Tobacco Substitution and the Poor

Steven Fredric Koch () and Tshiswaka-Kashalala, Gauthier ()
Additional contact information
Tshiswaka-Kashalala, Gauthier: Department of Transportation, South Africa

No 200832, Working Papers from University of Pretoria, Department of Economics

Abstract: Tobacco control policies have effectively raised the price of cigarettes and other tobacco products. However, these price increases have been shown to disproportionately fall upon poorer households, with fewer resources. In this analysis, we provide an initial indication of the effect increased prices might have on household allocations, by considering substitution and complementation related to tobacco consumption. Our results show substitution between tobacco and most household consumption items, although elasticities tend to be highest amongst the poorest households.

Keywords: Crowd-out; Crowd-in; 3SLS; Tobacco Substitution Elasticity (search for similar items in EconPapers)
JEL-codes: D12 C32 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-hea
Date: 2008-10
View list of references

Downloads: (external link)
http://web.up.ac.za/UserFiles/WP_2008_32.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:pre:wpaper:200832

Access Statistics for this paper

More papers in Working Papers from University of Pretoria, Department of Economics
Contact information at EDIRC.
Series data maintained by Rangan Gupta ().