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radishhead said:
It would take money from gum-eaters, and give it to the government in the form of fines

People would then switch to mints and other forms of things that are like gum, but wouldn't be technically seen as illegal, so they would be left alone.  This has happened with electric cigarettes.  They don't get taxed, and act as cigarettes.  They also engineered them to be less harmful to health.