Over a Decade Later, What did the Tobacco Settlement Accomplish?  

Back in 1997, the 4 biggest Tobacco companies finally lost the lawsuits against them. The pinchpoint of the case was a memo which proved conclusively that the powers that be in the industry know how addictive and dangerous their product really is.

The settlement required the tobacco industry to pay $365.5 billion to all 50 states and 6 territories. The first payment wasn't the end, the settlement is perpetual.

So, over a decade later, what has been accomplished? How have the states and territories used the money?

Token amounts have gone to "stop smoking" campaigns, which have met with some success. But where did the rest go?

The rest went into "general funds" of the states, paying for everything but health care and anti smoking campaigns. But that isn't the only windfall the states have enjoyed from the nasty habit.

Cigarette taxes have propped up state revenues for a long time now. They have become such an intregal part of the states' budgets, they can't afford to see people quit smoking.

Gov. Doyle, of Wisconsin stated that part of the reason for the huge budget shortfall was due to falling far short of the $449 million projected from cigarette taxes. The actual take was a little over $40 million.

But money aside, what has been accomplished?

Yes, there are fewer smokers now than there used to be. While I'm willing to guess that some of that reduction is from the anti smoking campaigns, but I'd say the bulk of the whopping 3% reduction of smokers in the US since 97 is more due to a change in society than some government PSAs.

Those of you who are my age or older remember a time when smokey rooms were the norm. There weren't "smoking" and "non smoking" areas in restaurants, there were ashtrays at every table.

Ash trays weren't just at restaurant tables, they were everywhere.

Smoking was so prevelant that having a cigarette was considered a legitimate reason to take a break at work... pretty much any time one felt the urge. When I was in Army Basic Training, smokers were guaranteed a chance to smoke a cigarette after each meal. Cigarette machines were almost as common as candy machines now... in fact, there were more cigarette machines around than candy machines.

The government may claim credit for the reduction in smoking, but the facts don't support them. The settlement wasn't until 1997, but the biggest reduction in smoking in modern history was in the 80s. In 1980 33.2% of the country smoked, but by 1990 it was down to 25.5%. In the 90s, the percentage dropped to 23.3. Today it is down to 20.8%.

So, before the settlement money was "used" to convince us all not to smoke, 7% of the people who smoked decided to kick the habit (or died), but once the money for the settlement kicked in, the rate of reduction slowed dramatically.

So, again, what has been accomplished?