Olbermann on Measure 50
Yesterday, before we knew that Measure 50 would lose, MSNBC's Keith Olbermann discussed Oregon's Measure 50. He was joined by Sicko filmmaker Michael Moore.
Watch the video. Discuss.
Nov. 07, 2007
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11:52 a.m.
Nov 7, '07
Michael Moore has it right on health care. I think that those of us who supported Measure 50 understood going in that it was an imperfect and partial solution. But I'd settle for imperfect and partial given the fact that we were making a choice between covering 100,000 kids and those same children not having access to health care.
A significant number of kids in this state are going to die and/or suffer permanent, avoidable health care problems as a result of our vote yesterday.
Those who placed the sanctity of a document that contains provisions on public dueling, seismic retrofitting of buildings, and OHSU above health care for those kids would do well to consider that fact.
Nov 7, '07
I think one argument that resonated was that changing the state constitution to add a tax was a bad idea. (I thought not covering all those kids was a far worse idea, so I voted for Measure 50.) Perhaps not surprisingly, Olbermann & Moore didn't get into that issue.
I don't watch TV so I missed a lot of the advertising, but it seems to me that the arguments against went basically, "Sure, these kids need health care, but this isn't the way to do it." So at least maybe we've gotten a little further in drawing attention to (and support for) the idea that these kids do need health care. Kind of like how people said, "I'm OK with civil unions" as a defense against how they were bigoted to oppose gay marriage... helped get them used to thinking about civil unions in a new way, at least.
1:19 p.m.
Nov 7, '07
According to official state statistics some 30% of those earning $15k or less per year smoke and would thus be footing the bill had M50 passed.
How many of them do you suppose had health insurance for their kids?
According to those same stats some 30% of Oregonians who earn between $15k and $25K also smoke and would also be footing the bill had M50 passed.
How many of them do you suppose had health insurance for their kids?
How much do you earn per year? How much of it would have gone to prevent those deaths and/or permanent, avoidable health care problems had M50 passed?
Nov 7, '07
So Kevin, given that health insurance for kids is a good idea, how would you propose to fund it? As a not poor Oregonian, I would be willing to pay more taxes to fund this, but how would you suggest we go about it? There is no 'free lunch' in life as my dad always said......but what do you think would be a fairer way of paying for this that would stand a chance of passing?
My guess would be that it would take some idea that did not involve facing off against the multi-millions of dollars in ads by the tobacco companies.
1:35 p.m.
Nov 7, '07
I don't know, but almost every one of them would now HAVE health care if M50 had passed, costing them just another $.84 per pack of cigarettes. Sounds like a pretty great deal, if you ask me.
Nov 7, '07
According to official state statistics some 30% of those earning $15k or less per year smoke and would thus be footing the bill had M50 passed.
There is no evidence that those low income smokers would be "footing the bill". Its far more likely the tobacco companies would have footed the bill in reduced profits. The children they have addicted would just buy fewer cigarettes.
2:12 p.m.
Nov 7, '07
Time to stop blaming the voters and look ahead. Obviously those of us who vote yes, whether enthusiastically or reluctantly, found the no arguments less persuasive or the concerns less weighty. But other folks looked at it differently. Time to stop blaming them and look at what we could do better, from shaping the proposals on down the line.
M50 had at least three major targets stuck on it that in my view are more than just tobacco propaganda: Generic knee-jerk anti-tax/anti-government, taxes in the constitution, regressive taxation/unfair way to fund a common responsibility.
I think the campaign failed to take these on clearly or directly. I wonder how much that was because supporters were to busy being arrogant about people for whom the latter two especially were important.
So how do we craft an approach that offers fewer targets? And how do we advocate better for it in a way that doesn't assume that people we need to persuade are idiots for not agreeing with us immediately and unquestioningly, including meeting opposing arguments head-on?
Nov 7, '07
Good questions, Chris. I think a statutory cigarette tax for Healthy Kids might have passed had it been the first thing put forward by the legislature, but it would have been close. Given this outcome, however, I think that's no longer the case as attitudes have hardened as a result of the campaign. So where to go from here? I think the legislature won't touch a new tobacco tax next year, and maybe not the year after. When they are ready to do so, it should be raised the same amount as this would have, and dedicated solely to smoking cessation programs, which would be free to any Oregonian who wants to enroll.
As for insuring kids, that should now be rolled into the SB 329 health reform debate. The reform commission -- already in place -- should come up with a non-tobacco funding mechanism for covering kids. And as I mentioned elsewhere, Gov K should take immediate administrative action to enroll as many of the currently eligible children as possible.
By separating the two policy issues, we should be able to make progress on both.
2:53 p.m.
Nov 7, '07
The Moon is made of green cheese... because I say so.
Happy now?
Far more likely that you know you haven't the faintest shred of evidence to back that up so you're just gonna keep repeating it just like a little boy sticking his fingers in his ears and repeating "neener, neener" over and over in the vain hope that he'll drown out whatever it is that he doesn't want to hear.
Bottom line: to all appearances you simply don't want to have to put your money where your mouth is and help fund healthcare for poor kids.
2:57 p.m.
Nov 7, '07
Of course it does. Your money wouldn't pay for any of it.
3:08 p.m.
Nov 7, '07
That would stand a chance of passing? You mean as long as Oregon Democrats meekly continue to dance to whatever tune that the (35% of the population) GOP calls out?
Probably nothing.
Why should the socio-economically disadvantaged have to take up the slack for gutless Dems?
Keep in mind that the regressive funding scheme for M50 was there from the very start when Kulongoski (D) first rolled the idea out. There was never an attempt to fund it any other way.
4:12 p.m.
Nov 7, '07
So Kevin admits he has zero solution for insuring low-income children.
Well done Kevin.
Do you also oppose the SCHIP bill on the Federal level?
Nov 7, '07
As long as we do nothing as the rich get richer and the poor get poorer the children in Oregon will not have medical insurance. It's as simple as that.
Nov 7, '07
I'm always astonished when the "progressives" decide to pick on a despised minority to fund a general issue, hitting the bottom of the economic scale. You propose to crush the blue collar wages farther in your pursuit of "kindness" to illegal aliens. Then you'll turn right around an bitch that those redneck assholes can't figure out what's good for them. Keeerist.
Kevin has told you repeatedly what was wrong with M50 and you just stuck your fingers in your ears. Now you were cheated by big tobacco, BS, those ads said RJR and Phillip Morris and nobody buys those outfits as bastions of truth, justice, and the American way. Maybe 40 years ago, not now. I smoke Camel straights - RJR - and I think they're liars, but their BS ad campaign doesn't change the facts Kevin and I and some others laid out for you. You presented lies and misdirection and you got whacked for your trouble.
Now lets work together to do something equitable about getting funding for kids health care, principles do count. You've got no room to whine after backing this piece of political cynicism and you've alienated some who should have been your allies - like me. And I'm damn alienated.
4:38 p.m.
Nov 7, '07
Chuck the Strawman slayer extraordinare.
Nov 7, '07
Far more likely that you know you haven't the faintest shred of evidence to back that up
The fact that your friends at the tobacco companies spent an awful lot of money to put your message out is more than a faint shred of evidence that they, at least, thought the money was going to come out of their pockets.
Or did you think those were public service announcements?
Nov 7, '07
And I'm damn alienated.
You won - what do you have to alienated about? Go fix the problem you claim to care about. Until you do, every kid that fails to get health care is your fault.
7:03 p.m.
Nov 7, '07
"The fact that your friends at the tobacco companies spent an awful lot of money to put your message out is more than a faint shred of evidence that they, at least, thought the money was going to come out of their pockets.
Or did you think those were public service announcements?"
And tobacco company internal memos make clear that these tax initiatives kill their profits, and more importantly prevent new smokers from picking up the habit.
7:07 p.m.
Nov 7, '07
It ALREADY DOES, KEVIN. We're already all paying for health care for children AND smokers. It just costs an insane amount because it's ER care instead of clinic care, and we have trouble affording it because of smokers.
The entire "protection of the poor smokers" argument was such a canard. They're responsible for the additional costs I pay for public health care; I have yet to hear a single cogent reason why they should NOT pick up a small fraction of the tab.
If I was a smoker, I'd have voted for it in a heartbeat--ESPECIALLY if I was a low income smoker. Where else could a pack-a-day smoker get his children totally insured for $300 a year in extra costs for his smokes? I pay more than that under heavy subsidy, for heaven's sake.
Nov 7, '07
So how do we craft an approach that offers fewer targets?
Not one that offers fewer targets, but one that has less powerful opponents. The money has to come from somewhere and this shows that kids health is not all that important. It can be set aside on a very thin pretext. It is not going to be that difficult to identify strong enough arguments against any proposal if you give people with enough money the motivation to do it.
The question is whether there is a realistic funding source with enough money that doesn't include powerful opponents.
Nov 7, '07
These tax initiatives kill their profits
That is because there is a limit to how much people will spend on cigarettes. When taxes go up the tobacco companies either have to reduce their prices or lose business or a bit of both.
12:48 a.m.
Nov 8, '07
Actually, no, it's not. The 3-5% expected decrease in the number of smokers anticipated by M50 supporters would have led to fewer sales of cigarettes and thus fewer profits for the tobacco companies, but you're talking about something like $750 million dollars of cigarette sales in Oregon. 5% of that figure is over $35 million, and that's an annual figure.
So to preserve what is probably well over $5 million in profits every year (taking out portions for the taxes that are already paid, advertising, and whatever they pay farmers these days), and which could have been potentially more (if the state kept increasing the tobacco tax the way it has expanded the lottery instead of doing the hard work of dealing with the income tax codes) the tobacco companies gambled the equivalent of a few years of the profits they'd have lost to preserve their territory.
The idea that the tobacco companies would have been crying if M50 had passed is pretty silly. They have to make at least $100 million in profit in tobacco sales in Oregon alone. The amount they would have lost is a blip.
I realize that it looks like they mounted a massive operation against the measure, but they've got lots and lots of people to do that kind of work for them because they've got lots and lots of money. In the grand scheme of their finances, this was as small a blip as the much-touted reduction in smoking the M50 proponents used in their literature.
Nov 8, '07
little did Olbermann know, the people who could actually vote on Measure 50 were unable to watch the program.
Nov 8, '07
The 3-5% expected decrease in the number of smokers
The issue for the tobacco companies is not only how many smokers there are but how much people smoke. Demonstrating again how thin a shred of evidence is required for people to adopt the tobacco companies' position. Again, where is the evidence that low income smokers were going to be paying a disproportionate portion of the taxes. It does not seem to exist.
8:09 a.m.
Nov 8, '07
Exactly! M50 would have given you a way to pay LESS.
8:24 a.m.
Nov 8, '07
Ignoring evidence isn't the same as there being no evidence.
Oregon socio-economic stats (.pdf) mirror national socio-economic stats (.pdf) and are reinforced by smoker studies.
Nov 8, '07
Kevin -
You have three links there. Not one of them analyzes where the money from the Oregon tax will come from. You just leap from poor people smoke to the money for kids health care would have come from poor people spending more money.
That is "no evidence". You might as well claim they paid for the campaign against the measure. Of course they did in one sense, the money the tobacco companies spent came out of their pockets. But I would bet the tobacco companies don't raise their prices to recover the cost of "protecting the oregon constitution". And they wouldn't have raised their prices to recover all the increased taxes they pay on tobacco either.
9:12 a.m.
Nov 8, '07
If they didn't then the supposed decrease in smokers wouldn't happen. The revenue forecasts for M50 assumed that the price of cigarettes would go up commensurate with the tax hike. That's what they based the expected 3-5% decrease in tobacco consumption on: the price of cigarettes going up by $.84.
According to the pro-M50 study of low-income smokers cited here last week, the number of low-income smokers in Oregon is 244,000, smoking an average of 363 packs apiece each year. or 88.6 million packs. The same study expected the number of low-income (adult) smokers to go down to 228,600, and the total number of packs consumed by them to be 77 million, or about 336 packs per smoker on the average.
It's simple algebra. The study cites $3.50 as the cost for an average pre-tax pack of cigarettes. That's $1,270.50 per year smoker under their estimated figures. If the price had been raised by $.84, with the reduced number of packs per smoker, the annual cost would have been $1,458.24, almost $200 more per year from each low-income smoker.
That's the proponents' own figures.
Nov 8, '07
That's the proponents' own figures.
Well no, that is you cherry-picking data to prove a different point than the one he made. Here is what the actual article you are using says said:
While existing tobacco taxes are regressive, increases in these taxes can be progressive given that smoking among low income persons will fall sharply in response to the higher taxes, while smoking among those with higher incomes will fall by less.
He then does his analysis of this question and after siting several studies:
"I conservatively estimate that the price responsiveness of smoking among low-income persons in Oregon is 1.5 times that of the overall population, implying that a ten percent price increase will reduce cigarette consumption among low-income persons by six percent."
Notice the comment on conservative. None of the studies he sites found anything lower than twice the overall population.
"several empirical studies finding that smoking among lower-income populations is much more responsive to price than smoking among higher-income populations (USDHHS, 2000; Chaloupka, et al. 2000; Chaloupka, in press). Farrelly and his colleagues (2001), for example, estimate that smoking in US households below the median income level is four times more responsive to changes in cigarette prices than is smoking in households with incomes above the median."
As Kevin makes clear, the real price paid by low income smokers isn't money, its in fewer smokes. Its really a question of putting their cigarettes ahead of kids health. And that is not really surprising, it is the nature of addiction.
What is appalling is that so many people bought into that .
10:00 a.m.
Nov 8, '07
It's self-evident where the money would have come from. 30% of Oregonians earning less than $15k per year smoke versus 11% of Oregonians earning $50k or more per year smoke. Combine that with an increasing gap in cessation between poor and affluent smokers and it's as plain as the nose on your face where the money would have come from. You just don't want to accept it.
Enjoy your version of the Flat Earth Society.
Nov 8, '07
It's self-evident where the money would have come from.
No it isn't.
30% of Oregonians earning less than $15k per year smoke versus 11% of Oregonians earning $50k or more per year smoke
So what? The question is who will pay the extra money. It may well be that those rich folks will and the poor folks will just cut back on smoking.
It appears that is the problem. You care more about your next smoke than you do about children's health care. That is what addiction will do to you.
12:28 p.m.
Nov 8, '07
I didn't cherry-pick anything. Those figures are from consecutive paragraphs in "Economic Impact of Measure 50 on Low-Income Households in Oregon" by Frank J. Chaloupka (http://www.nwhf.org/documents/Measure50_Econ_Analysis_000.pdf).
page 4:
"Given this, there are almost 244,000 low-income adult smokers in Oregon, just over 46 percent of all adult smokers."
"Given the estimated number of adult smokers and total cigarette sales in Oregon, the typical smoker consumes 363 packs of cigarettes per year or almost one pack per day. Given this, low-income smokers in Oregon will consume approximately 88.6 million packs of cigarettes in the current year, paying just over $350 million for cigarettes."
page 5:
"This implies that the tax increase called for by Measure 50 will reduce cigarette consumption among low-income smokers in Oregon by over 11 million packs (12.7 percent) in the coming calendar year. About half of the reduction in cigarette consumption among low-income Oregonians results from 15,400 low-income smokers quitting."
244,000 adult low-income smokers currently 88.6 million packs per year 363 packs per capita annually
244,000 - 15,400 = 228,600 adult low-income smokers after the tax hike 88.6 million - 11 million = 77.6 million packs after the tax hike 77.6 million packs / 228,600 adult low-income smokers = 339 packs per capita after the tax hike
Try running some numbers next time. It's a lot more informative than vague statements about price responsiveness and percentages.
In fact, I'd guess that this kind of simple analysis is exactly why Chaloupka's report tries to confuse the issue by not calculating the per capita cost of cigarettes for low-income smokers in his paper. That would have looked kind of bad.
Feel free to plug in your own numbers. It's a fairly simple equation. All you have to do is find a source that estimates the number of smokers before and after a tax, figure out the consumption before and after the tax, and the per capita figure is derived from that. From there, it's a matter of plugging in values for the current cost of a pack of cigarettes and the estimated cost after a tax.
1:21 p.m.
Nov 8, '07
This is the crux of your "evidence"... wishful thinking that somehow past patterns won't repeat themselves. Against it is stacked studies and statistics based upon years of watching smoking trends against a background of previous tax increases on tobacco products.
You don't want to believe it but the Earth really isn't flat.
Nov 8, '07
It is a pity Measure 50 was defeated and yes, the millions spent by tobacco interests played a huge role in its defeat. However, I would argue that progressives had already tilled the ground that made the anti-50 argument flourish so effectively. In the last decade, how many times have campaigns argued against a ballot measure not on the merits, but on the premise that constitutional amendments are improper and extreme? Certainly the right is deceitful and hypocritical in arguing against constitutional amendments when they are responsible for a series of them in past years, but pointing that out just highlights our own hypocrisy.
Hopefully one lesson we can learn from this is to look beyond the immediate campaign to our long terms goals and quit making short-term arguments of expediency that will only be impediments to our long-term goals.
Nov 8, '07
Hopefully one lesson we can learn from this is to look beyond the immediate campaign to our long terms goals and quit making short-term arguments of expediency that will only be impediments to our long-term goals.
Ruth, one of my long-term goals is to keep crap from the right AND the left out of the constitution. I voted for M50, but it bugged the hell out of me to do so. Hopefully one lesson that Merkley and Brown learned from this defeat is that just because Republicans block the good policies we're trying to pass doesn't mean we should send bad policies to the voters.
Nov 8, '07
Ruth...ever since the OCA tried to put hate crap into the constitution in the early 90's, I have always voted no on any and all attempts to amend the constitution...regardless of any merit the measure has. The constituion is a blueprint to interperet the law - not be the law. If you want it to be the law, make it a statute. If M50 passed, we would have healthy kids, but they would not have a constituion left to protect them because M50 would start a landslide of other garbage measures into the constitution - eventually rendering it useless beyond repair, and making it only a glorified paragraph on the ORS. The message of the NO vote was clear: "Legislators - PLEASE do your job that we sent you to do in Salem and never again dump this onto your voters and constituents to decide for you".
Nov 8, '07
I understand, I voted against it as well for all of the reasons given. My position on 50 is that if we all think children's healthcare is necessary - and it most assuredly is - then we all should be willing to pay for it. I'm a smoker, I don't drink but I would have been just as opposed to it if the means of paying for it was a liquor tax. Going the "sin tax" route is political cowardice to me - if the program in question is that vital then the tax pain is worth sharing with a general tax increase and having to defend that. We don't make Hispanics pay a special tax for services for them, or blacks pay a special tax for services for them - making any minority pay a special tax is just as unfair as those would be. In the long run, we all benefit from having future taxpayers' health taken care of when they're kids and the cost of that benefit should be shared the same way.
Nov 8, '07
One ugly by-product of the measure being aimed for the State Constitution was having people here (some of whom I'd expected better sense) arguing that our Constitution was already a garbage dump full of pet projects, undeserving of any reverence and unrespected by the electorate. I suppose they'd forgotten the fate of the elections-reform measures 46 & 47 in the last election: the enabling Constitutional Amendment was defeated largely on account of concerns over its effect on the unfettered free-speech clause.
Nov 9, '07
This is the crux of your "evidence"
No Eric, its not the crux of any evidence. You are the one claiming the money for kids will come from "low income smokers". The evidence is all over the place that "low income smokers" are, in fact, more price conscious than their wealthier addicts. They are more likely to quit or smoke less when the price goes up instead of spending more money. That means a large portion of the money for kids health care was going to come out of tobacco company profits.
The fact is the folks that voted against this measure voted to destroy children's lives. The reasons given for that indicate an incredible lack of balance. "I would have had to smoke less" and "I didn't want to add to the pages of crap that are already in the Oregon constitution" are pretty thin gruel.
Of course there were plenty of people who also thought "If there parents can't pay for it, tough. That's the way the world should work." But those arguments weren't going to win the day and the tobacco companies knew it. So they needed to add a bunch of fluff to cover pseudo-progressive's own callousness. So we have "low income smokers" as "victims" of a nefarious plot to make them pay for kids health care when the only real effect would be they might smoke less.
And they pitch people, who are more concerned with theoretical pontificating than kids health, in the civil rights community about some abstract protection of a state constitution already loaded with tax code. That includes the provisions that caused this to be a constitutional amendment in the first place.
It was obvious the tobacco companies were going to win or they wouldn't have been spending all that money. They knew which voters' strings to pull and how to pull them. But they also knew that children's health care was not really a problem those folks saw as critical in their lives. It was just another abstract political issue to be debated on Blue Oregon.
They didn't need to show anyone would die if the measure passed. They didn't need to show how people's lives would be made miserable. They really didn't need to balance the lives of those kids with any tangible outcomes. Because the lives of those kids didn't really matter to the nicotine addicts and progressive political thinkers they were targeting.
11:56 a.m.
Nov 9, '07
Ross,
Speaking of evidence, you repeatedly assert in effect that tobacco companies have infinite price elasticity in response to taxes. Why on earth would that be the case, apart from wishful thinking?
What are your estimates of current profits per pack for tobacco companies, so that we can have an idea of what eating 84ยข would mean to their margins?
Nov 9, '07
I am no believer in unilateral disarmament. The reason Msr 50 required constitutional change is because of the constitutional changes effected by the right. Our state Constitution is not sacrosanct and could use more than one fix, including repealing some of the measures that so hamstring the legislature and made them so ineffective. I also cannot see voting against something that you want just because you don't like how it gets there, that is the very definition of cutting off your nose to spite your face...except that it's not your nose, its the nose of all the children without health care.
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