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No idea what the input costs are though. And, at least initially, taxes would have to keep the prices equal/competitive to, or even under cut, street prices, or you're negating the whole reason for doing it.
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Zero chance of this. It hasn't happened in states that have legalized it.
Black market costs are cheaper then stores. However, how you get a lot of people who purchase who wouldn't go to the black market, and others where the cost doesn't matter vs convenience
There's a reason very few people role their own cigs despite it being cheaper to buy tobacco and role.