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The effects of illicit cigarette trade in South Africa: A CGE analysis

Author

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  • Erero Jean Luc

    (Operational Research (OR) Tax, Customs and Excise Institute (TCEI), South African Revenue Service (SARS))

Abstract

Aim/purpose – This paper evaluates the effects of the illicit cigarette trade on the South African economy through a static Computable General Equilibrium (CGE) model. Indeed, the illicit cigarette trade occupies a prominent place in public debate in South Africa.

Suggested Citation

  • Erero Jean Luc, 2020. "The effects of illicit cigarette trade in South Africa: A CGE analysis," Journal of Economics and Management, Sciendo, vol. 40(2), pages 5-35, June.
  • Handle: RePEc:vrs:jecman:v:40:y:2020:i:2:p:5-35:n:2
    DOI: 10.22367/jem.2020.40.01
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    References listed on IDEAS

    as
    1. Reza Rezayatmand & Wim Groot & Milena Pavlova, 2017. "Smoking behaviour and health care costs coverage: a European cross-country comparison," International Journal of Health Economics and Management, Springer, vol. 17(4), pages 453-471, December.
    2. Coats, R. Morris, 1995. "A Note on Estimating Cross-Border Effects of State Cigarette Taxes," National Tax Journal, National Tax Association, vol. 48(4), pages 573-84, December.
    3. Theresa Alton & Channing Arndt & Rob Davies & Faaiqa Hartley & Konstantin Makrelov & James Thurlow & Dumebi Ubogu, 2012. "The Economic Implications of Introducing Carbon Taxes in South Africa," WIDER Working Paper Series wp-2012-046, World Institute for Development Economic Research (UNU-WIDER).
    4. Alton, Theresa & Arndt, Channing & Davies, Rob & Hartley, Faaiqa & Makrelov, Konstantin & Thurlow, James & Ubogu, Dumebi, 2012. "The Economic Implications of Introducing Carbon Taxes in South Africa," WIDER Working Paper Series 046, World Institute for Development Economic Research (UNU-WIDER).
    5. Coats, R. Morris, 1995. "A Note on Estimating Cross-Border Effects of State Cigarette Taxes," National Tax Journal, National Tax Association;National Tax Journal, vol. 48(4), pages 573-584, December.
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    7. Becker, Gary S & Murphy, Kevin M, 1988. "A Theory of Rational Addiction," Journal of Political Economy, University of Chicago Press, vol. 96(4), pages 675-700, August.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    illicit cigarette; CGE model; South Africa;
    All these keywords.

    JEL classification:

    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • E26 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Informal Economy; Underground Economy

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