IDEAS home Printed from https://ideas.repec.org/a/sae/evarev/v31y2007i1p75-92.html
   My bibliography  Save this article

Is Nonsmoking Dangerous to the Health of Restaurants? The Effect of California’s Indoor Smoking Ban on Restaurant Revenues

Author

Listed:
  • Lisa Stolzenberg

    (Florida International University)

  • Stewart J. D’Alessio

    (Florida International University)

Abstract

The state of California passed the Smoke-Free Workplace Act on January 1, 1995. This legislation effectively banned indoor smoking in all public and private workplaces including restaurants. Many restaurant owners, especially owners of restaurants that served alcohol, opposed the ban for fear that their businesses would be affected adversely because of the loss of patrons who smoked. Using an interrupted times-series autoregressive integrative moving average study design, the authors assess the effect of California’s indoor smoking ban on revenue rates for all restaurants, for non-alcohol-serving restaurants, and for alcohol-serving restaurants. Results showed that revenues for alcohol-serving restaurants dropped by about 4% immediately following the establishment of the indoor smoking ban. However, this reduction was temporary because revenues for alcohol-serving restaurants quickly returned to normal levels. Findings also revealed that the indoor smoking ban had little observable impact on the revenue rate for restaurants overall and for nonalcohol-serving restaurants.

Suggested Citation

  • Lisa Stolzenberg & Stewart J. D’Alessio, 2007. "Is Nonsmoking Dangerous to the Health of Restaurants? The Effect of California’s Indoor Smoking Ban on Restaurant Revenues," Evaluation Review, , vol. 31(1), pages 75-92, February.
    • Handle: RePEc:sae:evarev:v:31:y:2007:i:1:p:75-92
    DOI: 10.1177/0193841X06284814
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/0193841X06284814
    Download Restriction: no
    File URL: https://libkey.io/10.1177/0193841X06284814?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Glantz, S.A. & Smith, L.R.A., 1997. "The effect of ordinances requiring smoke-free restaurants and bars on revenues: A follow-up," American Journal of Public Health, American Public Health Association, vol. 87(10), pages 1687-1693.
    2. Glantz, S.A. & Smith, L.R.A., 1994. "The effect of ordinances requiring smoke-free restaurants on restaurant sales," American Journal of Public Health, American Public Health Association, vol. 84(7), pages 1081-1085.
    3. Weber, M D & Bagwell, DAS & Fielding, J E & Glantz, Stanton A. Ph.D., 2003. "Long term compliance with California's Smoke-Free Workplace law among bars and restaurants in Los Angeles County," University of California at San Francisco, Center for Tobacco Control Research and Education qt82m3j641, Center for Tobacco Control Research and Education, UC San Francisco.
    4. Ong, M.K. & Glantz, S.A., 2005. "Free nicotine replacement therapy programs vs implementing smoke-free workplaces: A cost-effectiveness comparison," American Journal of Public Health, American Public Health Association, vol. 95(6), pages 969-975.
    5. Biener, L. & Siegel, M., 1997. "Behavior intentions of the public after bans on smoking in restaurants and bars," American Journal of Public Health, American Public Health Association, vol. 87(12), pages 2042-2044.
    6. Snortum, John R., 1990. "Drinking-driving compliance in Great Britain: The role of law as a "threat" and as a "moral eye-opener"," Journal of Criminal Justice, Elsevier, vol. 18(6), pages 479-499.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jennifer W. Kahende & Brett R. Loomis & Bishwa Adhikari & LaTisha Marshall, 2008. "A Review of Economic Evaluations of Tobacco Control Programs," IJERPH, MDPI, vol. 6(1), pages 1-18, December.
    2. Kim, Dohyung & Yörük, Barış K., 2015. "The impact of restaurant smoking bans on dining out expenditures: Evidence from panel data," Journal of Urban Economics, Elsevier, vol. 88(C), pages 38-49.
    3. Michael R. Pakko, 2006. "On the economic analysis of smoking bans," Regional Economic Development, Federal Reserve Bank of St. Louis, issue Oct, pages 115-130.
    4. Tami Gurley-Calvez & George W. Hammond & Randall A. Childs, 2014. "Labor Market Impacts Of Smoking Regulations On The Restaurant Industry," Contemporary Economic Policy, Western Economic Association International, vol. 32(4), pages 681-694, October.
    5. Philip Lund, 1998. "Eating Out: Statistics and Society Presidential Address," Journal of Agricultural Economics, Wiley Blackwell, vol. 49(3), pages 279-293, September.
    6. Richard Thalheimer & Mukhtar M. Ali, 2008. "The Demand For Casino Gaming With Special Reference To A Smoking Ban," Economic Inquiry, Western Economic Association International, vol. 46(2), pages 273-282, April.
    7. Peter Schulz & Uwe Hartung & Maddalena Fiordelli, 2012. "Effect of smoke-free legislation on Ticino gastronomy revenue," International Journal of Public Health, Springer;Swiss School of Public Health (SSPH+), vol. 57(6), pages 861-866, December.
    8. Alamar, B C & Glantz, Stanton A. Ph.D., 2004. "Smoke-free ordinances increase restaurant profit and value," University of California at San Francisco, Center for Tobacco Control Research and Education qt91w950j4, Center for Tobacco Control Research and Education, UC San Francisco.
    9. Nykiforuk, Candace & Campbell, Sharon & Cameron, Roy & Brown, Stephen & Eyles, John, 2007. "Relationships between community characteristics and municipal smoke-free bylaw status and strength," Health Policy, Elsevier, vol. 80(2), pages 358-368, February.
    10. Craig A. Gallet & Gary A. Hoover & Junsoo Lee, 2006. "Putting Out Fires: An Examination of the Determinants of State Clean Indoor‐Air Laws," Southern Economic Journal, John Wiley & Sons, vol. 73(1), pages 112-124, July.
    11. Amanual Getnet Mersha & Gillian Sandra Gould & Michelle Bovill & Parivash Eftekhari, 2020. "Barriers and Facilitators of Adherence to Nicotine Replacement Therapy: A Systematic Review and Analysis Using the Capability, Opportunity, Motivation, and Behaviour (COM-B) Model," IJERPH, MDPI, vol. 17(23), pages 1-21, November.
    12. Hammar, Henrik, 2004. "Restaurant owner perceptions of the effects of a smoking ban," Health Policy, Elsevier, vol. 70(2), pages 243-254, November.
    13. Ljudevit Pranic & Snjezana Pivac & Anela Colak, 2013. "Cafe Owners Attitudes Before The Enactment Of A Smoke-Free Legislation In Transition Countries," Economic Thought and Practice, Department of Economics and Business, University of Dubrovnik, vol. 22(1), pages 57-78, june.
    14. Ahlfeldt Gabriel M. & Maennig Wolfgang, 2010. "Impact of Non-smoking Ordinances on Hospitality Revenues: The Case of Germany," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 230(5), pages 506-521, October.
    15. John Dunham & Michael Marlow, 2003. "The economic incidence of smoking laws," Applied Economics, Taylor & Francis Journals, vol. 35(18), pages 1935-1942.
    16. Anh Kim Dang & Bach Xuan Tran & Long Hoang Nguyen & Hoa Thi Do & Cuong Tat Nguyen & Mercedes Fleming & Huong Thi Le & Quynh Ngoc Hoang Le & Carl A. Latkin & Melvyn W. B. Zhang & Roger C. M. Ho, 2018. "Customers’ Perceptions of Compliance with a Tobacco Control Law in Restaurants in Hanoi, Vietnam: A Cross-Sectional Study," IJERPH, MDPI, vol. 15(7), pages 1-13, July.
    17. Koshi Nakamura & Masaru Sakurai & Katsuyuki Miura & Yuko Morikawa & Shin-ya Nagasawa & Masao Ishizaki & Teruhiko Kido & Yuchi Naruse & Yasushi Suwazono & Hideaki Nakagawa, 2013. "Nicotine Dependence and Cost-Effectiveness of Individualized Support for Smoking Cessation: Evidence from Practice at a Worksite in Japan," PLOS ONE, Public Library of Science, vol. 8(1), pages 1-9, January.
    18. Stefan Boes & Joachim Marti & Johanna Catherine Maclean, 2015. "The Impact of Smoking Bans on Smoking and Consumer Behavior: Quasi‐Experimental Evidence from Switzerland," Health Economics, John Wiley & Sons, Ltd., vol. 24(11), pages 1502-1516, November.
    19. Ce Shang, 2015. "The Effect of Smoke-Free Air Law in Bars on Smoking Initiation and Relapse among Teenagers and Young Adults," IJERPH, MDPI, vol. 12(1), pages 1-17, January.
    20. Nan Jiang & Mariaelena Gonzalez & Pamela M. Ling & Kelly C. Young-Wolff & Stanton A. Glantz, 2017. "Smoke-Free Laws and Hazardous Drinking: A Cross-Sectional Study among U.S. Adults," IJERPH, MDPI, vol. 14(4), pages 1-11, April.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:evarev:v:31:y:2007:i:1:p:75-92. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.