Hacker News Reader

I think most of the cost is because of the personal and inventory risk that everyone involved carries. With 100x markup, seizures at borders aren’t as big a deal.

And there are lots of people involved, each one adds markup.

> a few % of tax.

The cigarette tax rate in New York is 2500% higher than the tax rate in Missouri. That's more than a few %, and that's just the state tax; NYC has their own additional tax that increases the difference even more.

Avoid=Pay