Public transport, government owned buildings, that's all very well. However, I was referring to the proposed smoking ban in pubs and restaurants.
And that is the justification for murder being outlawed in a state based on the rights of the individual; whilst you are expressing your individual right to murder, you are also removing larger, and more multitudinous, rights from the murdered. As the net change is a loss of liberty, it's outlawed.
Because the argument is not based on economics. For instance, by far the cheapest thing for the state to do is to remove all welfare benefits, but that's hardly the right course of action.
It's nothing to do with Political Correctness, unless you believe that the European Liberal Tradition was all a load of PC gubbins. 200 years ago.
Read John Stuart Mill.