The Tobacco Reference Guide by David Moyer

UICC GLOBALink Presents...

by David Moyer, MD.

Chapter 35 Economic issues

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The five largest multinational tobacco companies have annual revenues from tobacco

sales that are more than 60 times higher than the entire annual budget of the World

Health Organization, or 10 times the gross domestic product of the country of Bolivia.

World Smoking and Health, No. 1, 1992, pp. 2 and 6

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In early 1998, the average price in U.S. dollars of a pack of 20 cigarettes in Europe

were Spain $1.26, Italy $2.11, Greece $2.13, the Netherlands $2.28, Austria $2.40,

Belgium $2.86, Germany $2.94, France $3.23, Iceland $4.39, Denmark $4.41, the

United Kingdom $5.37, and Sweden $5.81.

European Commission and Luk Joossens

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In 1995, Medicare will pay more than $25 billion to treat tobacco-related medical

conditions, and Social Security disability insurance will pay $4.6 billion to

beneficiaries disabled by tobacco-related disease.

NEJM, November 2, 1995, p. 1214

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The total cost of smoking in California is estimated to be $10 billion per year,

amounting to $2,014 per smoker and $314 per Californian. These are conservative

health-sector costs. There are 4.3 million Californians who smoke, and if they were to

pay for the cost of their extra health care related to smoking, it would add $1.82 to the

price of each pack of cigarettes. If productivity were also included, the extra cost of

each pack would rise to $5.06.

Tobacco Control, Summer 1995, p. 545

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Monday, July 24, 2000

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