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The role of government in tobacco leaf production in China: national and local interventions

Author

Listed:
  • Teh-wei Hu
  • Zhengzhong Mao
  • Hesheng Jiang
  • Ming Tao
  • Ayda Yurekli

Abstract

China produces about one-third of the world's supply of tobacco leaf and is the largest consumer of cigarettes. Any discussion of tobacco control in China requires an understanding of the government's role in this sector because China's tobacco production and cigarette marketing are all under the control of the State Tobacco Monopoly Administration. Compared to other cash crops, tobacco leaf has the lowest economic rate of return. Currently, China has a large surplus of tobacco leaf. One of the factors contributing to this surplus is local governments' encouraging farmers to plant tobacco leaf, in part because of their incentive of collecting tax revenue from tobacco leaf sales.

Suggested Citation

  • Teh-wei Hu & Zhengzhong Mao & Hesheng Jiang & Ming Tao & Ayda Yurekli, 2007. "The role of government in tobacco leaf production in China: national and local interventions," International Journal of Public Policy, Inderscience Enterprises Ltd, vol. 2(3/4), pages 235-248.
    • Handle: RePEc:ids:ijpubp:v:2:y:2007:i:3/4:p:235-248
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    Citations

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    Cited by:

    1. World Health Organization, 2017. "Tobacco and its environmental impact: an overview," University of California at San Francisco, Center for Tobacco Control Research and Education qt8tp3r5rc, Center for Tobacco Control Research and Education, UC San Francisco.
    2. Cai, Hailong & Kinnucan, Henry W., 2009. "The Compensative Effects of Tobacco Leaf Price Changes on Tax Revenue in China," 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia 46727, Southern Agricultural Economics Association.
    3. Hailong Cai & Xiuqing Wang, 2010. "The substitution effect of cigarette excise tax for tobacco leaf tax in China," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 2(4), pages 385-395, November.

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