It is not difficult to calculate the earnings of a cigarette manufacturer. Even without having the recipe, all we need to do is examine a cigarette to determine the tobaccos used, the amount of reconstituted tobacco and other materials and the paper and filter. Knowing the labor cost of a country, having market quotes and prices, it is very easy to calculate the costs of production, and then relate these to the market price. The margin of error is minimum. Our calculation for the production costs of a carton of Marlboro in the United States is $1.20. Considering that this carton is sold to the wholesaler at $7.00, cigarette manufacturing must