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The relationship between cigarettes and electronic cigarettes: Evidence from household panel data

Chad Cotti, Erik Nesson () and Nathan Tefft

Journal of Health Economics, 2018, vol. 61, issue C, 205-219

Abstract: We use the Nielsen Consumer Panel to investigate the impact of tobacco control policies on purchases of electronic cigarettes (e-cigarettes), cigarettes, and smoking cessation products. We measure product quantity, product type, nicotine content, and liquid volume of e-cigarettes, and product quantity and nicotine content of cigarettes. Higher cigarette excise taxes decrease both cigarette and e-cigarette purchases, suggesting that cigarettes and e-cigarettes are complements, and higher cigarette excise taxes reduce the aggregate amount of nicotine purchased from cigarettes and e-cigarettes. Cigarette smoke-free air laws decrease cigarette purchases, while e-cigarette smoke-free air laws do not affect cigarette or e-cigarette purchases.

Keywords: Electronic cigarettes; Cigarettes; E-cigarettes; Tobacco control policies; Cigarette excise taxes; Smoke-free air laws (search for similar items in EconPapers)
Date: 2018
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DOI: 10.1016/j.jhealeco.2018.08.001

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Journal of Health Economics is currently edited by J. P. Newhouse, A. J. Culyer, R. Frank, K. Claxton and T. McGuire

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