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Differential Effects of Cigarette Price on Youth Smoking Intensity

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  • Liang, Lan PhD
  • Chaloupka, Frank J. PhD

Abstract

Objectives: Data from the 1992, 1993, and 1994 Monitoring the Future Surveys were used to investigate the differential effects of cigarette price on the intensity of youth cigarette smoking. Methods: Respondents are classified into nonsmokers; individuals who smoked less than one cigarette per day; individuals who smoked one to five cigarettes per day; individuals who smoked one-half pack a day; and individuals who smoked one pack or more a day. A Threshold of Change Model was estimated with information on cigarette prices as the main explanatory variables. Results: Dummy variables indicating medium and high prices were found to have varying effects on different levels of smoking intensity, even though higher prices were associated with lower smoking in all cases. The differences are more striking in the high price case. The effects of higher prices are largest at the heaviest smoking levels. Conclusion: Cigarette prices an effective tool to discourage youth smoking. The differential effects of cigarette price on smoking intensity warrant further investigation.

Suggested Citation

  • Liang, Lan PhD & Chaloupka, Frank J. PhD, 2001. "Differential Effects of Cigarette Price on Youth Smoking Intensity," University of California at San Francisco, Center for Tobacco Control Research and Education qt75x2s1j0, Center for Tobacco Control Research and Education, UC San Francisco.
    • Handle: RePEc:cdl:ctcres:qt75x2s1j0
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    References listed on IDEAS

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    1. Lewit, Eugene M & Coate, Douglas & Grossman, Michael, 1981. "The Effects of Government Regulation on Teenage Smoking," Journal of Law and Economics, University of Chicago Press, vol. 24(3), pages 545-569, December.
    2. Chaloupka, Frank J. & Wechsler, Henry, 1997. "Price, tobacco control policies and smoking among young adults," Journal of Health Economics, Elsevier, vol. 16(3), pages 359-373, June.
    3. Frank J. Chaloupka & Michael Grossman, 1996. "Price, Tobacco Control Policies and Youth Smoking," NBER Working Papers 5740, National Bureau of Economic Research, Inc.
    4. Lewit, Eugene M. & Coate, Douglas, 1982. "The potential for using excise taxes to reduce smoking," Journal of Health Economics, Elsevier, vol. 1(2), pages 121-145, August.
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    Cited by:

    1. Layte, Richard & Whelan, Christopher T., 2004. "Explaining Social Class Differentials in Smoking: The Role of Education," Papers HRBWP12, Economic and Social Research Institute (ESRI).
    2. Layte, Richard & Russell, Helen & McCoy, Selina, 2002. "The Economics and Marketing of Tobacco: An Overview of the Existing Published Evidence," Research Series, Economic and Social Research Institute (ESRI), number PRS46.
    3. Rajeev Goel & Michael Naretta, 2011. "Determinants of various aspects of smoking behaviour in the United States," Applied Economics Letters, Taylor & Francis Journals, vol. 18(17), pages 1671-1675.

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