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The Health Care Consequences of Smoking and Its Regulation

In: Frontiers in Health Policy Research, Volume 4

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  • Michael J. Moore
  • James W. Hughes

Abstract

The literature on the health economics of smoking presents two principal facts: (1) that smoking increases health care costs and (2) that restrictions on smoking lead to reductions in smoking prevalence and intensity. Some researchers have hypothesized that these two facts, in combination, allow the inference that restricting smoking will lower health care costs. For various reasons, however, observed associations between smoking and health care use on the one hand, and regulations and smoking on the other, do not imply a causal effect of the restrictions on health care.This article extends the literature by examining whether cigarette tax increases lead to lower health care costs. Using data from the 1991 and 1993 National Health Interview Surveys, it fi
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Suggested Citation

  • Michael J. Moore & James W. Hughes, 2001. "The Health Care Consequences of Smoking and Its Regulation," NBER Chapters, in: Frontiers in Health Policy Research, Volume 4, pages 31-76, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberch:9851
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    References listed on IDEAS

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    9. Jeffrey E. Harris, 1994. "A Working Model for Predicting the Consumption and Revenue Impacts of Large Increases in the U.S. Federal Cigarette Excise Tax," NBER Working Papers 4803, National Bureau of Economic Research, Inc.
    10. Joshua D. Angrist & Guido W. Imbens & D.B. Rubin, 1993. "Identification of Causal Effects Using Instrumental Variables," NBER Technical Working Papers 0136, National Bureau of Economic Research, Inc.
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    17. Viscusi, W Kip, 1984. "The Lulling Effect: The Impact of Child-Resistant Packaging on Aspirin and Analgesic Ingestions," American Economic Review, American Economic Association, vol. 74(2), pages 324-327, May.
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    Cited by:

    1. Picone Gabriel & Sloan Frank, 2001. "How Costly Are Smokers to Other People? Longitudinal Evidence on the Near Elderly," Forum for Health Economics & Policy, De Gruyter, vol. 4(1), pages 1-31, January.
    2. Grimard, Franque & Parent, Daniel, 2007. "Education and smoking: Were Vietnam war draft avoiders also more likely to avoid smoking?," Journal of Health Economics, Elsevier, vol. 26(5), pages 896-926, September.
    3. Brit S. Schneider & Udo Schneider, 2009. "Determinants and Consequences of Health Behaviour: New Evidence from German Micro Data," SOEPpapers on Multidisciplinary Panel Data Research 253, DIW Berlin, The German Socio-Economic Panel (SOEP).
    4. Aue, Katja & Roosen, Jutta & Jensen, Helen H., 2016. "Poverty dynamics in Germany: Evidence on the relationship between persistent poverty and health behavior," Social Science & Medicine, Elsevier, vol. 153(C), pages 62-70.

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    JEL classification:

    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

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