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Sin Taxes and Crime Example
In the early 90's, Canada placed a 60% excise tax on cigarettes. This led to smuggling to avoid taxes and organized crime involvement. The cost of the excise tax led to a rise in crime, hurting the already overwhelmed Canadian courts. It also means a rise in taxes to support the expanding justice system or pulling resources away from other crimes.
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Updated 2021-06-20
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Social Science
Empirical Science
Science