign; • Center for a Tobacco-free NY In terms of administrations, NYC has been pretty stable

13. Case – Study: New York (cont.) Advocacy groups on tobacco’s side: • The Empire State Restaurant and Tavern Association; • The Tobacco Institute; • The National Smoker’s Alliance Last two are known as front groups for Philip Morris

14. Case – Study: New York (cont.) • In 2000 and 2001, the tobacco industry spent over $3 million in NY state; • Most of this money was spent in hopes of getting legislators to remove the smoke-free restaurants laws from the agenda; • New York has become a fighting ground for tobacco interests; • New York is one of the few states that has been able to slow down the tobacco lobbing.

15. Case Study: Virginia and Big Tobacco • Virginia is tied to tobacco historically and means big tobacco; • Currently Virginia has the lowest cigarette tax in the nation – 2.5 cents per pack; • Legislators have rejected any attempts to raise the tax over past four decades; • In 1998, the Master Settlement Agreement was signed by the Attorney Generals of 48 states, including Virginia and the four largest tobacco manufactures in the U.S.

16. Case Study: Virginia (cont.) • The MSA aims to “settle state suits to recover costs associated treating smoking-related illness”. • Following the framework of the punctuated equilibrium theory of policy analysis, Virginia is going through a period that will allow for significant policy changes to occur with regards to tobacco; • Call to increase the cigarette tax to 25 cents per back; • Who bears the tax burden – customer or producer?

17. Case Study: Virginia (cont.) • Estimations: tobacco industry will spend a combined $285.8 million in marketing to Virginians this year, part of the $9.7 billion spent nationwide. • The tobacco companies are so intertwined with Virginia history that they still command great respect from the left and from the right – Democrats, Republican, and independents.