Policy Watch: Alcohol and Cigarette Taxes
AbstractIncreased excise taxes on cigarettes and alcohol have been suggested as a means to finance (at least partially) the Clinton administration's proposed program of health care reform. We consider the revenue potential of cigarette and alcohol tax hikes and explore the effects on consumption and related outcomes. We present estimates of the social costs and implied optimal tax rates on cigarettes and alcohol. The bulk of the evidence presented here does support higher taxes on cigarettes and alcohol.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by American Economic Association in its journal Journal of Economic Perspectives.
Volume (Year): 7 (1993)
Issue (Month): 4 (Fall)
Find related papers by JEL classification:
- H25 - Public Economics - - Taxation, Subsidies, and Revenue - - - Business Taxes and Subsidies
- L66 - Industrial Organization - - Industry Studies: Manufacturing - - - Food; Beverages; Cosmetics; Tobacco
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Henry Saffer & Michael Grossman, 1986. "Beer Taxes, the Legal Drinking Age, and Youth Motor Vehicle Fatalities," NBER Working Papers 1914, National Bureau of Economic Research, Inc.
- 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 545-69, December.
- Eugene M. Lewit & Douglas Coate & Michael Grossman, 1981. "The Effects of Government Regulation on Teenage Smoking," NBER Working Papers 0655, National Bureau of Economic Research, Inc.
- Wasserman, Jeffrey & Manning, Willard G. & Newhouse, Joseph P. & Winkler, John D., 1991. "The effects of excise taxes and regulations on cigarette smoking," Journal of Health Economics, Elsevier, vol. 10(1), pages 43-64, May.
- Mullahy, John & Sindelar, Jody L, 1993. "Alcoholism, Work, and Income," Journal of Labor Economics, University of Chicago Press, vol. 11(3), pages 494-520, July.
- Douglas Coate & Michael Grossman, 1986.
"Effects of Alcoholic Beverage Prices and Legal Drinking Ages on Youth Alcohol Use,"
NBER Working Papers
1852, National Bureau of Economic Research, Inc.
- Coate, Douglas & Grossman, Michael, 1988. "Effects of Alcoholic Beverage Prices and Legal Drinking Ages on Youth Alcohol Use," Journal of Law and Economics, University of Chicago Press, vol. 31(1), pages 145-71, April.
- Frank J. Chaloupka & Henry Saffer & Michael Grossman, 1991.
"Alcohol Control Policies and Motor Vehicle Fatalities,"
NBER Working Papers
3831, National Bureau of Economic Research, Inc.
- Chaloupka, Frank J & Saffer, Henry & Grossman, Michael, 1993. "Alcohol-Control Policies and Motor-Vehicle Fatalities," The Journal of Legal Studies, University of Chicago Press, vol. 22(1), pages 161-86, January.
- Philip J. Cook & George Tauchen, 1982. "The Effect of Liquor Taxes on Heavy Drinking," Bell Journal of Economics, The RAND Corporation, vol. 13(2), pages 379-390, Autumn.
- Mullahy, John & Sindelar, Jody, 1996.
"Employment, unemployment, and problem drinking,"
Journal of Health Economics,
Elsevier, vol. 15(4), pages 409-434, August.
- Greg Colman & Dahlia K. Remler, 2004.
"Vertical Equity Consequences of Very High Cigarette Tax Increases: If the Poor are the Ones Smoking, How Could Cigarette Tax Increases be Progressive?,"
NBER Working Papers
10906, National Bureau of Economic Research, Inc.
- Gregory J. Colman & Dahlia K. Remler, 2008. "Vertical equity consequences of very high cigarette tax increases: If the poor are the ones smoking, how could cigarette tax increases be progressive?," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 27(2), pages 376-400.
- Yana Roshchina, 2013. "To drink or not to drink: the microeconomic analysis of alcohol consumption in Russia in 2006-2010," HSE Working papers WP BRP 20/SOC/2013, National Research University Higher School of Economics.
- Michael Grossman, 1999. "The Human Capital Model of the Demand for Health," NBER Working Papers 7078, National Bureau of Economic Research, Inc.
- Michael Grossman, 2005.
"Education and Nonmarket Outcomes,"
NBER Working Papers
11582, National Bureau of Economic Research, Inc.
- Seldon, Barry J. & Jewell, R. Todd & O'Brien, Daniel M., 2000. "Media substitution and economies of scale in advertising," International Journal of Industrial Organization, Elsevier, vol. 18(8), pages 1153-1180, December.
- Christopher J. Ruhm, 1995.
"Alcohol Policies and Highway Vehicle Fatalities,"
NBER Working Papers
5195, National Bureau of Economic Research, Inc.
- John Ataguba, 2012. "Alcohol policy and taxation in South Africa," Applied Health Economics and Health Policy, Springer, vol. 10(1), pages 65-76, January.
- Dee, Thomas S., 1999. "State alcohol policies, teen drinking and traffic fatalities," Journal of Public Economics, Elsevier, vol. 72(2), pages 289-315, May.
- Kenkel, Donald S. & Manning, Willard, 1999. "Economic evaluation of nutrition policy: Or, there's no such thing as a free lunch," Food Policy, Elsevier, vol. 24(2-3), pages 145-162, May.
- Richard M. Bird & Sally Wallace, 2003. "Taxing Alcohol in Africa: Reflections from International Experience," International Tax Program Papers 0304, International Tax Program, Institute for International Business, Joseph L. Rotman School of Management, University of Toronto, revised Nov 2003.
- Dee, Thomas S., 1999. "The complementarity of teen smoking and drinking," Journal of Health Economics, Elsevier, vol. 18(6), pages 769-793, December.
- Omura, Makiko, 2014. "The Effects of Tax Policy on Alcoholic Beverage Trends and Alcohol Demand in Japan," 88th Annual Conference, April 9-11, 2014, AgroParisTech, Paris, France 170487, Agricultural Economics Society.
- Lacruz, Ana Isabel Gil & Lacruz, Marta Gil, 2010. "Does alcohol consumption reinforce mental problems in adolescence?," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 39(2), pages 223-232, April.
- Timothy Hinks & Andreas Katsaros, 2012. "Smoking Ban and Life Satisfaction: Evidence from the UK," Economic Issues Journal Articles, Economic Issues, vol. 17(1), pages 27-48, March.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jane Voros) or (Michael P. Albert).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.