Tobacc-whoa!
Who would’ve guessed that FDA regulation would be good for major tobacco companies? According to Dan Clifton of Strategas in this CNBC video (CNBC+ required) from the day of the Iowa Caucus, that may be the case.
In case you cannot view the video, the main idea is that under a Democratic administration, the FDA would agree to regulate tobacco products with a clear set of guidelines. A Republican administration, including the current administration, would generally fight these regulations.
The regulations are beneficial to the industry because if the companies were under FDA guidelines they would not be subject to any sort of lawsuit that they could normally face for what is generally perceived as a harmful product.
Under Obama or Hillary, the stocks listed in our forum would go up in value, Under McCain or Huckabee, they would go down.
Posted: February 26th, 2008 under Clinton, Drugs, McCain, Obama, Tobacco.
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Pingback from » Regulation of Tobacco
Time: June 23, 2009, 1:21 pm
[...] On Monday, President Obama signed the Family Smoking and Tobacco Prevention Act into law, giving the FDA unprecedented power to regulate the tobacco industry. This was an issue we discussed way back in 2008. We pointed to a statement by Dan Clifton that indicated a Democratic administration would be more likely to support the regulation we have just seen passed, and that this would actually be good for tobacco. According to our February 28, 2008 article: The regulations are beneficial to the industry because if the companies were under FDA guidelines they would not be subject to any sort of lawsuit that they could normally face for what is generally perceived as a harmful product. [...]
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