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Cannabis prices and dynamics of cannabis use

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  • van Ours, Jan C.
  • Williams, Jenny

Abstract

This paper uses duration models and self-reported cannabis histories from young Australians to study the dynamics of cannabis use. We find that low cannabis prices are associated with early initiation into cannabis use. While the decision to quit does not appear to be directly influenced by price, we find that the younger an individual is when they start using cannabis the less likely they are to quit. Therefore, low cannabis prices lead to early use and because of that they lead to a low quit rate and hence a longer duration of use.

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File URL: http://www.sciencedirect.com/science/article/B6V8K-4MBBYJC-2/2/9636fe5fe87922b999444831d9ef278e
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Bibliographic Info

Article provided by Elsevier in its journal Journal of Health Economics.

Volume (Year): 26 (2007)
Issue (Month): 3 (May)
Pages: 578-596

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Handle: RePEc:eee:jhecon:v:26:y:2007:i:3:p:578-596

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Web page: http://www.elsevier.com/locate/inca/505560

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References

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  5. van Ours, Jan C, 2001. "Is Cannabis a Stepping-Stone for Cocaine?," CEPR Discussion Papers 3116, C.E.P.R. Discussion Papers.
  6. Ours, J.C. van & Williams, J., 2005. "Cannabis Prices and Dynamics of Cannabis Use," Discussion Paper 2005-52, Tilburg University, Center for Economic Research.
  7. Pinka Chatterji, 2006. "Illicit drug use and educational attainment," Health Economics, John Wiley & Sons, Ltd., vol. 15(5), pages 489-511.
  8. Ours, J.C. van, 2003. "Is cannabis a stepping stone for cocaine?," Open Access publications from Tilburg University urn:nbn:nl:ui:12-123456, Tilburg University.
  9. Martin Forster & Andrew Jones, 2000. "The role of tobacco taxes in starting and quitting smoking: duration analysis of British data," Working Papers 176chedp, Centre for Health Economics, University of York.
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Citations

Blog mentions

As found by EconAcademics.org, the blog aggregator for Economics research:
  1. Review: Drugs – Without the Hot Air (David Nutt)
    by Sam Watson in The Academic Health Economists' Blog on 2013-02-14 12:53:56
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
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Cited by:
  1. Palali, A. & Ours, J.C. van, 2013. "Distance to Cannabis-Shops and Age of Onset of Cannabis Use," Discussion Paper 2013-048, Tilburg University, Center for Economic Research.
  2. Ours, J.C. van, 2011. "The Long and Winding Road to Cannabis Legalization," Discussion Paper 2011-126, Tilburg University, Center for Economic Research.
  3. Jan C. van Ours & Jenny Williams, 2007. "Why Parents Worry: Initiation into Cannabis Use by Youth and their Educational Attainment," Department of Economics - Working Papers Series 1013, The University of Melbourne.
  4. Jan C. van Ours, 2006. "Dynamics in the use of drugs," Health Economics, John Wiley & Sons, Ltd., vol. 15(12), pages 1283-1294.
  5. Ours, J.C. van & Williams, J., 2011. "The Effects of Cannabis Use on Physical and Mental Health," Discussion Paper 2011-079, Tilburg University, Center for Economic Research.
  6. Tauchmann, Harald, 2008. "West-East Convergence in the Prevalence of Cannabis Use: Socioeconomics or Culture?," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy, vol. 2(29), pages 1-27.
  7. Pudney, Stephen & Bryan, Mark & DelBono, Emilia, 2013. "Licensing and regulation of the cannabis market in England and Wales: Towards a cost-benefit analysis," MPRA Paper 50365, University Library of Munich, Germany.
  8. Ours, J.C. van & Williams, J., 2009. "Cannabis Use and Mental Health Problems," Discussion Paper 2009-60, Tilburg University, Center for Economic Research.
  9. van Ours, Jan C. & Williams, Jenny, 2012. "The effects of cannabis use on physical and mental health," Journal of Health Economics, Elsevier, vol. 31(4), pages 564-577.
  10. Ours, J.C. van & Williams, J., 2005. "Cannabis Prices and Dynamics of Cannabis Use," Discussion Paper 2005-52, Tilburg University, Center for Economic Research.
  11. Bretteville-Jensen, Anne Line & Jacobi, Liana, 2008. "Climbing the Drug Staircase: A Bayesian Analysis of the Initiation of Hard Drug Use," IZA Discussion Papers 3879, Institute for the Study of Labor (IZA).
  12. Jenny Williams & Jan C. van Ours & Michael Grossman, 2011. "Why Do Some People Want to Legalize Cannabis Use?," NBER Working Papers 16795, National Bureau of Economic Research, Inc.
  13. repec:ese:iserwp:2013-08 is not listed on IDEAS
  14. Anne Bretteville-Jensen, 2006. "Drug Demand – Initiation, Continuation and Quitting," De Economist, Springer, vol. 154(4), pages 491-516, December.
  15. Beau Kilmer & Rosalie Liccardo Pacula, 2010. "Preventing Drug Use," NBER Chapters, in: Targeting Investments in Children: Fighting Poverty When Resources are Limited, pages 181-220 National Bureau of Economic Research, Inc.

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