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U.S. Cigarette Smoking and Health Warnings: New Evidence From Post World War II Data

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  • Blaine, Thomas W.
  • Reed, Michael R.

Abstract

A framework was developed in order to specify a model for annual U.S. per capita consumption of cigarettes. Three separate time related variables were utilized to measure the effects of health related information regarding smoking. The empirical results from the post World War II data set reveal that while prices and income are important determinants of cigarette consumption, the estimates for both were in the inelastic range. The age distribution of the adult population is also an important variable. While the development of the filter tip has been successful in stimulating smoking, the low tar and nicotine innovation has not had a statistically significant effect. Health information has repeatedly produced substantial short and long run effects. Current consumption is falling at an annual rate of between 3 to 4 percent.

Suggested Citation

  • Blaine, Thomas W. & Reed, Michael R., 1994. "U.S. Cigarette Smoking and Health Warnings: New Evidence From Post World War II Data," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 26(2), pages 535-544, December.
    • Handle: RePEc:cup:jagaec:v:26:y:1994:i:02:p:535-544_02
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    1. Fenn, Aju J. & Antonovitz, Frances, 1998. "The Impact Of Addiction Information On Cigarette Consumption," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20857, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Aju Fenn & John Schroeter, 2004. "Cigarettes and addiction information: simulating the demand effects of the tobacco industry's 'conspiracy of silence'," Applied Economics, Taylor & Francis Journals, vol. 36(19), pages 2151-2159.
    3. W. David Bradford, 2003. "Pregnancy and the Demand for Cigarettes," American Economic Review, American Economic Association, vol. 93(5), pages 1752-1763, December.
    4. Rajeev K. Goel & Michael A. Nelson, 2006. "The Effectiveness of Anti‐Smoking Legislation: A Review," Journal of Economic Surveys, Wiley Blackwell, vol. 20(3), pages 325-355, July.
    5. Donald Kenkel & Dean Lillard & Alan Mathios, 2006. "The Roles of High School Completion and GED Receipt in Smoking and Obesity," Journal of Labor Economics, University of Chicago Press, vol. 24(3), pages 635-660, July.

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