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A grouped data regression approach to estimating economic and social influences on individual drinking behaviour

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  • Matthew Sutton
  • Christine Godfrey

Abstract

General Household Survey (GHS) data sets, covering the period 1978‐1990, are pooled to investigate the relationship between the riskiness of individuals' self‐reported drinking behaviour and a wide range of personal characteristics and economic factors. A grouped data regression approach is used to reduce problems with the inaccuracy of self‐reports of alcohol consumption and clustering of observations in the consumption data. Results for males aged 18 to 24 years are presented, and possible methods for interpreting the results of grouped data regression are illustrated. Controlling for other factors, current smokers are estimated to be at a 75% higher risk of drinking over recommended levels than non‐smokers. Particular attention is paid to the interactions between the price of alcohol, income and heavy drinking. At average levels of income, a 5% increase in the real price of alcohol is predicted to reduce the probability of 'at‐risk' drinking by 1.5%. At lower initial levels of income, drinking patterns are found to be more responsive to both price and income changes. Grouped data regression is proposed as a way of focusing policy analysis on individual risks of alcohol‐related health and social problems.

Suggested Citation

  • Matthew Sutton & Christine Godfrey, 1995. "A grouped data regression approach to estimating economic and social influences on individual drinking behaviour," Health Economics, John Wiley & Sons, Ltd., vol. 4(3), pages 237-247, May.
    • Handle: RePEc:wly:hlthec:v:4:y:1995:i:3:p:237-247
    DOI: 10.1002/hec.4730040308
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    References listed on IDEAS

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    1. Godfrey, Leslie G & McAleer, Michael & McKenzie, Colin R, 1988. "Variable Addition and LaGrange Multiplier Tests for Linear and Logarithmic Regression Models," The Review of Economics and Statistics, MIT Press, vol. 70(3), pages 492-503, August.
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    3. Jones, Andrew M, 1989. "A Systems Approach to the Demand for Alcohol and Tobacco," Bulletin of Economic Research, Wiley Blackwell, vol. 41(2), pages 85-105, April.
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    2. Garrone, Paola & Grilli, Luca & Mrkajic, Boris, 2017. "The energy-efficient transformation of EU business enterprises: Adapting policies to contextual factors," Energy Policy, Elsevier, vol. 109(C), pages 49-58.
    3. Jon P. Nelson, 2014. "Gender Differences In Alcohol Demand: A Systematic Review Of The Role Of Prices And Taxes," Health Economics, John Wiley & Sons, Ltd., vol. 23(10), pages 1260-1280, October.
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    6. Nelson, Jon P., 2014. "Binge Drinking, Alcohol Prices, And Alcohol Taxes," Working Papers 164652, American Association of Wine Economists.
    7. Anne Line Bretteville-Jensen & Matthew Sutton, 1996. "Under the influence of the market: an applied study of illicitly selling and consuming heroin," Working Papers 147chedp, Centre for Health Economics, University of York.

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