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Advertising and Cigarette Consumption

Author

Listed:
  • Khosrow Doroodian

    (Ohio University)

  • Barry J. Seldon

    (University of Texas, Dallas)

Abstract

The authors examine two questions that are relevant to current policy issues: (1) is there a positive response of aggregate demand to advertising? (2) what is the reaction of consumers to government health warnings and media policy? The results support the hypothesis that advertising increases aggregate demand for cigarettes. However, the advent of health warnings and media policies seems to have eradicated this aggregate advertising effect. The findings also support some previous studies that suggest that aggregate advertising effects depreciate within one year.

Suggested Citation

  • Khosrow Doroodian & Barry J. Seldon, 1991. "Advertising and Cigarette Consumption," Eastern Economic Journal, Eastern Economic Association, vol. 17(3), pages 359-366, Jul-Sep.
  • Handle: RePEc:eej:eeconj:v:17:y:1991:i:3:p:359-366
    as

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    File URL: http://web.holycross.edu/RePEc/eej/Archive/Volume17/V17N3P359_366.pdf
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    References listed on IDEAS

    as
    1. Schneider, Lynne & Klein, Benjamin & Murphy, Kevin M, 1981. "Governmental Regulation of Cigarette Health Information," Journal of Law and Economics, University of Chicago Press, vol. 24(3), pages 575-612, December.
    2. Leu, Robert E., 1984. "Anti-smoking publicity, taxation, and the demand for cigarettes," Journal of Health Economics, Elsevier, vol. 3(2), pages 101-116, August.
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    Cited by:

    1. Paul Amadieu & Jean-Laurent Viviani, 2010. "Intangible effort and performance: the case of the French wine industry," Agribusiness, John Wiley & Sons, Ltd., vol. 26(2), pages 280-306.
    2. Capella, Michael L. & Webster, Cynthia & Kinard, Brian R., 2011. "A review of the effect of cigarette advertising," International Journal of Research in Marketing, Elsevier, vol. 28(3), pages 269-279.
    3. Nelson, Jon P., 2006. "Cigarette advertising regulation: A meta-analysis," International Review of Law and Economics, Elsevier, vol. 26(2), pages 195-226, June.
    4. Goel, Rajeev K., 2009. "Cigarette advertising and U.S. cigarette demand: A policy assessment," Journal of Policy Modeling, Elsevier, vol. 31(3), pages 351-357, May.
    5. 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.

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    More about this item

    Keywords

    Advertising; Consumer; Health;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • M37 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Advertising
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior

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