An Empirical Analysis of Cigarette Addiction Export

@article{citeulike:206206, abstract = {To test a model of rational addiction, we examine whether lower past and future prices for cigarettes raise current cigarette consumption. The empirical results tend to support the implication of addictive behavior that cross price effects are negative and that long-run responses exceed short-run responses. Since the long-run price elasticity of demand is almost twice as large as the short-run price elasticity, the long-run increase in tax revenue from an increase in the federal excise tax on cigarettes is considerably smaller than the short-run increase.}, author = {Becker, Gary S. and Grossman, Michael and Murphy, Kevin M.}, citeulike-article-id = {206206}, citeulike-linkout-0 = {http://www.jstor.org/stable/2118059}, journal = {The American Economic Review}, keywords = {addiction, empirical\_io}, number = {3}, pages = {396--418}, posted-at = {2005-05-20 20:28:52}, priority = {2}, title = {An Empirical Analysis of Cigarette Addiction}, url = {http://www.jstor.org/stable/2118059}, volume = {84}, year = {1994} }

TY - JOUR ID - citeulike:206206 L3 - citeulike-article-id:206206 N2 - To test a model of rational addiction, we examine whether lower past and future prices for cigarettes raise current cigarette consumption. The empirical results tend to support the implication of addictive behavior that cross price effects are negative and that long-run responses exceed short-run responses. Since the long-run price elasticity of demand is almost twice as large as the short-run price elasticity, the long-run increase in tax revenue from an increase in the federal excise tax on cigarettes is considerably smaller than the short-run increase. IS - 3 JF - The American Economic Review EP - 418 TI - An Empirical Analysis of Cigarette Addiction VL - 84 SP - 396 KW - addiction KW - empirical_io AU - Becker, Gary AU - Grossman, Michael AU - Murphy, Kevin PY - 1994/// UR - http://www.jstor.org/stable/2118059 ER -