Economic stress and cigarette smoking: Evidence from the United States

Rajeev Goel

Economic Modelling, 2014, vol. 40, issue C, 284-289

Abstract: This paper uses pooled data on U.S. states for the post-MSA period to estimate the demand for cigarettes, with the main contribution lying in considering the effects of economic stress/uncertainty. Different measures of economic stress – standard deviations and averages of unemployment and property prices – are considered. Greater economic stress is found to lower cigarette smoking across various specifications. Other findings largely support the literature on cigarette demand — price effects are negative, border price effects are positive and the effect of income is negative.

Keywords: Cigarettes; Smoking; Economic stress; Uncertainty; Smuggling; United States (search for similar items in EconPapers)
JEL-codes: D12 I10 (search for similar items in EconPapers)
Date: 2014
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Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecmode:v:40:y:2014:i:c:p:284-289

DOI: 10.1016/j.econmod.2014.04.009

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