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Alcohol consumption by individuals in the United States: a sample selection approach

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  • Yan Yuan
  • Steven T. Yen

Abstract

We investigate the socio-economic determinants of alcohol consumption in the United States with a Sample Selection Model (SSM). The dependent variable is log-transformed that facilitates the estimation of the model. In addition, marginal effects of explanatory variables are calculated in both SSM and Two-Part Model (TPM). Our results suggest that the use of proper marginal effect formulae is important, and that the socio-economic variables play important roles in alcohol consumption. The probability of drinking decreases with age, income and education. Men are more likely to drink and drink more than women. Marriage decreases drinking, and drinking are more likely to occur on weekends.

Suggested Citation

  • Yan Yuan & Steven T. Yen, 2012. "Alcohol consumption by individuals in the United States: a sample selection approach," Applied Economics Letters, Taylor & Francis Journals, vol. 19(14), pages 1353-1358, September.
    • Handle: RePEc:taf:apeclt:v:19:y:2012:i:14:p:1353-1358
    DOI: 10.1080/13504851.2011.628290
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    1. Frank J. Chaloupka & Michael Grossman & Warren K. Bickel & Henry Saffer, 1999. "The Economic Analysis of Substance Use and Abuse: An Integration of Econometric and Behavioral Economic Research," NBER Books, National Bureau of Economic Research, Inc, number chal99-1, March.
    2. Spanos,Aris, 1999. "Probability Theory and Statistical Inference," Cambridge Books, Cambridge University Press, number 9780521424080.
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    Cited by:

    1. Yanjun Ren & Bente Castro Campos & Jens-Peter Loy, 2020. "Drink and smoke; drink or smoke? The interdependence between alcohol and cigarette consumption for men in China," Empirical Economics, Springer, vol. 58(3), pages 921-955, March.

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