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SMOKE‐FREE AIR LAWS, CIGARETTE PRICES, AND ADULT CIGARETTE DEMAND
Author(s) -
TAURAS JOHN A.
Publication year - 2006
Publication title -
economic inquiry
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.823
H-Index - 72
eISSN - 1465-7295
pISSN - 0095-2583
DOI - 10.1093/ei/cbj028
Subject(s) - economics , smoke , consumption (sociology) , econometrics , probit model , ordered probit , cigarette smoking , distribution (mathematics) , cigarette smoke , demographic economics , environmental health , medicine , mathematics , geography , mathematical analysis , social science , sociology , meteorology
This article examines the impact of cigarette prices and smoke‐free air laws on adult smoking. Probit methods and a generalized linear model with log‐link and Gaussian distribution are employed to model adult smoking propensity and intensity, respectively. After controlling for unobserved state‐level heterogeneity, which can influence both tobacco policy and smoking behavior, the estimates from this study imply that an inverse relationship exists between cigarette prices and both smoking prevalence and average cigarette consumption by adult smokers. The estimates also imply that more restrictive smoke‐free air laws decrease average smoking by adult smokers but have little impact on prevalence. (JEL I18 )