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OCR Page 1 of 3705/20/98 WED 19:12 FAX 202 6222633
5
002
Memo To: Bruce Reed
From:
Jon Gruber
Re:
New Lookback Structure Compared to S. 1415 and Regressivity
Here are two charts comparing the current S. 1415 lookback structure to what you said is being
considered by the Democrats as an alternative. These figures focus on monthly smoking. Note
that for large misses (50-60) percent the lost profits/kid are actually quite similar for the two
structures, since the cap on the proposed alternative binds so early.
I also include the talking points on regressivity that we are going to pass to Dems on the Hill, as
we discussed earlier.
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