Monday, July 25, 2005

the simple solution to social problems

In today's New York Times: To Reduce the Cost of Teenage Temptation, Why Not Just Raise the Price of Sin? The article makes the point that "just say no" and scary advertising does not change kids' minds regarding tobacco and excessive drinking. But raising prices works.

Tobacco and excessive drinking has measurable costs for society. So charge the smokers and drinkers that cost. Result: better behavior, and more money to spend on clean up. The principle of land rent at work: people pay for (or are rewarded for) their actions. It works.

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