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1 (July 6, 1998)

handle is hein.crs/crsmthaagvu0001 and id is 1 raw text is: 
       98-133 ENR
Updated July 6, 1998


Compensating Farmers for the Tobacco
                    Settlement

                    Jasper Womach
             Specialist in Agriculture Policy
    Environment and Natural Resources Policy Division


Summary


Higher Prices, Consumption, and Farm Impact


    The tobacco bills contain several measures designed to decrease consumption of
tobacco products in the United States. Among the most prominent of these are proposals
for substantial increases in the price of tobacco products (either through manufacturer
payments or higher excise taxes), which are designed to finance other anti-smoking efforts
and health care provisions in the proposal. Price increases have a direct impact on
consumption, and consequently, can be used to estimate changes in the domestic demand
for U.S.-grown tobacco, its production, and farm income. Other provisions in the


Congressional Research Service oe The Library of Congress


CRS Report for Congress

           Received through the CRS Web

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