
Tuesday, December 1, 2009
Closing the door of another semester... and smoking?

Tuesday, November 24, 2009
Forget food and water, I want my candy and cigarettes
After looking at state excise tax rates for cigarettes, I have become intrigued with the relationship between smoking and recession. I will continue to delve into how smoking rates and cigarette sales are affected by recession. Common sense would say that cigarette sales would decline in recession. Smoking cigarettes is not necessary for survival, so when Americans have to make budget cuts, shouldn't cigarettes be the first to go? Not necessarily.
Philip Morris International (PM) said its earnings rose 23% in the second quarter and it raised its earnings forecast for this year, saying it had not been affected by inflationary pressures like other consumer products companies.
"Cigarettes in general can withstand such an environment better than many consumer products," Chief Financial Officer Hermann Waldemer said at the time.
Although these statistics are from August 2008, a more recent stock update from October 2009 reports that although volumes disappoint for Philip Morris and RJ Reynolds in the past 3rd quarter, their profits are beating expectations of analysts. CNNMoney.com also reports Philip Morris International as #14 in the Fortune 500's Biggest Winners.
I also found a more recent article from BBCNews.com that says that many smokers have been unable to quit because of increased stress caused from financial worries. Its findings are reported from a study of 877 smokers and ex-smokers commissioned by McNeil Products Ltd, which makes nicotine replacement therapy products. Although this study has interesting findings, knowing McNeil Products manufactures nicotine replacement therapy products may expose a potential conflict of interest. The company may hope to exploit people's increased stress levels by telling them they can quit smoking but still relieve their stress with their nicotine therapy products. However, the poll in the article did find that people are willing to cut in other areas in order to continue smoking, a fact I found interesting:
"Some 42% of respondents admitted they were more likely to cut spending on clothes, and 21% said they were more likely to try to cut down their weekly supermarket shop."
An article from Reuters written in March this year offers support for the other end of this argument, proposing that a big hike in the federal tax on cigarettes will lead to decreased smoking rates:
Danny McGoldrick, the Campaign for Tobacco-Free Kids advocacy group's vice president for research, said the formula is simple: as prices rise, fewer people buy cigarettes.
McGoldrick forecast the tax hike will persuade just over 1 million current smokers to quit and prevent 2 million children from starting. These changes will avert about 905,000 smoking-related deaths and save $44.5 billion in healthcare expenses over time, McGoldrick predicted.
The article also notes that U.S. smoking rates have been slowly declining for decades and that rates are often higher where state tobacco rates are lower.
Are smoking rates completely determined by economics, or do other factors play a role in the big picture of why choose or choose not to smoke? What is more important to consumers, losing their hard earned cash or losing their sanity?
Tuesday, November 17, 2009
A Smoke Free Initiative
This past Thursday (November 12) I attended the "Smoke Free University Session" which was at 4:30 P.M. in Palmer Commons. The session's goal was to create an open discussion in which diverse opinions can be heard. This session is the first of many sessions to discuss the Smoking Ban on all UM Campuses (Ann Arbor, Dearborn and Flint). These sessions are the first step taken by the Smoke Free University Steering Committee, which was formed by President Coleman after her announcement of the smoking ban, which will be effective July 1, 2011. The decision for the ban was made by President Coleman to fulfill her goal of a healthy campus community. The Steering Committee, who conducted this session, was not involved in the decision of a smoke free campus, but has been elected by President Coleman to decide the best way to carry out this goal.
Tuesday, November 10, 2009
Thank you for (not) smoking
Tuesday, November 3, 2009
Put your money in your mouth, and smoke it
In these hard economic times, it seems like we are all trying to watch what we spend. As college students, perhaps we are feeling the trickle down of the economic burden that faces our parents, but as for right now, most of us do not face this burden ourselves (not until graduation at least!). I mean, it doesn't seem like many college kids can't go out on the weekends because they don't wanna spend money - not by the look of the line at Skeeps on Thursday nights - so obviously our alcohol budgets have not suffered too greatly. Another costly, yet also dirty habit, that many U of M students partake is cigarette smoking. I have not recently bought a pack myself, but cigarettes in Ann Arbor, especially on campus (Campus Corner loves to overcharge on cigarettes - from my personal experience) seem to run around $7 a pack. I come from Grosse Ile, MI, which is only 45 minutes away, and the cigarettes there are much cheaper, running around high $5 to $6 a pack."The highest combined state-local tax rate is $4.25 in New York City, with Chicago, IL second at $3.66 per pack."

Tuesday, October 27, 2009
It looks like a cigarette, it tastes like a cigarette, it feels like a cigarette, but it ISN'T a cigarette... Is it?
It seems like lawmakers have enough problems trying to regulate the tobacco industry, but now they have to manage a "fake" tobacco industry as well. E-cigarettes, or electronic cigarettes, are battery-operated devices that generally contain cartridges filled with nicotine, flavor and other chemicals. The e-cigarette turns nicotine, which is highly addictive, and other chemicals into a vapor that is inhaled by the user. Many controversies surround e-cigarettes. As a new product introduced in the past five years, not much information is known about its health effects. The FDA has been examining and detaining shipments of e-cigarettes at the border and the products it has examined thus far meet the definition of a combination drug-device product under the Federal Food, Drug, and Cosmetic Act. The FDA has been challenged regarding its jurisdiction over certain e-cigarettes in a case currently pending in federal district court. The agency is also planning additional activities to address its concerns about these products.
Monday, October 12, 2009
Hollywood's not America

Tuesday, October 6, 2009
Pretty in Pink

Monday, October 5, 2009
Thats all folks!
And... we're back
The positives include:
- everything is archived: when people have questions they are able to go to Michigan Radio's website; online archives also help to lower the workload for journalists
- connecting to the audience: Facebook friends can voice their opinion, online chat forums and Q and A sessions
- Promotion
- Crowd sourcing: this involves using the crowd that exists on your website as sources. Mr. Duffy gave the example that when GM announced that it was closing dealerships in Michigan, they went to Twitter to find out which dealerships had "gotten the letter."
- speed
The negatives include:
- overworked and undermanned staff and always having to work at a constant pace
- not enough money to do it right
- The 'so what' factor: is 3000 Facebook friends really important?