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Taxes to reduce teenage smoking? This headline, Dramatic Rise in Teenage Smoking points out that the falling price for cigarettes during the mid-1990s caused an

Taxes to reduce teenage smoking?

This headline, "Dramatic Rise in Teenage Smoking" points out that the falling price for cigarettes during the mid-1990s caused an increase in teenage smoking whereas price hikes during the late 1990s led to a reduction in teenage smoking. As the article notes, the impact of rising and falling prices depends on the price elasticity of demand for cigarettes by teenagers, a statistic investigated by economist Jonathan Gruber.

Should taxes be used to raise the price of cigarettes as a way to reduce teenage smoking?

A. What are the strongest two arguments in favor of this proposition?

B. What are the strongest two arguments against this proposition?

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