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The Demand for Cigarettes in the Republic of Korea and Implications for Government Policy to Lower Cigarette Consumption

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  • Songjune Kim
  • Barry J. Seldon

Abstract

The government of the Republic of Korea has become concerned with reducing cigarette consumption, which historically has been very prevalent. This study contributes to the debate over cigarette policies in South Korea, with implications for other Asian countries with similar economic and cultural backgrounds. The authors estimate cigarette demand in South Korea over the period 1960–97, considering various government policies employed to reduce cigarette consumption. Results of the estimation suggest that taxation appears to be a viable means of reducing cigarette consumption, but methods to inform the public about the health hazards of smoking should be reconsidered and strengthened. (JEL H51, I18, L66)

Suggested Citation

  • Songjune Kim & Barry J. Seldon, 2004. "The Demand for Cigarettes in the Republic of Korea and Implications for Government Policy to Lower Cigarette Consumption," Contemporary Economic Policy, Western Economic Association International, vol. 22(2), pages 299-308, April.
    • Handle: RePEc:bla:coecpo:v:22:y:2004:i:2:p:299-308
    DOI: 10.1093/cep/byh021
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    Citations

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    Cited by:

    1. Yamamura, Eiji, 2011. "The effects of the social norm on cigarette consumption: Evidence from Japan using panel data," Japan and the World Economy, Elsevier, vol. 23(1), pages 6-12, January.
    2. Eiji Yamamura, 2016. "Effects of Female Labor Participation on Smoking Behavior in Japan: Selection Model Approach," Journal of Economics and Econometrics, Economics and Econometrics Society, vol. 59(3), pages 1-18.
    3. Yamamura, Eiji, 2010. "Effects of Female Labor Participation and Marital Status on Smoking Behavior in Japan," MPRA Paper 21789, University Library of Munich, Germany.
    4. Jin, Hyun Joung & Cho, Sung Min, 2021. "Effects of cigarette price increase on fresh food expenditures of low-income South Korean households that spend relatively more on cigarettes," Health Policy, Elsevier, vol. 125(1), pages 75-82.
    5. Seonghoon Hong & Alan R. Collins, 2010. "The Impact Of Antismoking Policies In Korea On Quit Success And Smoking Intentions," Contemporary Economic Policy, Western Economic Association International, vol. 28(4), pages 474-487, October.
    6. Bai Yuanliang & Zhang Zongyi, 2005. "Aggregate cigarette demand and regional differences in China," Applied Economics, Taylor & Francis Journals, vol. 37(21), pages 2523-2528.
    7. Eugenio Martínez & Raúl Mejía & Eliseo Pérez Stable, 2008. "Elasticity of cigarette demand in Argentina: An empirical analysis using vector error-correction model," Working Papers 1, Instituto de Estudios Laborales y del Desarrollo Económico (IELDE) - Universidad Nacional de Salta - Facultad de Ciencias Económicas, Jurídicas y Sociales.
    8. Hansoo Ko, 2020. "The effect of outdoor smoking ban: Evidence from Korea," Health Economics, John Wiley & Sons, Ltd., vol. 29(3), pages 278-293, March.

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    More about this item

    JEL classification:

    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • L66 - Industrial Organization - - Industry Studies: Manufacturing - - - Food; Beverages; Cosmetics; Tobacco

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