R.J. Reynolds owns a subsidiary called RJR Packaging, which produces packaging used on many food products for both human and pet consumption.{276} They also produce packaging for many medical devices and over-the-counter medications, as well as personal care, coffee, and confectionary products.{277} In order to remain in business, a company must be profitable. In order to remain profitable in the face of extensive, long-term compulsory levies by state governments via the tobacco settlement, the costs of products must go up so that income remains higher than expenses. Thus, Altria can raise prices on their Kraft food products you buy in order to pay off their tobacco settlement. R.J. Reynolds can pass along the cost by raising packaging costs for manufacturers of many different types of consumer products, who pass the increased production costs along to you.
( Howard Nemerov )
[ Four Hundred Years of Gun ]
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