Addictive goods and taxes: A survey from an economic perspective
AbstractIn this paper we present an overview of the empirical evidence about the effectiveness of using taxation to influence addictive behaviour, and we address the normative question: should greater use be made of sin taxes to fund health care? First, we raise the desirability of linking health care financing and taxation of addictive goods, taking into account efficiency and equity principles. Secondly we present the approaches adopted by economists in the study of addiction and their policy implications. At the end, the empirical evidence of effectiveness of taxes is summarised.
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Bibliographic InfoArticle provided by IEF in its journal Hacienda Pública Española/Revista de Economía Pública.
Volume (Year): 167 (2003)
Issue (Month): 4 (December)
Addiction; tobacco; alcohol; sin taxes;
Find related papers by JEL classification:
- I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
- H21 - Public Economics - - Taxation, Subsidies, and Revenue - - - Efficiency; Optimal Taxation
- H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
- H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
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