Stogie Commentary: The Cost of ‘Smoke Free’ Air
27 Mar 2007
We try not to wax too political (or economical) here – after all, we prefer cigars to politics – but every once in awhile a political pundit just gets the whole smoking ban issue perfectly right. In this case, it’s famed George Mason University economist Walter E. Williams.
In a recent column, Dr. Williams explained that when anti-smokers use the government to ban smoking, they ignore economics and common sense:
The cost to nonsmokers to impose their will on smokers, say, in a restaurant, bar or airplane, is zero, or close to it. They just have to get the legislature to do their bidding. When the cost of something is zero, there’s a tendency for people to take too much of it. You say, “Williams, in my book, there can never be too much smoke-free air!” Here’s a little test. Say your car’s out of gas and stuck in a blizzard. You wave me down for assistance. I say, “I’ll be glad to give you a lift to safety, but I’m smoking in my car.” How likely is it that you’ll turn down my assistance in an effort to avoid tobacco smoke? You might be tempted to argue, “That’s different.” It’s not different at all. The cost of a smoke-free environment is not what you’re willing to pay.
Say you don’t permit smoking in your house. When I visit, I offer to pay you $100 for each cigarette you permit me to smoke. Instantaneously, I’ve raised the cost of your maintaining a smoke-free environment. Retaining smoke-free air in your home costs the sacrifice of $100. Of course, I could offer you higher amounts, and economic theory predicts that at some price, you’ll conclude your 100 percent smoke-free air isn’t worth it.
Air that’s either 100 percent smoke-filled or 100 percent smoke-free is probably sub-optimal. At zero prices there will either be too much smoking or too little smoking. The problem in our society is that laws have created too much smoke-free air. To a large degree, it’s the fault of smokers, who haven’t created a cost to smoke-free air.
My rule is by no means absolute. There are instances where I put up with zero-priced smoke-free air, and there are other instances where I don’t. It all depends on the cost to me. I think other smokers ought to adopt the same agenda. Say you’re asked to do some volunteer work. You might answer, “Yes, if I’m allowed to smoke.” This strategy might also be a nice way to get out of doing something without saying no. Just ask whether smoking is permitted.
The economic lesson to extract from all of this is that zero prices lead to sub-optimal outcomes, and it doesn’t just apply to the smoking issue. How would you like zero prices at the supermarket or clothing store? If there were, what do you think you’d see on the shelves when you arrived? If you said, “Nothing, because people would take too much,” go to the head of the class.
All too often, anti-smoking zealots overlook the adverse consequences smoking bans impose on individual freedom and – like in this case – sub-optimal economic outcomes. They can’t be bothered with these realities in their furor.
Many thanks to Dr. Williams for this important, straightforward column.





Patrick Ashby
Patrick Semmens
George Edmonson