newjerseynewsroom.com

But Garden State ranks 10th among state's that profit from sin

BY TOM HESTER SR.

NEWJERSEYNEWSROOM.COM

Here is stunning good news for New Jerseyans on the eve of The Rapture (the opening earthquake begins 6 p.m., Saturday for the Garden State), absolutely stunning good news.

New Jersey is considered the second “most virtuous” state in the nation. Hey, no lie.

An analysis by the website 24/7 Wall St. on the prevalence of drug use, binge drinking, cigarette smoking and surfing for porn in the 50 states ranks New Jersey behind only that goody-goody state of Utah and ahead of Idaho, Tennessee, Georgia, Maryland, Ohio, Texas (Texas?), Wyoming and Kansas.

For example, according to the analysis, residents of 44 other states do more surfing for porn than New Jerseyans.

The most vice-ridden state is, of course, Nevada,, according to the 24/7 Wall St. analysis, followed by Wisconsin, Alaska, Oklahoma, Colorado, Louisiana, Minnesota, Mississippi, Delaware (following NASCAR is a sin.) and California.

Well … there is some bad news for New Jersey as The Rapture looms, but it can be blamed on the governor and legislators and not the rest of us virtuous citizens.

New Jersey ranks 10th in the nation in states when it comes to profiting from “sin” taxes,” according to the 24/7 Wall St. analysis. Nevada again used its pitchfork to grab the No. 1. spot.

The 24/7 Wall St. analysis examined the risks and costs associated with vice and which states are likely or unlikely to benefit from them.

Data used for the 24/7 Wall St analysis came from Centers for Disease Control and Prevention, the U.S. Department of Health and Human Services, American Gaming Association, and a Harvard Business School professor’s analysis of pornography use.

24/7 Wall St. took the prevalence of five major vices in the fifty states. These were then averaged and weighted evenly in order select the states with the highest and lowest prevalence of vice.

Here is what 24/7 Wall St. found that led New Jersey to be ranked as the second most virtuous state in the nation:

• Binge drinking among adults per month: 14.3 percent (18th lowest).
• Annual sale of cigarette packs per capita: 32.6 (6th lowest).
• Illicit drug use per month: 6.23 percent (7th lowest).

“New Jersey may surprise some by being so free of vice,” 24/7 Wall St. stated. “The state is not in first place on this list because of its gambling problems, ranking 33rd highest in this category with 11 casinos. Besides gambling and drinking, where it ranks in the dead center of all states, the Garden State is in the top ten in every category. New Jersey ranks seventh-best in tobacco consumption, sixth-best in pornography, and fifth-best in drug usage. While this is not technically a vice, and is not included in our ranking, the state should also be recognized for having the lowest combined rate of driving under the influence of alcohol or other substances in the country.”

Here is what led 24/7 Wall St. to name Nevada as the most vice-ridden state:

• Binge drinking among adults per month: 17.5 percent (13th highest).
• Annual sale of cigarette packs per capita: 53.5 (25th highest).
• Illicit drug use per month: 9.13 percent (10th highest).

“Due mostly to the fact that it is home to America’s original city of sin, Las Vegas, Nevada easily earns its status as the country’s most vice-ridden state,” 24/7 Wall St. stated. “Some may point to unruly outsiders being the source of the state’s sin rather than residents, but that is not the case. The state is ranked in the worst ten both for alcohol consumption and drug use among its population. It is Nevada’s enormous gambling industry, however, which solidifies its position. According to the American Gaming Association’s 2010 report, Nevada has 263 major casinos, easily more than twice that of the next highest state, Oklahoma, which has 106. Gamblers spend more than $10 billion each year in the state, and roughly 75% of the state’s GDP comes from the Las Vegas area.”

And here is why New Jersey was named the 10th state to profit most from sin:

• Most profitable sin: Lottery ($924 million)
• Revenue from sin: $2.123 billion (8th highest)
• Total state revenue: $49 billion (8th highest)
• Percent total revenue from sin: 4.34 percent

“New Jersey is an example of a state in which residents are paying a disproportionate amount of taxes for their vices,” 24/7 Wall St. stated. “Although residents gamble, use alcohol and tobacco, the percent of the population that gambles, drinks or smokes is low compared to the national average. The state has the 18th lowest rate of binge drinking in the country and the ninth lowest rate of cigarette smoking. Despite these low rates, high taxes boost the state's revenue from these activities. New Jersey generates the eighth highest revenue from tobacco and the 17th greatest amount from alcohol sales. The greatest moneymaker for the state, though, is the lottery. In 2010 the state made just under $1 billion through the lottery, the fifth greatest amount among all the states.”

For comparison, here is what gained Nevada its second sinful title:

• Most profitable sin: Gambling ($835 million)
• Revenue from sin: $1.01 billion (13th highest)
• Total state revenue: $7.9 billion (12th lowest)
• Percent total revenue from sin: 12.83 percent