Tag #Regressive Tax

What are the primary unintended consequences of Australia's aggressive tobacco tax policy, and how significantly do they undermine the policy's stated goals?

Australia's high tobacco taxes, aimed at reducing smoking and increasing revenue, have inadvertently fueled a thriving black market. Criminal networks undercut legal prices, leading to increased profits for organized crime and lost tax revenue. This has created a significant unintended consequence, undermining the policy's goals.