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A (nearly) global look at the dynamics of youth smoking initiation and cessation: the role of cigarette prices

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  • Deliana Kostova

Abstract

This study investigates the role of cigarette prices on smoking initiation and cessation among youth in a sample of eight primarily non-Western low, middle, and high income countries, with a particular focus on a subsample of 40 low- and middle-income countries (LMICs). Using split-population duration models on longitudinally-transformed individual data from the Global Youth Tobacco Survey (GYTS), the average impact of cigarette prices in the presence of unobserved country heterogeneity and shifting cultural norms within countries is identified by the variation of cigarette prices within countries over time. Price increases are found to effectively reduce initiation in early youth, and girls are considerably more responsive than boys. The price elasticity of initiation in LMICs is −0.82 for the combined gender analysis, −0.46 for boys only and −1.5 for girls only. There is some indication that youths in developing countries may be slightly less responsive to price changes than in high-income countries. No evidence is found that cigarette prices increase quitting rates in youth, which may be due to the difficulty of defining true quitting among smokers in early life.

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  • Deliana Kostova, 2013. "A (nearly) global look at the dynamics of youth smoking initiation and cessation: the role of cigarette prices," Applied Economics, Taylor & Francis Journals, vol. 45(28), pages 3943-3951, October.
    • Handle: RePEc:taf:applec:v:45:y:2013:i:28:p:3943-3951
    DOI: 10.1080/00036846.2012.736947
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    Cited by:

    1. G. Emmanuel Guindon & Guillermo R. Paraje & Ricardo Chávez, 2018. "Prices, Inflation, And Smoking Onset: The Case Of Argentina," Economic Inquiry, Western Economic Association International, vol. 56(1), pages 424-445, January.
    2. Hernandez-Vasquez, Akram, 2016. "Burden of smoking-related disease and potential impact of cigarette price increase in Peru," MPRA Paper 75677, University Library of Munich, Germany.
    3. Deliana Kostova & Frank Chaloupka & Ce Shang, 2015. "A duration analysis of the role of cigarette prices on smoking initiation and cessation in developing countries," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 16(3), pages 279-288, April.

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